Nuveen LLC Invests $44.35 Million in Commercial Metals Company $CMC

Key Points

• Nuveen LLC has acquired 963,802 shares of Commercial Metals Company, with an investment valued at approximately $44.35 million, representing 0.85% ownership in the firm.
• Commercial Metals reported a quarterly earnings miss with $0.74 earnings per share, falling short of the $0.85 consensus estimate, and revenue of $2.02 billion, below the expected $2.04 billion.
• The company announced a quarterly dividend of $0.18 per share, which translates to an annualized dividend yield of 1.3%, despite a high dividend payout ratio of 232.26%.

Nuveen LLC purchased a new stake in shares of Commercial Metals Company (NYSE:CMC - Free Report) in the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor purchased 963,802 shares of the basic materials company's stock, valued at approximately $44,345,000. Nuveen LLC owned about 0.85% of Commercial Metals as of its most recent filing with the Securities and Exchange Commission (SEC).

Several other large investors have also recently bought and sold shares of the stock. Invesco Ltd. raised its stake in Commercial Metals by 37.1% in the first quarter. Invesco Ltd. now owns 1,568,021 shares of the basic materials company's stock valued at $72,145,000 after buying an additional 424,313 shares during the period. Connor Clark & Lunn Investment Management Ltd. raised its stake in Commercial Metals by 148.6% in the first quarter. Connor Clark & Lunn Investment Management Ltd. now owns 58,821 shares of the basic materials company's stock valued at $2,706,000 after buying an additional 35,161 shares during the period. National Bank of Canada FI raised its stake in Commercial Metals by 80.3% in the first quarter. National Bank of Canada FI now owns 548 shares of the basic materials company's stock valued at $25,000 after buying an additional 244 shares during the period. WealthPlan Investment Management LLC bought a new stake in Commercial Metals in the first quarter valued at approximately $221,000. Finally, Ontario Teachers Pension Plan Board raised its stake in Commercial Metals by 184.8% in the first quarter. Ontario Teachers Pension Plan Board now owns 65,013 shares of the basic materials company's stock valued at $2,991,000 after buying an additional 42,184 shares during the period. 86.90% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

CMC has been the topic of a number of recent research reports. Wolfe Research upgraded Commercial Metals from a "peer perform" rating to an "outperform" rating in a research note on Friday, June 20th. Morgan Stanley set a $57.50 target price on Commercial Metals in a research note on Wednesday, June 25th. JPMorgan Chase & Co. increased their target price on Commercial Metals from $52.00 to $54.00 and gave the stock a "neutral" rating in a research note on Monday, July 14th. BMO Capital Markets reiterated a "market perform" rating and set a $55.00 target price (down previously from $57.00) on shares of Commercial Metals in a research note on Tuesday, June 24th. Finally, Wells Fargo & Company upgraded Commercial Metals to a "strong-buy" rating in a research note on Thursday, August 14th. One analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus target price of $58.81.

Commercial Metals Price Performance

NYSE:CMC traded down $0.1980 during trading hours on Thursday, reaching $56.2220. 528,006 shares of the company were exchanged, compared to its average volume of 895,221. The company has a market capitalization of $6.29 billion, a P/E ratio of 181.36, a P/E/G ratio of 2.60 and a beta of 1.28. Commercial Metals Company has a 1-year low of $37.92 and a 1-year high of $64.53. 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 business has a 50 day moving average of $52.23 and a 200 day moving average of $48.59.

Commercial Metals (NYSE:CMC - Get Free Report) last issued its earnings results on Monday, June 23rd. The basic materials company reported $0.74 earnings per share for the quarter, missing analysts' consensus estimates of $0.85 by ($0.11). The business had revenue of $2.02 billion during the quarter, compared to analyst estimates of $2.04 billion. Commercial Metals had a net margin of 0.48% and a return on equity of 7.45%. The company's revenue for the quarter was down 2.8% compared to the same quarter last year. During the same period in the prior year, the business posted $1.02 EPS. Research analysts forecast that Commercial Metals Company will post 3.09 EPS for the current year.

Commercial Metals Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, July 9th. Investors of record on Monday, June 30th were issued a dividend of $0.18 per share. The ex-dividend date of this dividend was Monday, June 30th. This represents a $0.72 annualized dividend and a dividend yield of 1.3%. Commercial Metals's dividend payout ratio (DPR) is 232.26%.

Commercial Metals 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.