Zacks Research Cuts Earnings Estimates for Commercial Metals

Commercial Metals Company (NYSE:CMC) – Stock analysts at Zacks Research cut their Q2 2027 earnings per share estimates for Commercial Metals in a research report issued to clients and investors on Wednesday, February 4th. Zacks Research analyst Team now anticipates that the basic materials company will post earnings per share of $1.18 for the quarter, down from their previous estimate of $1.21. Zacks Research currently has a “Hold” rating on the stock. The consensus estimate for Commercial Metals’ current full-year earnings is $3.09 per share. Zacks Research also issued estimates for Commercial Metals’ FY2027 earnings at $6.61 EPS, Q1 2028 earnings at $1.67 EPS and FY2028 earnings at $7.12 EPS.

Commercial Metals (NYSE:CMC) last posted its quarterly earnings results on Thursday, January 8th. The basic materials company reported $1.84 EPS for the quarter, topping analysts’ consensus estimates of $1.55 by $0.29. Commercial Metals had a return on equity of 11.43% and a net margin of 5.46%.The company had revenue of $2.12 billion for the quarter, compared to analysts’ expectations of $2.06 billion. During the same period in the previous year, the firm earned $0.78 EPS. The firm’s revenue was up 11.0% compared to the same quarter last year.

CMC has been the topic of several other reports. Citigroup lifted their target price on Commercial Metals from $65.00 to $85.00 and gave the stock a “buy” rating in a report on Monday, January 12th. The Goldman Sachs Group reaffirmed a “buy” rating and issued a $84.00 price objective on shares of Commercial Metals in a research note on Tuesday, December 30th. Wall Street Zen upgraded Commercial Metals from a “buy” rating to a “strong-buy” rating in a research report on Friday, November 28th. UBS Group reissued a “neutral” rating on shares of Commercial Metals in a report on Monday, October 27th. Finally, Weiss Ratings reaffirmed a “hold (c)” rating on shares of Commercial Metals in a research note on Wednesday, January 21st. Eight investment analysts have rated the stock with a Buy rating and four have given a Hold rating to the company’s stock. According to MarketBeat, Commercial Metals currently has an average rating of “Moderate Buy” and an average price target of $72.70.

Commercial Metals Price Performance

CMC stock opened at $80.57 on Friday. The company has a market capitalization of $8.94 billion, a PE ratio of 20.76, a price-to-earnings-growth ratio of 0.44 and a beta of 1.49. The company’s fifty day moving average price is $72.29 and its 200-day moving average price is $62.69. Commercial Metals has a one year low of $37.92 and a one year high of $84.12. The company has a debt-to-equity ratio of 0.77, a quick ratio of 3.70 and a current ratio of 4.47.

Commercial Metals Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, February 2nd. Stockholders of record on Monday, January 19th were issued a $0.18 dividend. This represents a $0.72 annualized dividend and a dividend yield of 0.9%. The ex-dividend date was Friday, January 16th. Commercial Metals’s dividend payout ratio (DPR) is 18.56%.

Insider Transactions at Commercial Metals

In related news, insider Jennifer J. Durbin sold 25,050 shares of the company’s stock in a transaction dated Tuesday, February 3rd. The shares were sold at an average price of $79.97, for a total transaction of $2,003,248.50. Following the transaction, the insider directly owned 52,880 shares in the company, valued at approximately $4,228,813.60. This represents a 32.14% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Dennis V. Arriola acquired 2,000 shares of the firm’s stock in a transaction on Tuesday, January 20th. The stock was purchased at an average cost of $74.69 per share, with a total value of $149,380.00. Following the purchase, the director owned 9,238 shares of the company’s stock, valued at $689,986.22. The trade was a 27.63% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. 0.62% of the stock is currently owned by insiders.

Institutional Trading of Commercial Metals

Several institutional investors and hedge funds have recently made changes to their positions in the business. Root Financial Partners LLC bought a new position in shares of Commercial Metals in the third quarter worth about $25,000. Rothschild Investment LLC increased its position in shares of Commercial Metals by 169.6% during the third quarter. Rothschild Investment LLC now owns 515 shares of the basic materials company’s stock worth $29,000 after acquiring an additional 324 shares during the period. SBI Securities Co. Ltd. raised its stake in shares of Commercial Metals by 282.3% during the second quarter. SBI Securities Co. Ltd. now owns 692 shares of the basic materials company’s stock valued at $34,000 after acquiring an additional 511 shares in the last quarter. Spire Wealth Management boosted its holdings in shares of Commercial Metals by 42.4% in the third quarter. Spire Wealth Management now owns 615 shares of the basic materials company’s stock valued at $35,000 after purchasing an additional 183 shares during the period. Finally, V Square Quantitative Management LLC purchased a new stake in shares of Commercial Metals in the fourth quarter valued at approximately $54,000. 86.90% of the stock is currently owned by institutional investors.

About Commercial Metals

Commercial Metals Company (NYSE: CMC) is a leading global steel and metal recycler, manufacturer and fabricator based in Irving, Texas. The company operates an integrated network of scrap recycling facilities, electric arc furnace steel mills, metal fabrication plants and distribution centers. Through these operations, Commercial Metals collects and processes ferrous scrap to produce finished steel products and provides recycled metal to a variety of end markets.

In its steelmaking segment, CMC uses electric arc furnace technology to transform recycled scrap into reinforcing bar (rebar), merchant bar, coil and structural products.