Commercial Metals (NYSE:CMC) Stock Price Target Cut by Wells Fargo & Company

Commercial Metals (NYSE:CMC) had its price target decreased by equities researchers at Wells Fargo & Company from $80.00 to $68.00 in a note issued to investors on Tuesday, Benzinga reports. The firm presently has an “equal weight” rating on the basic materials company’s stock. Wells Fargo & Company‘s price objective points to a potential upside of 7.54% from the company’s current price.

Other equities research analysts also recently issued research reports about the company. Bank of America reduced their target price on Commercial Metals from $84.00 to $78.00 and set a “buy” rating for the company in a report on Thursday, July 9th. Barclays upped their price target on shares of Commercial Metals from $75.00 to $80.00 and gave the stock an “equal weight” rating in a research note on Friday, August 7th. BMO Capital Markets increased their price target on shares of Commercial Metals from $77.00 to $80.00 and gave the company a “market perform” rating in a report on Thursday, August 6th. Morgan Stanley raised their price objective on shares of Commercial Metals from $83.00 to $88.00 and gave the company an “overweight” rating in a research note on Monday, June 22nd. Finally, Weiss Ratings cut shares of Commercial Metals from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Friday, October 2nd. Nine investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. According to data from MarketBeat, Commercial Metals currently has an average rating of “Moderate Buy” and a consensus target price of $80.55.

Commercial Metals Stock Down 2.6%

Commercial Metals stock opened at $63.23 on Tuesday. The company has a debt-to-equity ratio of 0.73, a current ratio of 2.33 and a quick ratio of 1.54. Commercial Metals has a 1-year low of $53.08 and a 1-year high of $84.87. The company has a market cap of $6.99 billion, a PE ratio of 11.91, a price-to-earnings-growth ratio of 0.33 and a beta of 1.53. The stock’s 50 day moving average price is $67.86 and its 200 day moving average price is $68.17.

Commercial Metals declared that its Board of Directors has initiated a stock repurchase program on Wednesday, August 5th that permits the company to buyback $600.00 million in shares. This buyback authorization permits the basic materials company to purchase up to 7.5% of its shares through open market purchases. Shares buyback programs are typically an indication that the company’s board believes its stock is undervalued.

Insiders Place Their Bets

In other news, CEO Peter Matt bought 8,230 shares of the firm’s stock in a transaction on Friday, July 10th. The shares were bought at an average cost of $61.30 per share, for a total transaction of $504,499.00. Following the completion of the transaction, the chief executive officer owned 181,522 shares in the company, valued at $11,127,298.60. This trade represents a 4.75% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director John McPherson bought 1,390 shares of the stock in a transaction on Thursday, August 13th. The stock was purchased at an average cost of $71.92 per share, for a total transaction of $99,968.80. Following the acquisition, the director directly owned 21,927 shares of the company’s stock, valued at $1,576,989.84. The trade was a 6.77% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. 0.62% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Commercial Metals

A number of large investors have recently added to or reduced their stakes in the business. NewEdge Advisors LLC grew its stake in Commercial Metals by 4.2% during the first quarter. NewEdge Advisors LLC now owns 3,610 shares of the basic materials company’s stock worth $222,000 after buying an additional 147 shares during the period. Fifth Third Wealth Advisors LLC increased its position in shares of Commercial Metals by 4.0% in the first quarter. Fifth Third Wealth Advisors LLC now owns 4,164 shares of the basic materials company’s stock worth $256,000 after acquiring an additional 160 shares in the last quarter. Envestnet Portfolio Solutions Inc. raised its stake in shares of Commercial Metals by 0.8% in the 2nd quarter. Envestnet Portfolio Solutions Inc. now owns 20,436 shares of the basic materials company’s stock valued at $1,282,000 after acquiring an additional 168 shares during the period. USA Financial Formulas raised its stake in shares of Commercial Metals by 67.6% in the 1st quarter. USA Financial Formulas now owns 496 shares of the basic materials company’s stock valued at $30,000 after acquiring an additional 200 shares during the period. Finally, Corient Private Wealth LLC lifted its holdings in shares of Commercial Metals by 0.9% during the 4th quarter. Corient Private Wealth LLC now owns 23,615 shares of the basic materials company’s stock valued at $1,635,000 after acquiring an additional 216 shares in the last quarter. 86.90% of the stock is owned by institutional investors and hedge funds.

About Commercial Metals

Commercial Metals Company (NYSE: CMC) is a steel and metals manufacturer, fabricator and recycler headquartered in Irving, Texas. Founded in 1915, the company operates a vertically integrated business that collects and processes ferrous scrap, produces steel and supplies products used in construction and infrastructure projects.

CMC’s product portfolio includes reinforcing bar, merchant bar, wire rod, structural components and other steel products. Through its fabrication and construction services, the company also processes and prepares reinforcing steel for commercial, industrial, transportation and other building projects.