Zacks Research Has Negative Estimate for CMC Q3 Earnings

Key Points

• Zacks Research cut its Q3 2026 earnings estimate for Commercial Metals to $1.61 per share from $1.72, reflecting a more cautious near-term outlook. The firm also lowered forecasts across multiple future quarters and fiscal years.
• Despite the downgrade, Zacks’ revised estimates remain roughly in line with or slightly above the current full-year consensus of $6.40 per share, suggesting the changes were not dramatic. Overall analyst sentiment still stands at Moderate Buy with an average price target of $77.10.
• Commercial Metals recently reported EPS of $1.16, missing expectations, but revenue came in above forecasts at $2.13 billion and rose 21.5% year over year. The company also raised its quarterly dividend to $0.20 per share from $0.18.

Commercial Metals Company (NYSE:CMC - Free Report) - Equities research analysts at Zacks Research decreased their Q3 2026 earnings estimates for shares of Commercial Metals in a research note issued on Friday, June 12th. Zacks Research analyst Team now forecasts that the basic materials company will post earnings of $1.61 per share for the quarter, down from their previous estimate of $1.72. The consensus estimate for Commercial Metals' current full-year earnings is $6.40 per share. Zacks Research also issued estimates for Commercial Metals' Q4 2026 earnings at $1.82 EPS, FY2026 earnings at $6.43 EPS, Q1 2027 earnings at $1.58 EPS, Q3 2027 earnings at $1.70 EPS, Q4 2027 earnings at $1.97 EPS, FY2027 earnings at $6.62 EPS, Q1 2028 earnings at $1.59 EPS, Q2 2028 earnings at $1.37 EPS, Q3 2028 earnings at $1.72 EPS and FY2028 earnings at $6.65 EPS.

CMC has been the subject of a number of other research reports. KeyCorp started coverage on Commercial Metals in a research report on Wednesday, March 25th. They set a "sector weight" rating for the company. Weiss Ratings reissued a "hold (c)" rating on shares of Commercial Metals in a report on Tuesday, June 9th. Wall Street Zen cut Commercial Metals from a "strong-buy" rating to a "buy" rating in a research note on Saturday, April 4th. Barclays initiated coverage on Commercial Metals in a report on Thursday, May 21st. They set an "equal weight" rating and a $75.00 target price for the company. Finally, The Goldman Sachs Group started coverage on shares of Commercial Metals in a report on Wednesday, April 1st. They issued a "neutral" rating and a $74.00 price target on the stock. One analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating and six have issued a Hold rating to the stock. Based on data from MarketBeat.com, Commercial Metals presently has an average rating of "Moderate Buy" and an average price target of $77.10.

Commercial Metals Price Performance

NYSE CMC opened at $77.73 on Monday. The company has a market cap of $8.62 billion, a price-to-earnings ratio of 17.31, a PEG ratio of 0.47 and a beta of 1.50. The company has a debt-to-equity ratio of 0.75, a current ratio of 2.38 and a quick ratio of 1.55. The stock's fifty day moving average price is $70.20 and its 200 day moving average price is $70.70. Commercial Metals has a 1 year low of $47.06 and a 1 year high of $84.87.

Commercial Metals (NYSE:CMC - Get Free Report) last posted its quarterly earnings results on Thursday, March 26th. The basic materials company reported $1.16 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.28 by ($0.12). The company had revenue of $2.13 billion during the quarter, compared to analysts' expectations of $2.10 billion. Commercial Metals had a return on equity of 13.54% and a net margin of 6.02%.The company's quarterly revenue was up 21.5% on a year-over-year basis. During the same period in the prior year, the business posted $0.26 EPS.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of CMC. NewEdge Advisors LLC lifted its stake in Commercial Metals by 4.2% in the 1st quarter. NewEdge Advisors LLC now owns 3,610 shares of the basic materials company's stock valued at $222,000 after buying an additional 147 shares in the last quarter. Segall Bryant & Hamill LLC purchased a new stake in Commercial Metals during the 1st quarter worth approximately $1,046,000. Bank of America Corp DE raised its holdings in shares of Commercial Metals by 87.4% during the first quarter. Bank of America Corp DE now owns 1,631,213 shares of the basic materials company's stock valued at $100,205,000 after acquiring an additional 760,985 shares during the last quarter. Edgestream Partners L.P. raised its holdings in shares of Commercial Metals by 2,356.3% during the first quarter. Edgestream Partners L.P. now owns 154,183 shares of the basic materials company's stock valued at $9,471,000 after acquiring an additional 147,906 shares during the last quarter. Finally, Janus Henderson Group PLC lifted its position in shares of Commercial Metals by 3.0% in the first quarter. Janus Henderson Group PLC now owns 505,209 shares of the basic materials company's stock valued at $31,037,000 after acquiring an additional 14,733 shares in the last quarter. Institutional investors and hedge funds own 86.90% of the company's stock.

Commercial Metals Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, April 15th. Stockholders of record on Monday, April 6th were paid a dividend of $0.20 per share. This is an increase from Commercial Metals's previous quarterly dividend of $0.18. This represents a $0.80 dividend on an annualized basis and a dividend yield of 1.0%. The ex-dividend date of this dividend was Monday, April 6th. Commercial Metals's dividend payout ratio is presently 16.04%.

Key Headlines Impacting Commercial Metals

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

• Negative Sentiment: Zacks Research trimmed its near-term and longer-dated EPS forecasts for Commercial Metals, including FY2026, FY2027, FY2028, and several quarterly periods, signaling a more cautious view on profitability. Article Title
• Neutral Sentiment: Despite the cuts, Zacks’ updated estimates remain roughly in line with or slightly above the current consensus for full-year earnings, suggesting the revisions were not severe enough to materially change the broader outlook.
• Neutral Sentiment: The company recently reported quarterly EPS below expectations, but revenue beat estimates and was up sharply year over year, leaving investors to weigh weaker profit delivery against solid sales momentum.

Commercial Metals Company Profile

Commercial Metals Company NYSE: CMC is a leading global steel and metal recycler, manufacturer and fabricator based in Irving, Texas. The company operates an integrated network of scrap recycling facilities, electric arc furnace steel mills, metal fabrication plants and distribution centers. Through these operations, Commercial Metals collects and processes ferrous scrap to produce finished steel products and provides recycled metal to a variety of end markets.

In its steelmaking segment, CMC uses electric arc furnace technology to transform recycled scrap into reinforcing bar (rebar), merchant bar, coil and structural products.

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