Commercial Metals (NYSE:CMC) Issues Quarterly Earnings Results

Commercial Metals (NYSE:CMC) posted its quarterly earnings results on Thursday. The basic materials company reported $1.84 earnings per share for the quarter, topping the consensus estimate of $1.41 by $0.43, Zacks reports. Commercial Metals had a return on equity of 8.76% and a net margin of 1.09%.

Commercial Metals Stock Down 1.7%

CMC opened at $73.31 on Thursday. The stock has a market cap of $8.14 billion, a price-to-earnings ratio of 96.46, a price-to-earnings-growth ratio of 0.41 and a beta of 1.49. The company has a debt-to-equity ratio of 0.31, a quick ratio of 2.03 and a current ratio of 2.78. The firm’s fifty day moving average is $65.15 and its 200 day moving average is $59.07. Commercial Metals has a fifty-two week low of $37.92 and a fifty-two week high of $75.03.

Commercial Metals Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, February 2nd. Stockholders of record on Monday, January 19th will be given a dividend of $0.18 per share. This represents a $0.72 annualized dividend and a dividend yield of 1.0%. The ex-dividend date is Friday, January 16th. Commercial Metals’s dividend payout ratio (DPR) is presently 94.74%.

Wall Street Analysts Forecast Growth

CMC has been the topic of a number of recent analyst reports. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Commercial Metals in a report on Wednesday, October 8th. The Goldman Sachs Group reaffirmed a “buy” rating and issued a $84.00 target price on shares of Commercial Metals in a research report on Tuesday, December 30th. Morgan Stanley upgraded shares of Commercial Metals from an “equal weight” rating to an “overweight” rating and boosted their target price for the company from $57.50 to $68.00 in a research note on Friday, October 24th. Wall Street Zen upgraded Commercial Metals from a “buy” rating to a “strong-buy” rating in a research report on Friday, November 28th. Finally, Citigroup raised Commercial Metals from a “neutral” rating to a “buy” rating and raised their target price for the stock from $60.00 to $65.00 in a research report on Friday, October 17th. One investment analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating and three have given a Hold rating to the company’s stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $68.30.

Insider Transactions at Commercial Metals

In other Commercial Metals news, Director John R. Mcpherson purchased 1,722 shares of the firm’s stock in a transaction on Monday, October 20th. The shares were acquired at an average cost of $58.09 per share, with a total value of $100,030.98. Following the completion of the acquisition, the director directly owned 6,722 shares in the company, valued at $390,480.98. The trade was a 34.44% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is available through the SEC website. Insiders own 0.62% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. EverSource Wealth Advisors LLC raised its position in shares of Commercial Metals by 84.1% during the second quarter. EverSource Wealth Advisors LLC now owns 1,550 shares of the basic materials company’s stock valued at $76,000 after buying an additional 708 shares during the last quarter. Amundi grew its stake in Commercial Metals by 13.3% during the first quarter. Amundi now owns 2,480 shares of the basic materials company’s stock valued at $114,000 after acquiring an additional 291 shares in the last quarter. Danske Bank A S bought a new stake in Commercial Metals in the 3rd quarter valued at $115,000. Advisory Services Network LLC purchased a new stake in Commercial Metals in the 3rd quarter worth $139,000. Finally, CIBC Private Wealth Group LLC boosted its holdings in shares of Commercial Metals by 39.9% during the 3rd quarter. CIBC Private Wealth Group LLC now owns 3,497 shares of the basic materials company’s stock valued at $200,000 after purchasing an additional 998 shares during the last quarter. 86.90% of the stock is currently owned by institutional investors.

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.