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

Commercial Metals Company (NYSE:CMC) has been assigned a consensus rating of “Moderate Buy” from the fifteen brokerages that are covering the stock, Marketbeat reports. Five analysts have rated the stock with a hold recommendation and ten have assigned a buy recommendation to the company. The average 1 year price objective among analysts that have covered the stock in the last year is $81.1818.

A number of research firms recently issued reports on CMC. 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. JPMorgan Chase & Co. decreased their price target on shares of Commercial Metals from $83.00 to $78.00 and set an “overweight” rating for the company in a research note on Tuesday, April 14th. Morgan Stanley upped their price objective on shares of Commercial Metals from $83.00 to $88.00 and gave the company an “overweight” rating in a report on Monday, June 22nd. Weiss Ratings raised shares of Commercial Metals from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Thursday, July 30th. Finally, Jefferies Financial Group upgraded Commercial Metals from a “buy” rating to a “buy” rating in a research note on Friday, June 5th.

Commercial Metals News Roundup

Here are the key news stories impacting Commercial Metals this week:

• Positive Sentiment: Share buyback supports the stock: Commercial Metals authorized a program to repurchase up to $600 million of its outstanding shares, representing as much as 7.5% of the company’s stock. The authorization signals management believes the shares are undervalued and could support earnings per share by reducing the share count. Commercial Metals to Repurchase $600 Million in Outstanding Shares
• Positive Sentiment: Zacks raises longer-term EPS estimates: Zacks Research increased its forecasts across several periods, including Q1 2027 EPS to $1.79 from $1.77, FY2027 EPS to $7.13 from $7.08, and FY2028 EPS to $7.32 from $7.27. Estimates for Q4 2027, Q1-Q3 2028 were also raised by $0.01 per share, suggesting slightly improved expectations for future profitability.
• Neutral Sentiment: Analyst target rises, but rating remains cautious: BMO Capital Markets lifted its price target for CMC from $77 to $80 while maintaining a “Market Perform” rating. The higher target offers moderate potential upside, but the unchanged rating indicates BMO does not expect substantial outperformance relative to the broader market. BMO Capital Markets Raises Commercial Metals Price Target

Commercial Metals Trading Up 2.0%

NYSE CMC opened at $75.17 on Tuesday. The business has a 50 day simple moving average of $69.80 and a 200 day simple moving average of $70.32. Commercial Metals has a one year low of $52.74 and a one year high of $84.87. The stock has a market capitalization of $8.32 billion, a P/E ratio of 14.16, a P/E/G ratio of 0.43 and a beta of 1.52. The company has a debt-to-equity ratio of 0.73, a current ratio of 2.33 and a quick ratio of 1.54.

Commercial Metals (NYSE:CMC) last issued its quarterly earnings results on Thursday, June 25th. The basic materials company reported $1.73 earnings per share (EPS) for the quarter, beating the consensus estimate 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 return on equity of 15.69% and a net margin of 6.72%.The company’s 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. Research analysts expect that Commercial Metals will post 6.64 earnings per share for the current year.

Commercial Metals Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Wednesday, July 15th. Shareholders of record on Monday, July 6th were issued a $0.20 dividend. The ex-dividend date was Monday, July 6th. This represents a $0.80 annualized dividend and a yield of 1.1%. Commercial Metals’s dividend payout ratio is presently 15.07%.

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

Insider Activity at Commercial Metals

In other news, CEO Peter R. Matt bought 8,230 shares of the stock in a transaction dated Friday, July 10th. The shares were bought at an average cost of $61.30 per share, with a total value of $504,499.00. Following the completion of the transaction, the chief executive officer directly owned 181,522 shares of the company’s stock, valued at $11,127,298.60. This trade represents a 4.75% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which can be accessed through the SEC website. 0.62% of the stock is currently owned by corporate insiders.

Institutional Trading of Commercial Metals

Several hedge funds have recently bought and sold shares of the business. Qsemble Capital Management LP grew its holdings in shares of Commercial Metals by 118.6% during the fourth quarter. Qsemble Capital Management LP now owns 49,885 shares of the basic materials company’s stock valued at $3,453,000 after buying an additional 27,062 shares during the last quarter. California Public Employees Retirement System raised its holdings in shares of Commercial Metals by 11.5% in the 1st quarter. California Public Employees Retirement System now owns 277,877 shares of the basic materials company’s stock worth $17,070,000 after acquiring an additional 28,693 shares during the last quarter. Tudor Investment Corp ET AL raised its holdings in shares of Commercial Metals by 45.5% in the 3rd quarter. Tudor Investment Corp ET AL now owns 217,082 shares of the basic materials company’s stock worth $12,434,000 after acquiring an additional 67,864 shares during the last quarter. NFJ Investment Group LLC bought a new position in Commercial Metals in the 4th quarter valued at about $12,600,000. Finally, Artemis Investment Management LLP acquired a new position in Commercial Metals during the 4th quarter valued at about $103,962,000. Institutional investors and hedge funds own 86.90% of the company’s stock.

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.