Commercial Metals Company (NYSE:CMC) Stock Has Average Target Price of $80.45 According to Analysts

Key Points

• Analysts rate CMC a “Moderate Buy,” with nine buy, five hold and one sell recommendation; the average 12-month price target is $80.45 versus a reported share price of $64.95.
• Commercial Metals exceeded quarterly expectations, reporting EPS of $2.09 versus the $1.95 consensus and revenue of $2.66 billion, up 25.7% year over year.
• The company authorized a $600 million share buyback and declared a quarterly dividend of $0.20 per share, equivalent to a 1.2% annualized yield.

Commercial Metals Company (NYSE:CMC - Get Free Report) has been assigned an average recommendation of "Moderate Buy" from the fifteen brokerages that are covering the company, MarketBeat Ratings reports. One equities research analyst has rated the stock with a sell recommendation, five have assigned a hold recommendation and nine have given a buy recommendation to the company. The average twelve-month target price among brokerages that have issued a report on the stock in the last year is $80.45.

Several brokerages recently issued reports on CMC. Bank of America cut their price target on Commercial Metals from $84.00 to $78.00 and set a "buy" rating on the stock in a report on Thursday, July 9th. Wall Street Zen downgraded Commercial Metals from a "buy" rating to a "hold" rating in a research note on Saturday. Weiss Ratings lowered Commercial Metals from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Friday, October 2nd. Barclays raised their target price on Commercial Metals from $75.00 to $80.00 and gave the company an "equal weight" rating in a research note on Friday, August 7th. Finally, Wells Fargo & Company reiterated an "underperform" rating and issued a $70.00 target price on shares of Commercial Metals in a research note on Friday.

Insider Buying and Selling at Commercial Metals

In other news, Director John McPherson acquired 1,390 shares of the business's stock in a transaction that occurred on Thursday, August 13th. The shares were purchased at an average cost of $71.92 per share, for a total transaction of $99,968.80. Following the transaction, the director directly owned 21,927 shares in the company, valued at $1,576,989.84. This trade represents a 6.77% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. 0.62% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of CMC. USA Financial Formulas grew its position in Commercial Metals by 67.6% in the 1st quarter. USA Financial Formulas now owns 496 shares of the basic materials company's stock worth $30,000 after purchasing an additional 200 shares during the last quarter. Global Retirement Partners LLC bought a new stake in shares of Commercial Metals during the second quarter valued at approximately $34,000. Caitong International Asset Management Co. Ltd raised its holdings in shares of Commercial Metals by 617.2% during the fourth 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 last quarter. Integrated Wealth Concepts LLC bought a new stake in shares of Commercial Metals during the second quarter valued at approximately $63,000. Finally, EverSource Wealth Advisors LLC boosted its position in shares of Commercial Metals by 105.0% during the first quarter. EverSource Wealth Advisors LLC now owns 1,222 shares of the basic materials company's stock worth $75,000 after buying an additional 626 shares during the period. 86.90% of the stock is owned by institutional investors and hedge funds.

Commercial Metals Stock Performance

Shares of CMC stock opened at $64.95 on Friday. The company has a quick ratio of 1.54, a current ratio of 2.34 and a debt-to-equity ratio of 0.71. The business has a 50 day moving average of $66.80 and a two-hundred day moving average of $68.29. Commercial Metals has a 52 week low of $55.70 and a 52 week high of $84.87. The company has a market cap of $7.19 billion, a P/E ratio of 11.07, a PEG ratio of 0.25 and a beta of 1.53.

Commercial Metals (NYSE:CMC - Get Free Report) last posted its earnings results on Thursday, October 15th. The basic materials company reported $2.09 EPS for the quarter, beating the consensus estimate of $1.95 by $0.14. The company had revenue of $2.66 billion during the quarter, compared to analyst estimates of $2.56 billion. Commercial Metals had a return on equity of 17.00% and a net margin of 6.98%. The business's revenue was up 25.7% compared to the same quarter last year. During the same period in the prior year, the company earned $1.37 earnings per share. As a group, analysts anticipate that Commercial Metals will post 7.67 EPS for the current year.

Commercial Metals announced that its board has authorized a share buyback program on Wednesday, August 5th that permits the company to buy back $600.00 million in outstanding shares. This repurchase authorization permits the basic materials company to reacquire up to 7.5% of its stock through open market purchases. Share repurchase programs are typically a sign that the company's management believes its stock is undervalued.

Commercial Metals Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, November 11th. Stockholders of record on Wednesday, October 28th will be given a dividend of $0.20 per share. The ex-dividend date is Wednesday, October 28th. This represents a $0.80 annualized dividend and a dividend yield of 1.2%. Commercial Metals's dividend payout ratio is currently 15.07%.

More Commercial Metals News

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

• Positive Sentiment: Fourth-quarter results exceeded expectations. CMC reported adjusted EPS of $2.09, above the roughly $1.95–$1.97 consensus, while revenue rose 25.7% year over year to $2.66 billion, exceeding estimates by approximately $90 million. CMC Reports Fourth Quarter and Full Year Fiscal 2026 Results
• Positive Sentiment: Full-year profitability improved substantially. Fiscal 2026 net earnings reached $655.8 million, while consolidated core EBITDA increased to $1.4 billion from $837.3 million in fiscal 2025, reinforcing the company’s operating and cash-generation momentum. CMC closes out fiscal year with summer profits
• Positive Sentiment: Management sees durable end-market demand. CMC highlighted strong demand from data centers and semiconductor factories, while its recycling, steel and construction-products businesses supported summer profitability. These trends could benefit volumes and infrastructure-related demand. Commercial Metals Sees Strong Demand From Data Centers, Chip Factories
• Neutral Sentiment: Analysts and market commentary remain mixed. Zacks characterizes CMC as a strong growth stock, and management’s earnings-call commentary signaled further growth. However, other analysis considers the shares insufficiently attractive even as fundamentals improve, reflecting valuation and steel-cycle concerns. Here's Why Commercial Metals is a Strong Growth Stock
• Negative Sentiment: The muted reaction may reflect cyclical and valuation risk. Despite the earnings beat and stronger outlook, investors may be concerned about metal-price volatility, construction demand and whether the improvement can persist. CMC’s shares remain below their 50-day and 200-day moving averages, indicating lingering technical pressure. Commercial Metals Company: Still Not Attractive but Getting Better

Commercial Metals Company Profile

Commercial Metals Company NYSE: CMC is a steel and metals manufacturer, fabricator and recycler headquartered in Irving, Texas. Founded in 1915, the company operates a vertically integrated business that collects and processes ferrous scrap, produces steel and supplies products used in construction and infrastructure projects.

CMC's product portfolio includes reinforcing bar, merchant bar, wire rod, structural components and other steel products. Through its fabrication and construction services, the company also processes and prepares reinforcing steel for commercial, industrial, transportation and other building projects.

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