Commercial Metals Company (NYSE:CMC) Given Consensus Rating of “Moderate Buy” by Brokerages

Commercial Metals Company (NYSE:CMC) has earned an average rating of “Moderate Buy” from the twelve research firms that are currently covering the firm, MarketBeat reports. Four investment analysts have rated the stock with a hold rating and eight have assigned a buy rating to the company. The average 1-year price objective among brokers that have issued a report on the stock in the last year is $72.70.

A number of equities analysts have issued reports on the company. Wells Fargo & Company increased their price target on Commercial Metals from $68.00 to $79.00 and gave the stock an “overweight” rating in a report on Monday, December 15th. JPMorgan Chase & Co. raised shares of Commercial Metals from a “neutral” rating to an “overweight” rating and increased their target price for the stock from $64.00 to $78.00 in a research note on Friday, December 5th. Zacks Research cut shares of Commercial Metals from a “strong-buy” rating to a “hold” rating in a report on Tuesday, February 3rd. The Goldman Sachs Group reiterated a “buy” rating and set a $84.00 price objective on shares of Commercial Metals in a report on Tuesday, December 30th. Finally, Wall Street Zen upgraded Commercial Metals from a “buy” rating to a “strong-buy” rating in a research note on Friday, November 28th.

Commercial Metals Trading Down 0.2%

Shares of CMC stock opened at $79.61 on Tuesday. Commercial Metals has a 1-year low of $37.92 and a 1-year high of $84.87. The company has a current ratio of 4.47, a quick ratio of 3.70 and a debt-to-equity ratio of 0.77. The stock has a market cap of $8.83 billion, a price-to-earnings ratio of 20.52, a PEG ratio of 0.43 and a beta of 1.49. The stock has a 50-day moving average of $74.61 and a 200-day moving average of $64.25.

Commercial Metals (NYSE:CMC) last issued its quarterly earnings results on Thursday, January 8th. The basic materials company reported $1.84 EPS for the quarter, beating analysts’ consensus estimates of $1.55 by $0.29. Commercial Metals had a net margin of 5.46% and a return on equity of 11.43%. The business had revenue of $2.12 billion for the quarter, compared to analysts’ expectations of $2.06 billion. During the same quarter in the prior year, the firm posted $0.78 earnings per share. The business’s quarterly revenue was up 11.0% compared to the same quarter last year. On average, equities research analysts forecast that Commercial Metals will post 3.09 earnings per share for the current year.

Commercial Metals Announces Dividend

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

Insiders Place Their Bets

In other Commercial Metals news, Director Dennis V. Arriola acquired 2,000 shares of the company’s stock in a transaction on Tuesday, January 20th. The shares were purchased at an average cost of $74.69 per share, with a total value of $149,380.00. Following the completion of the purchase, the director owned 9,238 shares of the company’s stock, valued at approximately $689,986.22. This represents a 27.63% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Jennifer J. Durbin sold 25,050 shares of Commercial Metals 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 owned 52,880 shares of the company’s stock, valued at $4,228,813.60. This represents a 32.14% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 0.62% of the stock is owned by company insiders.

Hedge Funds Weigh In On Commercial Metals

Large investors have recently added to or reduced their stakes in the business. Root Financial Partners LLC bought a new stake in Commercial Metals during the 3rd quarter worth approximately $25,000. Rothschild Investment LLC increased its stake in Commercial Metals by 169.6% in the 3rd quarter. Rothschild Investment LLC now owns 515 shares of the basic materials company’s stock valued at $29,000 after buying an additional 324 shares during the last quarter. Global Retirement Partners LLC lifted its position in shares of Commercial Metals by 110.7% during the 4th quarter. Global Retirement Partners LLC now owns 573 shares of the basic materials company’s stock worth $40,000 after buying an additional 301 shares in the last quarter. Spire Wealth Management lifted its position in shares of Commercial Metals by 42.4% during the 3rd quarter. Spire Wealth Management now owns 615 shares of the basic materials company’s stock worth $35,000 after buying an additional 183 shares in the last quarter. Finally, SBI Securities Co. Ltd. boosted its stake in shares of Commercial Metals by 282.3% in the 2nd quarter. SBI Securities Co. Ltd. now owns 692 shares of the basic materials company’s stock worth $34,000 after buying an additional 511 shares during the last quarter. Institutional investors own 86.90% of the company’s stock.

Commercial Metals Company Profile

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.