Commercial Metals (NYSE:CMC) Sees Significant Decline in Short Interest

Commercial Metals (NYSE:CMC - Get Free Report) was the recipient of a significant decline in short interest in April. As of April 30th, there was short interest totalling 2,600,000 shares, a decline of 6.1% from the April 15th total of 2,770,000 shares. Currently, 2.3% of the company's stock are short sold. Based on an average trading volume of 863,400 shares, the days-to-cover ratio is currently 3.0 days.

Commercial Metals Price Performance

Shares of Commercial Metals stock traded down $0.27 during trading on Friday, hitting $57.60. 420,904 shares of the stock traded hands, compared to its average volume of 925,482. The company has a quick ratio of 2.69, a current ratio of 4.19 and a debt-to-equity ratio of 0.27. The stock has a market cap of $6.66 billion, a price-to-earnings ratio of 10.05 and a beta of 1.35. The firm's fifty day moving average is $56.09 and its 200-day moving average is $51.65. Commercial Metals has a 52 week low of $39.85 and a 52 week high of $59.81.

Commercial Metals (NYSE:CMC - Get Free Report) last announced its quarterly earnings data on Thursday, March 21st. The basic materials company reported $0.88 EPS for the quarter, missing the consensus estimate of $0.93 by ($0.05). Commercial Metals had a net margin of 8.09% and a return on equity of 17.72%. The firm had revenue of $1.85 billion for the quarter, compared to the consensus estimate of $1.80 billion. During the same quarter last year, the company posted $1.44 earnings per share. Commercial Metals's revenue for the quarter was down 8.4% compared to the same quarter last year. Research analysts expect that Commercial Metals will post 5.34 EPS for the current fiscal year.

Commercial Metals Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, April 10th. Investors of record on Monday, April 1st were given a dividend of $0.18 per share. This represents a $0.72 annualized dividend and a yield of 1.25%. This is a positive change from Commercial Metals's previous quarterly dividend of $0.16. The ex-dividend date of this dividend was Thursday, March 28th. Commercial Metals's dividend payout ratio (DPR) is presently 12.50%.

Wall Street Analyst Weigh In

CMC has been the subject of a number of recent analyst reports. StockNews.com upgraded Commercial Metals from a "hold" rating to a "buy" rating in a research note on Wednesday. BMO Capital Markets increased their price objective on Commercial Metals from $52.00 to $60.00 and gave the stock a "market perform" rating in a report on Friday, March 22nd.

Insider Activity

In related news, Chairman Barbara Smith sold 35,704 shares of the company's stock in a transaction on Wednesday, March 27th. The stock was sold at an average price of $57.88, for a total transaction of $2,066,547.52. Following the completion of the sale, the chairman now owns 36,196 shares in the company, valued at $2,095,024.48. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Corporate insiders own 1.00% of the company's stock.

Hedge Funds Weigh In On Commercial Metals

Institutional investors and hedge funds have recently bought and sold shares of the stock. Norges Bank purchased a new stake in Commercial Metals in the 4th quarter worth approximately $94,722,000. Victory Capital Management Inc. grew its holdings in Commercial Metals by 241.3% during the fourth quarter. Victory Capital Management Inc. now owns 1,809,841 shares of the basic materials company's stock valued at $90,564,000 after purchasing an additional 1,279,617 shares during the period. Fuller & Thaler Asset Management Inc. lifted its position in shares of Commercial Metals by 26.7% in the third quarter. Fuller & Thaler Asset Management Inc. now owns 2,506,247 shares of the basic materials company's stock valued at $123,834,000 after acquiring an additional 527,709 shares in the last quarter. Vanguard Group Inc. lifted its position in shares of Commercial Metals by 4.1% in the third quarter. Vanguard Group Inc. now owns 12,450,082 shares of the basic materials company's stock valued at $615,159,000 after acquiring an additional 487,792 shares in the last quarter. Finally, Charles Schwab Investment Management Inc. lifted its position in shares of Commercial Metals by 32.0% in the third quarter. Charles Schwab Investment Management Inc. now owns 1,385,435 shares of the basic materials company's stock worth $68,454,000 after buying an additional 335,926 shares in the last quarter. 86.90% of the stock is currently owned by institutional investors.

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.

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