Commercial Metals Company (NYSE:CMC) Receives Average Recommendation of “Moderate Buy” from Analysts

Commercial Metals Company (NYSE:CMC) has received a consensus recommendation of “Moderate Buy” from the fourteen brokerages that are covering the stock, Marketbeat Ratings reports. One investment analyst has rated the stock with a sell rating, five have given a hold rating, seven have given a buy rating and one has given a strong buy rating to the company. The average 12-month target price among brokers that have updated their coverage on the stock in the last year is $77.10.

CMC has been the subject of a number of research analyst reports. Wells Fargo & Company restated an “equal weight” rating and issued a $77.00 target price on shares of Commercial Metals in a research report on Thursday, June 4th. UBS Group upgraded Commercial Metals from a “neutral” rating to a “buy” rating and upped their target price for the stock from $79.00 to $89.00 in a research report on Wednesday, May 13th. KeyCorp initiated coverage on Commercial Metals in a research report on Wednesday, March 25th. They issued a “sector weight” rating for the company. Barclays initiated coverage on Commercial Metals in a research report on Thursday, May 21st. They issued an “equal weight” rating and a $75.00 target price for the company. Finally, Deutsche Bank Aktiengesellschaft upgraded Commercial Metals to a “buy” rating in a research report on Friday, May 22nd.

Institutional Investors Weigh In On Commercial Metals

A number of institutional investors and hedge funds have recently modified their holdings of CMC. Rothschild Investment LLC lifted its position in shares of Commercial Metals by 169.6% during the 3rd quarter. Rothschild Investment LLC now owns 515 shares of the basic materials company’s stock valued at $29,000 after acquiring 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 valued at $40,000 after acquiring an additional 301 shares during the last quarter. V Square Quantitative Management LLC acquired a new stake in shares of Commercial Metals during the 4th quarter valued at $54,000. Caitong International Asset Management Co. Ltd lifted its position in shares of Commercial Metals by 617.2% during the 4th quarter. Caitong International Asset Management Co. Ltd now owns 832 shares of the basic materials company’s stock valued at $58,000 after acquiring an additional 716 shares during the last quarter. Finally, Los Angeles Capital Management LLC acquired a new stake in shares of Commercial Metals during the 4th quarter valued at $59,000. Institutional investors and hedge funds own 86.90% of the company’s stock.

Commercial Metals Stock Performance

Shares of CMC stock opened at $72.50 on Monday. The firm has a market capitalization of $8.04 billion, a price-to-earnings ratio of 16.15, a price-to-earnings-growth ratio of 0.41 and a beta of 1.50. The company has a debt-to-equity ratio of 0.75, a current ratio of 2.38 and a quick ratio of 1.55. Commercial Metals has a 12-month low of $47.06 and a 12-month high of $84.87. The business has a 50 day simple moving average of $71.44 and a 200 day simple moving average of $71.08.

Commercial Metals (NYSE:CMC) last released its earnings results on Thursday, March 26th. The basic materials company reported $1.16 earnings per share for the quarter, missing analysts’ consensus estimates of $1.28 by ($0.12). The firm had revenue of $2.13 billion during the quarter, compared to analyst estimates of $2.10 billion. Commercial Metals had a return on equity of 13.54% and a net margin of 6.02%.The business’s revenue for the quarter was up 21.5% on a year-over-year basis. During the same quarter last year, the company earned $0.26 earnings per share. On average, equities research analysts anticipate that Commercial Metals will post 6.58 EPS for the current year.

Commercial Metals Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, April 15th. Stockholders of record on Monday, April 6th were given a dividend of $0.20 per share. This is a boost from Commercial Metals’s previous quarterly dividend of $0.18. The ex-dividend date was Monday, April 6th. This represents a $0.80 dividend on an annualized basis and a dividend yield of 1.1%. Commercial Metals’s payout ratio is currently 17.82%.

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.