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

Shares of Commercial Metals Company (NYSE:CMC) have earned an average rating of “Moderate Buy” from the nine research firms that are covering the firm, MarketBeat.com reports. Five equities research analysts have rated the stock with a hold rating, three have assigned a buy rating and one has given a strong buy rating to the company. The average 1-year price objective among brokers that have covered the stock in the last year is $58.8125.

Several research firms have commented on CMC. Wolfe Research upgraded shares of Commercial Metals from a “peer perform” rating to an “outperform” rating in a report on Friday, June 20th. BMO Capital Markets reiterated a “market perform” rating and issued a $55.00 price objective (down from $57.00) on shares of Commercial Metals in a report on Tuesday, June 24th. JPMorgan Chase & Co. upped their price objective on shares of Commercial Metals from $52.00 to $54.00 and gave the company a “neutral” rating in a report on Monday, July 14th. Wall Street Zen downgraded shares of Commercial Metals from a “buy” rating to a “hold” rating in a report on Saturday. Finally, Wells Fargo & Company upgraded shares of Commercial Metals to a “strong-buy” rating in a report on Thursday, August 14th.

Commercial Metals Price Performance

Shares of CMC opened at $57.86 on Friday. The company has a market cap of $6.48 billion, a price-to-earnings ratio of 186.65, a PEG ratio of 1.79 and a beta of 1.33. Commercial Metals has a 1-year low of $37.92 and a 1-year high of $64.53. The company’s fifty day simple moving average is $54.88 and its 200 day simple moving average is $49.43. The company has a current ratio of 2.86, a quick ratio of 2.00 and a debt-to-equity ratio of 0.32.

Commercial Metals (NYSE:CMC) last issued its earnings results on Monday, June 23rd. The basic materials company reported $0.74 earnings per share for the quarter, missing analysts’ consensus estimates of $0.85 by ($0.11). The firm had revenue of $2.02 billion for the quarter, compared to analyst estimates of $2.04 billion. Commercial Metals had a return on equity of 7.45% and a net margin of 0.48%.Commercial Metals’s quarterly revenue was down 2.8% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.02 earnings per share. On average, research analysts forecast that Commercial Metals will post 3.09 earnings per share for the current fiscal year.

Commercial Metals Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, July 9th. Shareholders of record on Monday, June 30th were issued a $0.18 dividend. This represents a $0.72 annualized dividend and a dividend yield of 1.2%. The ex-dividend date was Monday, June 30th. Commercial Metals’s payout ratio is currently 232.26%.

Institutional Investors Weigh In On Commercial Metals

A number of institutional investors have recently modified their holdings of CMC. BNP Paribas Financial Markets boosted its position in shares of Commercial Metals by 11.5% in the fourth quarter. BNP Paribas Financial Markets now owns 33,198 shares of the basic materials company’s stock valued at $1,647,000 after acquiring an additional 3,426 shares during the period. Cetera Investment Advisers boosted its position in shares of Commercial Metals by 36.0% in the fourth quarter. Cetera Investment Advisers now owns 6,567 shares of the basic materials company’s stock valued at $326,000 after acquiring an additional 1,738 shares during the period. Deutsche Bank AG boosted its position in shares of Commercial Metals by 44.2% in the fourth quarter. Deutsche Bank AG now owns 106,005 shares of the basic materials company’s stock valued at $5,258,000 after acquiring an additional 32,473 shares during the period. Ethic Inc. boosted its position in shares of Commercial Metals by 89.3% in the fourth quarter. Ethic Inc. now owns 7,292 shares of the basic materials company’s stock valued at $362,000 after acquiring an additional 3,440 shares during the period. Finally, Focus Partners Wealth boosted its position in shares of Commercial Metals by 124.5% in the fourth quarter. Focus Partners Wealth now owns 17,742 shares of the basic materials company’s stock valued at $880,000 after acquiring an additional 9,838 shares during the period. Institutional investors own 86.90% of the company’s stock.

About Commercial Metals

Commercial Metals Company manufactures, recycles, and fabricates steel and metal products, and related materials and services in the United States, Poland, China, and internationally. It operates through two segments, North America and Europe. The company processes and sells ferrous and nonferrous scrap metals to steel mills and foundries, aluminum sheet and ingot manufacturers, brass and bronze ingot makers, copper refineries and mills, secondary lead smelters, specialty steel mills, high temperature alloy manufacturers, and other consumers.