Connor Clark & Lunn Investment Management Ltd. Acquires 35,161 Shares of Commercial Metals Company $CMC

Key Points

• Connor Clark & Lunn Investment Management Ltd. increased its stake in Commercial Metals Company (NYSE:CMC) by 148.6%, owning 58,821 shares valued at approximately $2.7 million as of the latest reporting period.
• Despite reporting $0.74 earnings per share, Commercial Metals missed analyst expectations of $0.85, with revenues down 2.8% year-over-year at $2.02 billion.
• The company announced a quarterly dividend of $0.18, representing an annualized yield of 1.3%, though its dividend payout ratio is notably high at 232.26%.

Connor Clark & Lunn Investment Management Ltd. lifted its stake in shares of Commercial Metals Company (NYSE:CMC - Free Report) by 148.6% during the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 58,821 shares of the basic materials company's stock after buying an additional 35,161 shares during the period. Connor Clark & Lunn Investment Management Ltd. owned about 0.05% of Commercial Metals worth $2,706,000 at the end of the most recent quarter.

Other hedge funds also recently modified their holdings of the company. National Bank of Canada FI boosted its position in shares of Commercial Metals by 80.3% during 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 last quarter. Park Square Financial Group LLC purchased a new position in shares of Commercial Metals during the fourth quarter valued at approximately $33,000. Heck Capital Advisors LLC purchased a new position in shares of Commercial Metals during the fourth quarter valued at approximately $34,000. UMB Bank n.a. boosted its position in shares of Commercial Metals by 51.9% during the first quarter. UMB Bank n.a. now owns 784 shares of the basic materials company's stock valued at $36,000 after buying an additional 268 shares during the last quarter. Finally, Wayfinding Financial LLC purchased a new position in shares of Commercial Metals during the first quarter valued at approximately $47,000. Hedge funds and other institutional investors own 86.90% of the company's stock.

Commercial Metals Stock Performance

Shares of CMC traded up $0.4520 during mid-day trading on Tuesday, hitting $57.3720. The stock had a trading volume of 164,678 shares, compared to its average volume of 1,100,203. The firm has a market cap of $6.42 billion, a P/E ratio of 184.98, a PEG ratio of 2.60 and a beta of 1.28. The business has a fifty day moving average price of $51.78 and a 200-day moving average price of $48.41. The company has a debt-to-equity ratio of 0.32, a current ratio of 2.86 and a quick ratio of 2.00. Commercial Metals Company has a 52 week low of $37.92 and a 52 week high of $64.53.

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 (EPS) for the quarter, missing the consensus estimate of $0.85 by ($0.11). Commercial Metals had a net margin of 0.48% and a return on equity of 7.45%. The firm had revenue of $2.02 billion during the quarter, compared to the consensus estimate of $2.04 billion. During the same quarter in the previous year, the firm earned $1.02 earnings per share. The business's quarterly revenue was down 2.8% compared to the same quarter last year. On average, equities research analysts expect that Commercial Metals Company will post 3.09 EPS for the current year.

Commercial Metals Announces Dividend

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

Wall Street Analyst Weigh In

A number of brokerages recently commented on CMC. Morgan Stanley set a $57.50 price target on Commercial Metals in a report on Wednesday, June 25th. UBS Group reiterated a "neutral" rating and set a $56.00 price target (up from $48.00) on shares of Commercial Metals in a report on Wednesday, August 13th. BMO Capital Markets reiterated a "market perform" rating and set a $55.00 price target (down from $57.00) on shares of Commercial Metals in a report on Tuesday, June 24th. Wolfe Research upgraded Commercial Metals from a "peer perform" rating to an "outperform" rating in a report on Friday, June 20th. Finally, Wells Fargo & Company upgraded Commercial Metals to a "strong-buy" rating in a report on Thursday, August 14th. One investment analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating and five have issued a Hold rating to the company's stock. According to MarketBeat, Commercial Metals currently has an average rating of "Moderate Buy" and a consensus target price of $58.81.

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.