Commercial Metals (NYSE:CMC) Upgraded at Morgan Stanley

Key Points

• Commercial Metals has been upgraded by Morgan Stanley from an "equal weight" rating to an "overweight" rating, with a new target price of $68.00, suggesting an upside potential of 11.65%.
• The stock reported earnings of $1.37 per share for the last quarter, exceeding analysts' expectations, with revenues reaching $2.11 billion.
• Insider transactions showed Director John R. McPherson purchasing 1,722 shares of stock for a total value of approximately $100,031, indicating confidence in the company's performance.

Commercial Metals (NYSE:CMC - Get Free Report) was upgraded by equities research analysts at Morgan Stanley from an "equal weight" rating to an "overweight" rating in a research report issued on Friday,Benzinga reports. The brokerage presently has a $68.00 target price on the basic materials company's stock, up from their prior target price of $57.50. Morgan Stanley's price target would suggest a potential upside of 11.65% from the company's previous close.

A number of other equities analysts have also weighed in on the stock. JPMorgan Chase & Co. lifted their price target on shares of Commercial Metals from $63.00 to $64.00 and gave the company a "neutral" rating in a report on Monday. Jefferies Financial Group set a $70.00 price target on shares of Commercial Metals and gave the company a "hold" rating in a report on Wednesday. UBS Group raised their target price on shares of Commercial Metals from $48.00 to $56.00 and gave the company a "neutral" rating in a research note on Wednesday, August 13th. Bank of America raised their target price on shares of Commercial Metals from $60.00 to $70.00 and gave the company a "buy" rating in a research note on Monday, September 15th. Finally, The Goldman Sachs Group raised their target price on shares of Commercial Metals from $69.00 to $76.00 and gave the company a "buy" rating in a research note on Thursday. One investment analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and six have issued a Hold rating to the company's stock. Based on data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $63.80.

Commercial Metals Stock Up 2.0%

Shares of CMC opened at $60.90 on Friday. The firm has a market cap of $6.76 billion, a PE ratio of 80.14, a price-to-earnings-growth ratio of 1.91 and a beta of 1.32. The company's fifty day moving average is $58.21 and its two-hundred day moving average is $51.89. Commercial Metals has a fifty-two week low of $37.92 and a fifty-two week high of $64.53. The company has a quick ratio of 2.03, a current ratio of 2.78 and a debt-to-equity ratio of 0.31.

Commercial Metals (NYSE:CMC - Get Free Report) last announced its quarterly earnings results on Thursday, October 16th. The basic materials company reported $1.37 earnings per share for the quarter, beating analysts' consensus estimates of $1.32 by $0.05. The company had revenue of $2.11 billion for the quarter, compared to analyst estimates of $2.10 billion. Commercial Metals had a net margin of 1.09% and a return on equity of 8.76%. Commercial Metals's revenue for the quarter was up 5.9% on a year-over-year basis. During the same quarter last year, the business earned $0.90 EPS. Analysts forecast that Commercial Metals will post 3.09 earnings per share for the current year.

Insider Transactions at Commercial Metals

In other news, Director John R. Mcpherson purchased 1,722 shares of the company's stock in a transaction that occurred on Monday, October 20th. The shares were purchased at an average price of $58.09 per share, with a total value of $100,030.98. Following the purchase, the director directly owned 6,722 shares of the company's stock, valued at approximately $390,480.98. This represents a 34.44% increase in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. 0.46% of the stock is owned by company insiders.

Institutional Investors Weigh In On Commercial Metals

Several hedge funds and other institutional investors have recently added to or reduced their stakes in CMC. 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 during the period. 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 during the period. Spire Wealth Management increased its stake in Commercial Metals by 42.4% during the 3rd quarter. Spire Wealth Management now owns 615 shares of the basic materials company's stock worth $35,000 after buying an additional 183 shares during the period. 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 during the period. Finally, Wayfinding Financial LLC purchased a new stake in Commercial Metals during the 1st quarter worth $47,000. Hedge funds and other institutional investors own 86.90% of the company's stock.

About Commercial Metals

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.