Nordea Investment Management AB Acquires 71,350 Shares of Commercial Metals Company $CMC

Key Points

• Nordea Investment Management AB increased its stake in Commercial Metals Company by 28.9%, acquiring an additional 71,350 shares during the second quarter, bringing their total holdings to 318,575 shares.
• Several analysts have upgraded Commercial Metals, with Citigroup raising the price target from $60 to $65 and Bank of America increasing theirs to $70, indicating strong market confidence.
• The company announced a quarterly dividend of $0.18 per share, set to be paid on November 13, reflecting a yield of 1.3% based on an annualized payout of $0.72.

Nordea Investment Management AB lifted its holdings in Commercial Metals Company (NYSE:CMC - Free Report) by 28.9% during the second quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 318,575 shares of the basic materials company's stock after purchasing an additional 71,350 shares during the quarter. Nordea Investment Management AB owned 0.28% of Commercial Metals worth $15,830,000 as of its most recent SEC filing.

Other institutional investors have also made changes to their positions in the company. National Bank of Canada FI raised its position in 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 worth $25,000 after acquiring an additional 244 shares in the last quarter. Signaturefd LLC raised its position in Commercial Metals by 51.4% during the second quarter. Signaturefd LLC now owns 890 shares of the basic materials company's stock worth $44,000 after acquiring an additional 302 shares in the last quarter. Wayfinding Financial LLC bought a new stake in Commercial Metals during the first quarter worth $47,000. UMB Bank n.a. raised its position in Commercial Metals by 77.8% during the second quarter. UMB Bank n.a. now owns 1,394 shares of the basic materials company's stock worth $68,000 after acquiring an additional 610 shares in the last quarter. Finally, Harbour Investments Inc. raised its position in Commercial Metals by 17.5% during the second quarter. Harbour Investments Inc. now owns 1,830 shares of the basic materials company's stock worth $90,000 after acquiring an additional 273 shares in the last quarter. Institutional investors own 86.90% of the company's stock.

Wall Street Analysts Forecast Growth

Several equities analysts have commented on the stock. Wall Street Zen upgraded shares of Commercial Metals from a "buy" rating to a "strong-buy" rating in a report on Monday. Weiss Ratings reiterated a "hold (c)" rating on shares of Commercial Metals in a report on Wednesday, October 8th. Zacks Research upgraded shares of Commercial Metals from a "hold" rating to a "strong-buy" rating in a report on Tuesday, October 14th. Citigroup upgraded shares of Commercial Metals from a "neutral" rating to a "buy" rating and upped their price objective for the company from $60.00 to $65.00 in a report on Friday. Finally, Bank of America upped their price objective on shares of Commercial Metals from $60.00 to $70.00 and gave the company a "buy" rating in a report on Monday, September 15th. One equities research 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. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $61.75.

Commercial Metals Trading Up 3.7%

CMC stock opened at $57.39 on Monday. The company has a debt-to-equity ratio of 0.31, a quick ratio of 2.03 and a current ratio of 2.78. The company's 50-day simple moving average is $57.86 and its 200 day simple moving average is $51.50. Commercial Metals Company has a 52 week low of $37.92 and a 52 week high of $64.53. The company has a market capitalization of $6.37 billion, a PE ratio of 75.51, a price-to-earnings-growth ratio of 1.93 and a beta of 1.32.

Commercial Metals (NYSE:CMC - Get Free Report) last released its quarterly earnings results on Thursday, October 16th. The basic materials company reported $1.37 EPS for the quarter, beating the consensus estimate of $1.32 by $0.05. Commercial Metals had a net margin of 1.09% and a return on equity of 8.76%. The business had revenue of $2.11 billion for the quarter, compared to the consensus estimate of $2.10 billion. During the same period in the prior year, the company posted $0.90 earnings per share. Commercial Metals's revenue was up 5.9% compared to the same quarter last year. As a group, sell-side analysts anticipate that Commercial Metals Company will post 3.09 earnings per share for the current year.

Commercial Metals Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, November 13th. Shareholders of record on Thursday, October 30th will be paid a dividend of $0.18 per share. This represents a $0.72 dividend on an annualized basis and a yield of 1.3%. The ex-dividend date is Thursday, October 30th. Commercial Metals's dividend payout ratio is presently 94.74%.

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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