Commercial Metals (NYSE:CMC) Raised to "Buy" at Citigroup

Key Points

• Citigroup has upgraded Commercial Metals from a "neutral" to a "buy" rating, with a price target of $65.00, indicating a potential upside of 17.67% from its previous close.
• The company reported earnings of $1.37 EPS for the latest quarter, surpassing analysts' expectations and showing a 5.9% increase in revenue compared to the same quarter last year.
• As of now, Commercial Metals holds a consensus rating of "Moderate Buy," with one Strong Buy, six Buy, and six Hold ratings from analysts.

Commercial Metals (NYSE:CMC - Get Free Report) was upgraded by investment analysts at Citigroup from a "neutral" rating to a "buy" rating in a note issued to investors on Friday, MarketBeat.com reports. The firm presently has a $65.00 price objective on the basic materials company's stock. Citigroup's price target suggests a potential upside of 17.67% from the stock's previous close.

CMC has been the subject of a number of other research reports. Wall Street Zen upgraded Commercial Metals from a "hold" rating to a "buy" rating in a research report on Sunday, October 12th. Weiss Ratings reiterated a "hold (c)" rating on shares of Commercial Metals in a research report on Wednesday, October 8th. Wells Fargo & Company upped their price objective on Commercial Metals from $61.00 to $64.00 and gave the company an "overweight" rating in a research report on Friday, September 19th. BMO Capital Markets reiterated a "market perform" rating and set a $55.00 price objective (down previously from $57.00) on shares of Commercial Metals in a research report on Tuesday, June 24th. Finally, Morgan Stanley set a $57.50 price objective on Commercial Metals in a research report on Wednesday, June 25th. One analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and six have assigned a Hold rating to the stock. Based on data from MarketBeat.com, Commercial Metals has a consensus rating of "Moderate Buy" and an average price target of $61.75.

Commercial Metals Stock Down 7.4%

CMC stock opened at $55.24 on Friday. Commercial Metals has a 1-year low of $37.92 and a 1-year high of $64.53. The business has a fifty day moving average price of $57.80 and a 200-day moving average price of $51.33. The company has a debt-to-equity ratio of 0.32, a current ratio of 2.86 and a quick ratio of 2.00. The stock has a market capitalization of $6.18 billion, a P/E ratio of 178.19, a P/E/G ratio of 2.01 and a beta of 1.32.

Commercial Metals (NYSE:CMC - Get Free Report) last posted its quarterly earnings data on Thursday, October 16th. The basic materials company reported $1.37 EPS for the quarter, beating analysts' consensus estimates of $1.32 by $0.05. The company had revenue of $2.11 billion during the quarter, compared to analysts' expectations of $2.10 billion. Commercial Metals had a return on equity of 7.45% and a net margin of 0.48%.Commercial Metals's revenue for the quarter was up 5.9% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.90 earnings per share. Equities analysts forecast that Commercial Metals will post 3.09 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Commercial Metals

Large investors have recently bought and sold shares of the company. National Bank of Canada FI increased its stake in Commercial Metals by 80.3% during the 1st quarter. National Bank of Canada FI now owns 548 shares of the basic materials company's stock worth $25,000 after buying an additional 244 shares in the last quarter. SBI Securities Co. Ltd. increased its stake in Commercial Metals by 282.3% during the 2nd quarter. SBI Securities Co. Ltd. now owns 692 shares of the basic materials company's stock worth $34,000 after buying an additional 511 shares in the last quarter. Signaturefd LLC increased its stake in Commercial Metals by 51.4% during the 2nd quarter. Signaturefd LLC now owns 890 shares of the basic materials company's stock worth $44,000 after buying an additional 302 shares in the last quarter. Wayfinding Financial LLC purchased a new stake in Commercial Metals during the 1st quarter worth approximately $47,000. Finally, UMB Bank n.a. increased its stake in Commercial Metals by 77.8% during the 2nd quarter. UMB Bank n.a. now owns 1,394 shares of the basic materials company's stock worth $68,000 after buying an additional 610 shares in the last quarter. 86.90% of the stock is currently owned by hedge funds and other institutional investors.

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.

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