Commercial Metals (NYSE:CMC) Cut to Hold at Zacks Research

Zacks Research lowered shares of Commercial Metals (NYSE:CMC) from a strong-buy rating to a hold rating in a research report report published on Tuesday morning,Zacks.com reports. Zacks Research also issued estimates for Commercial Metals’ Q1 2027 earnings at $1.65 EPS.

Several other research analysts have also commented on the stock. The Goldman Sachs Group reiterated a “buy” rating and set a $84.00 price objective on shares of Commercial Metals in a research note on Tuesday, December 30th. Morgan Stanley upped their price target on Commercial Metals from $68.00 to $85.00 and gave the stock an “overweight” rating in a research report on Friday, January 9th. Wells Fargo & Company increased their price objective on Commercial Metals from $68.00 to $79.00 and gave the company an “overweight” rating in a report on Monday, December 15th. UBS Group reissued a “neutral” rating on shares of Commercial Metals in a research report on Monday, October 27th. Finally, Jefferies Financial Group set a $85.00 target price on Commercial Metals and gave the company a “buy” rating in a research report on Thursday, January 8th. Eight analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $72.70.

Commercial Metals Trading Down 2.6%

CMC opened at $80.57 on Tuesday. The company has a current ratio of 4.47, a quick ratio of 3.70 and a debt-to-equity ratio of 0.77. The firm has a market cap of $8.94 billion, a price-to-earnings ratio of 20.76, a PEG ratio of 0.44 and a beta of 1.49. Commercial Metals has a 12 month low of $37.92 and a 12 month high of $84.12. The stock has a fifty day moving average price of $72.29 and a 200-day moving average price of $62.69.

Commercial Metals (NYSE:CMC) last posted its earnings results on Thursday, January 8th. The basic materials company reported $1.84 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.55 by $0.29. The company had revenue of $2.12 billion for the quarter, compared to analyst estimates of $2.06 billion. Commercial Metals had a return on equity of 11.43% and a net margin of 5.46%.The firm’s quarterly revenue was up 11.0% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.78 earnings per share. As a group, equities research analysts anticipate that Commercial Metals will post 3.09 earnings per share for the current fiscal year.

Commercial Metals Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, February 2nd. Shareholders of record on Monday, January 19th were paid a dividend of $0.18 per share. This represents a $0.72 annualized dividend and a yield of 0.9%. The ex-dividend date was Friday, January 16th. Commercial Metals’s payout ratio is presently 18.56%.

Insider Transactions at Commercial Metals

In other news, Director Dennis V. Arriola acquired 2,000 shares of Commercial Metals stock in a transaction dated Tuesday, January 20th. The stock was purchased at an average cost of $74.69 per share, for a total transaction of $149,380.00. Following the completion of the purchase, the director directly owned 9,238 shares in the company, valued at $689,986.22. This trade represents a 27.63% increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Jennifer J. Durbin sold 25,050 shares of Commercial Metals stock in a transaction dated Tuesday, February 3rd. The stock was sold at an average price of $79.97, for a total value of $2,003,248.50. Following the sale, the insider directly owned 52,880 shares of the company’s stock, valued at $4,228,813.60. This trade represents a 32.14% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 0.62% of the stock is currently owned by corporate insiders.

Institutional Trading of Commercial Metals

Several large investors have recently made changes to their positions in the business. State Street Corp raised its holdings in shares of Commercial Metals by 2.6% during the third quarter. State Street Corp now owns 6,270,373 shares of the basic materials company’s stock worth $359,167,000 after purchasing an additional 161,195 shares during the last quarter. Boston Partners grew its position in Commercial Metals by 1.9% during the 3rd quarter. Boston Partners now owns 3,641,930 shares of the basic materials company’s stock worth $208,629,000 after purchasing an additional 67,139 shares during the period. Franklin Resources Inc. raised its stake in shares of Commercial Metals by 10.0% during the 2nd quarter. Franklin Resources Inc. now owns 3,193,930 shares of the basic materials company’s stock valued at $156,215,000 after buying an additional 290,256 shares during the last quarter. American Century Companies Inc. lifted its holdings in shares of Commercial Metals by 6.6% in the 3rd quarter. American Century Companies Inc. now owns 1,823,923 shares of the basic materials company’s stock valued at $104,474,000 after buying an additional 112,267 shares during the period. Finally, Invesco Ltd. lifted its holdings in shares of Commercial Metals by 4.8% in the 3rd quarter. Invesco Ltd. now owns 1,661,027 shares of the basic materials company’s stock valued at $95,144,000 after buying an additional 76,365 shares during the period. 86.90% of the stock is owned by hedge funds and other 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.