Commercial Metals Company (NYSE:CMC) Stock Has Consensus Target Price of $80.45

Commercial Metals Company (NYSE:CMC) has earned a consensus rating of “Moderate Buy” from the fifteen ratings firms that are covering the firm, MarketBeat.com reports. One equities research analyst has rated the stock with a sell recommendation, four have given a hold recommendation and ten have given a buy recommendation to the company. The average 1-year price objective among analysts that have issued ratings on the stock in the last year is $78.73.

A number of research analysts recently weighed in on CMC shares. Barclays decreased their target price on Commercial Metals from $80.00 to $72.00 and set an “equal weight” rating on the stock in a report on Tuesday. BNP Paribas Exane upgraded Commercial Metals from a “neutral” rating to an “outperform” rating and set a $75.00 price objective for the company in a report on Wednesday, July 8th. Citigroup decreased their target price on Commercial Metals from $85.00 to $75.00 and set a “buy” rating on the stock in a research report on Tuesday, July 7th. JPMorgan Chase & Co. lowered their target price on Commercial Metals from $83.00 to $80.00 and set an “overweight” rating on the stock in a research note on Friday, October 9th. Finally, BMO Capital Markets lowered their target price on Commercial Metals from $75.00 to $73.00 and set a “market perform” rating on the stock in a research note on Monday.

Insider Buying and Selling at Commercial Metals

In related news, Director John McPherson purchased 1,390 shares of the business’s stock in a transaction that occurred on Thursday, August 13th. The stock was acquired at an average cost of $71.92 per share, for a total transaction of $99,968.80. Following the completion of the purchase, the director owned 21,927 shares in the company, valued at approximately $1,576,989.84. This represents a 6.77% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Insiders own 0.62% of the company’s stock.

Institutional Investors Weigh In On Commercial Metals

Large investors have recently bought and sold shares of the company. NewEdge Advisors LLC raised its position in shares of Commercial Metals by 4.2% in the 1st quarter. NewEdge Advisors LLC now owns 3,610 shares of the basic materials company’s stock valued at $222,000 after buying an additional 147 shares in the last quarter. Fifth Third Wealth Advisors LLC raised its position in Commercial Metals by 4.0% during the first quarter. Fifth Third Wealth Advisors LLC now owns 4,164 shares of the basic materials company’s stock valued at $256,000 after purchasing an additional 160 shares in the last quarter. Envestnet Portfolio Solutions Inc. raised its position in Commercial Metals by 0.8% during the second quarter. Envestnet Portfolio Solutions Inc. now owns 20,436 shares of the basic materials company’s stock valued at $1,282,000 after purchasing an additional 168 shares in the last quarter. Isthmus Partners LLC lifted its stake in Commercial Metals by 3.0% during the third quarter. Isthmus Partners LLC now owns 6,301 shares of the basic materials company’s stock worth $391,000 after purchasing an additional 181 shares during the last quarter. Finally, USA Financial Formulas boosted its holdings in shares of Commercial Metals by 67.6% in the 1st quarter. USA Financial Formulas now owns 496 shares of the basic materials company’s stock valued at $30,000 after purchasing an additional 200 shares in the last quarter. 86.90% of the stock is currently owned by institutional investors and hedge funds.

Commercial Metals Stock Performance

Shares of CMC opened at $63.92 on Friday. The company has a market cap of $7.03 billion, a PE ratio of 10.89, a price-to-earnings-growth ratio of 3.74 and a beta of 1.53. The firm has a 50-day moving average of $66.15 and a 200-day moving average of $68.42. Commercial Metals has a one year low of $55.97 and a one year high of $84.87. The company has a debt-to-equity ratio of 0.71, a current ratio of 2.34 and a quick ratio of 1.66.

Commercial Metals (NYSE:CMC) last issued its earnings results on Thursday, October 15th. The basic materials company reported $2.09 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.95 by $0.14. The company had revenue of $2.66 billion for the quarter, compared to analysts’ expectations of $2.56 billion. Commercial Metals had a net margin of 6.98% and a return on equity of 17.00%. Commercial Metals’s quarterly revenue was up 25.7% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.37 EPS. As a group, equities analysts forecast that Commercial Metals will post 7.07 earnings per share for the current year.

Commercial Metals announced that its board has authorized a share 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 buy up to 7.5% of its shares through open market purchases. Stock repurchase plans are often a sign that the company’s leadership believes its stock is undervalued.

Commercial Metals Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, November 11th. Investors of record on Wednesday, October 28th will be paid a $0.20 dividend. The ex-dividend date is Wednesday, October 28th. This represents a $0.80 annualized dividend and a dividend yield of 1.3%. Commercial Metals’s dividend payout ratio is 13.63%.

Commercial Metals Company Profile

Commercial Metals Company (NYSE:CMC) is a steel and metals manufacturer, recycler and fabricator headquartered in Irving, Texas. The company produces and sells steel products used in construction, infrastructure and industrial applications, including reinforcing bar, wire rod, merchant bar, structural steel and related products.

CMC operates an integrated recycling and manufacturing model. Its recycling facilities collect and process ferrous and nonferrous scrap metal, which is used as raw material in the company’s electric-arc-furnace steel mills.