Commercial Metals (NYSE:CMC) Releases Quarterly Earnings Results

Commercial Metals (NYSE:CMC - Get Free Report) announced its quarterly earnings results on Monday. The basic materials company reported $0.74 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.85 by ($0.11), Zacks reports. Commercial Metals had a return on equity of 7.45% and a net margin of 0.48%. The business had revenue of $2.02 billion for the quarter, compared to analysts' expectations of $2.04 billion. During the same period last year, the firm earned $1.02 earnings per share. The firm's quarterly revenue was down 2.8% on a year-over-year basis.

Commercial Metals Stock Performance

Shares of NYSE CMC traded up $0.94 during midday trading on Thursday, reaching $50.12. 1,194,833 shares of the company were exchanged, compared to its average volume of 988,864. The stock has a market cap of $5.61 billion, a P/E ratio of 161.69, a PEG ratio of 2.03 and a beta of 1.27. Commercial Metals has a 1 year low of $37.92 and a 1 year high of $64.53. The stock has a fifty day simple moving average of $47.03 and a 200 day simple moving average of $48.12. The company has a current ratio of 2.86, a quick ratio of 1.94 and a debt-to-equity ratio of 0.32.

Commercial Metals Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, July 9th. Stockholders of record on Monday, June 30th will be paid a dividend of $0.18 per share. The ex-dividend date is Monday, June 30th. This represents a $0.72 annualized dividend and a dividend yield of 1.44%. Commercial Metals's dividend payout ratio (DPR) is 232.26%.

Wall Street Analysts Forecast Growth

CMC has been the subject of several recent analyst reports. UBS Group restated a "neutral" rating on shares of Commercial Metals in a research note on Friday, June 20th. Morgan Stanley set a $57.50 price objective on shares of Commercial Metals in a research report on Wednesday. Wolfe Research upgraded shares of Commercial Metals from a "peer perform" rating to an "outperform" rating in a report on Friday, June 20th. Jefferies Financial Group reiterated a "buy" rating on shares of Commercial Metals in a research note on Friday, June 20th. Finally, JPMorgan Chase & Co. assumed coverage on shares of Commercial Metals in a research note on Friday, May 30th. They issued a "neutral" rating and a $52.00 price objective for the company. Five equities research analysts have rated the stock with a hold rating and four have issued a buy rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of "Hold" and an average target price of $58.69.

Insider Activity at Commercial Metals

In other news, Director John R. Mcpherson acquired 2,475 shares of the business's stock in a transaction on Friday, April 4th. The stock was bought at an average price of $40.42 per share, for a total transaction of $100,039.50. Following the transaction, the director now owns 15,141 shares in the company, valued at $611,999.22. This represents a 19.54% increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is accessible through the SEC website. 0.46% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Commercial Metals

Hedge funds have recently added to or reduced their stakes in the company. Amundi increased its holdings in shares of Commercial Metals by 13.3% in the 1st quarter. Amundi now owns 2,480 shares of the basic materials company's stock valued at $114,000 after purchasing an additional 291 shares in the last quarter. Jones Financial Companies Lllp grew its position in shares of Commercial Metals by 614.9% in the first quarter. Jones Financial Companies Lllp now owns 11,767 shares of the basic materials company's stock valued at $541,000 after purchasing an additional 10,121 shares during the last quarter. Empowered Funds LLC grew its position in shares of Commercial Metals by 1.8% in the first quarter. Empowered Funds LLC now owns 53,305 shares of the basic materials company's stock valued at $2,453,000 after purchasing an additional 941 shares during the last quarter. Royal Bank of Canada increased its stake in shares of Commercial Metals by 1.4% during the 1st quarter. Royal Bank of Canada now owns 90,989 shares of the basic materials company's stock worth $4,186,000 after purchasing an additional 1,219 shares in the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its position in shares of Commercial Metals by 2.9% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 339,580 shares of the basic materials company's stock worth $15,624,000 after purchasing an additional 9,526 shares during the last quarter. Institutional investors and hedge funds own 86.90% of the company's stock.

Commercial Metals Company Profile

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.