Commercial Metals Company (NYSE:CMC) Stock Has Average Target Price of $81.64

Commercial Metals Company (NYSE:CMC) has received an average rating of “Moderate Buy” from the fifteen analysts that are currently covering the company, MarketBeat reports. Five equities research analysts have rated the stock with a hold recommendation and ten have given a buy recommendation to the company. The average 12-month price objective among brokerages that have covered the stock in the last year is $81.64.

CMC has been the subject of several recent analyst reports. Weiss Ratings upgraded shares of Commercial Metals from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Friday, September 11th. Morgan Stanley increased their price target on shares of Commercial Metals from $83.00 to $88.00 and gave the stock an “overweight” rating in a report on Monday, June 22nd. JPMorgan Chase & Co. reduced their price objective on shares of Commercial Metals from $86.00 to $83.00 and set an “overweight” rating for the company in a research report on Wednesday, September 9th. Barclays lifted their price objective on Commercial Metals from $75.00 to $80.00 and gave the company an “equal weight” rating in a report on Friday, August 7th. Finally, The Goldman Sachs Group reiterated a “buy” rating and set a $85.00 target price on shares of Commercial Metals in a research report on Thursday, August 6th.

Commercial Metals Price Performance

Commercial Metals stock opened at $65.78 on Wednesday. Commercial Metals has a 12 month low of $53.08 and a 12 month high of $84.87. The company has a debt-to-equity ratio of 0.73, a current ratio of 2.33 and a quick ratio of 1.54. The business has a 50 day simple moving average of $68.58 and a 200-day simple moving average of $68.11. The stock has a market capitalization of $7.28 billion, a PE ratio of 12.39, a price-to-earnings-growth ratio of 0.34 and a beta of 1.52.

Commercial Metals (NYSE:CMC) last posted its quarterly earnings data on Thursday, June 25th. The basic materials company reported $1.73 earnings per share for the quarter, beating analysts’ consensus estimates of $1.70 by $0.03. The firm had revenue of $2.48 billion for the quarter, compared to analyst estimates of $2.40 billion. Commercial Metals had a net margin of 6.72% and a return on equity of 15.69%. Commercial Metals’s quarterly revenue was up 22.9% on a year-over-year basis. During the same period last year, the firm posted $0.74 EPS. Equities analysts predict that Commercial Metals will post 6.62 earnings per share for the current year.

Commercial Metals announced that its board has approved a stock repurchase plan on Wednesday, August 5th that allows the company to repurchase $600.00 million in shares. This repurchase authorization allows the basic materials company to repurchase up to 7.5% of its shares through open market purchases. Shares repurchase plans are generally a sign that the company’s board of directors believes its shares are undervalued.

Insider Buying and Selling

In other Commercial Metals news, Director John R. Mcpherson acquired 1,390 shares of the business’s stock in a transaction on Thursday, August 13th. The stock was purchased at an average price of $71.92 per share, for a total transaction of $99,968.80. Following the completion of the transaction, the director 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. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Peter R. Matt bought 8,230 shares of Commercial Metals stock in a transaction on Friday, July 10th. The stock was acquired at an average cost of $61.30 per share, with a total value of $504,499.00. Following the acquisition, the chief executive officer owned 181,522 shares of the company’s stock, valued at $11,127,298.60. This trade represents a 4.75% increase in their position. The SEC filing for this purchase provides additional information. 0.62% of the stock is owned by insiders.

Hedge Funds Weigh In On Commercial Metals

Large investors have recently made changes to their positions in the stock. USA Financial Formulas boosted its holdings in Commercial Metals by 67.6% during the first quarter. USA Financial Formulas now owns 496 shares of the basic materials company’s stock worth $30,000 after buying an additional 200 shares in the last quarter. Global Retirement Partners LLC acquired a new position in Commercial Metals during the second quarter worth about $34,000. Caitong International Asset Management Co. Ltd increased its holdings in Commercial Metals by 617.2% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 832 shares of the basic materials company’s stock valued at $58,000 after buying an additional 716 shares in the last quarter. Integrated Wealth Concepts LLC purchased a new position in Commercial Metals in the second quarter valued at about $63,000. Finally, EverSource Wealth Advisors LLC lifted its position in shares of Commercial Metals by 105.0% during the 1st quarter. EverSource Wealth Advisors LLC now owns 1,222 shares of the basic materials company’s stock valued at $75,000 after acquiring an additional 626 shares during the period. Hedge funds and other institutional investors own 86.90% of the company’s stock.

About Commercial Metals

Commercial Metals Company (NYSE: CMC) is a steel and metals manufacturing and recycling company headquartered in Irving, Texas. Founded in 1915, the company began as a scrap-metal business and has grown into an integrated producer, recycler and fabricator serving construction and industrial markets.

CMC manufactures and distributes a range of steel products, including reinforcing bar, merchant bar, wire rod, structural products, wire mesh and other products used in concrete construction and infrastructure projects.