Key Points
- Director John Mcpherson purchased 1,390 Commercial Metals shares at an average price of $71.92, increasing his direct ownership by 6.77% to 21,927 shares.
- Commercial Metals recently reported quarterly EPS of $1.73, exceeding estimates, while revenue rose 22.9% year over year to $2.48 billion.
- The company authorized a $600 million share buyback, covering up to 7.5% of outstanding shares; analysts maintain a “Moderate Buy” consensus with an average price target of $81.18.
Commercial Metals Company (NYSE:CMC - Get Free Report) Director John Mcpherson bought 1,390 shares of Commercial Metals stock in a transaction on Thursday, August 13th. The shares were purchased at an average cost of $71.92 per share, with a total value of $99,968.80. Following the acquisition, the director directly owned 21,927 shares of the company's stock, valued at approximately $1,576,989.84. The trade was a 6.77% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link.
Commercial Metals Stock Performance
Shares of Commercial Metals stock opened at $71.60 on Friday. Commercial Metals Company has a one year low of $53.08 and a one year high of $84.87. The company has a market cap of $7.92 billion, a price-to-earnings ratio of 13.48, a PEG ratio of 0.42 and a beta of 1.52. The company has a debt-to-equity ratio of 0.73, a quick ratio of 1.54 and a current ratio of 2.33. The business's 50 day moving average price is $69.43 and its 200 day moving average price is $70.17.
Commercial Metals (NYSE:CMC - Get Free Report) last issued its earnings results on Thursday, June 25th. The basic materials company reported $1.73 EPS for the quarter, topping analysts' consensus estimates of $1.70 by $0.03. The company had revenue of $2.48 billion for the quarter, compared to the consensus estimate 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% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.74 earnings per share. On average, research analysts predict that Commercial Metals Company will post 6.64 EPS for the current year.
Commercial Metals Dividend Announcement
The business also recently announced a quarterly dividend, which was paid on Wednesday, July 15th. Shareholders of record on Monday, July 6th were given a $0.20 dividend. The ex-dividend date of this dividend was Monday, July 6th. This represents a $0.80 dividend on an annualized basis and a yield of 1.1%. Commercial Metals's dividend payout ratio is presently 15.07%.
Commercial Metals declared that its Board of Directors has authorized a stock buyback program on Wednesday, August 5th that authorizes the company to buyback $600.00 million in shares. This buyback authorization authorizes the basic materials company to reacquire up to 7.5% of its shares through open market purchases. Shares buyback programs are usually an indication that the company's board of directors believes its stock is undervalued.
Wall Street Analysts Forecast Growth
A number of research firms have recently issued reports on CMC. BNP Paribas Exane raised shares of Commercial Metals from a "neutral" rating to an "outperform" rating and set a $75.00 price target on the stock in a research note on Wednesday, July 8th. Bank of America dropped their target price on shares of Commercial Metals from $84.00 to $78.00 and set a "buy" rating for the company in a report on Thursday, July 9th. Weiss Ratings raised Commercial Metals from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Thursday, July 30th. BMO Capital Markets upped their price target on Commercial Metals from $77.00 to $80.00 and gave the stock a "market perform" rating in a research note on Thursday, August 6th. Finally, Jefferies Financial Group upgraded Commercial Metals from a "buy" rating to a "buy" rating in a research report on Friday, June 5th. Ten research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat.com, Commercial Metals has an average rating of "Moderate Buy" and a consensus price target of $81.18.
Read Our Latest Stock Analysis on CMC
Institutional Inflows and Outflows
Several hedge funds and other institutional investors have recently made changes to their positions in the business. USA Financial Formulas grew its holdings in shares of Commercial Metals by 67.6% in the first 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. Global Retirement Partners LLC acquired a new stake in Commercial Metals during the 2nd quarter worth approximately $34,000. Caitong International Asset Management Co. Ltd boosted its position in Commercial Metals by 617.2% in the 4th 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 during the period. Los Angeles Capital Management LLC purchased a new position in Commercial Metals in the 4th quarter valued at approximately $59,000. Finally, Colonial Trust Co SC acquired a new position in shares of Commercial Metals in the fourth quarter worth $81,000. Hedge funds and other institutional investors own 86.90% of the company's stock.
Commercial Metals Company Profile
(
Get Free Report)
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.
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