Commercial Metals (NYSE:CMC) Director Acquires $99,968.80 in Stock

Commercial Metals Company (NYSE:CMC) Director John Mcpherson purchased 1,390 shares of the stock in a transaction that occurred on Thursday, August 13th. The stock was bought at an average cost of $71.92 per share, with a total value of $99,968.80. Following the acquisition, the director owned 21,927 shares of the company’s stock, valued at $1,576,989.84. This represents a 6.77% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is available at the SEC website.

Commercial Metals Stock Performance

CMC stock opened at $71.60 on Monday. The company has a 50 day moving average price of $69.43 and a 200 day moving average price of $70.13. Commercial Metals Company has a fifty-two week low of $53.08 and a fifty-two week high of $84.87. The company has a debt-to-equity ratio of 0.73, a current ratio of 2.33 and a quick ratio of 1.54. The stock has a market capitalization of $7.92 billion, a PE ratio of 13.48, a price-to-earnings-growth ratio of 0.41 and a beta of 1.52.

Commercial Metals (NYSE:CMC) last announced its quarterly earnings data on Thursday, June 25th. The basic materials company reported $1.73 EPS for the quarter, beating analysts’ consensus estimates of $1.70 by $0.03. The firm had revenue of $2.48 billion for the quarter, compared to analyst estimates of $2.40 billion. Commercial Metals had a return on equity of 15.69% and a net margin of 6.72%.The business’s quarterly revenue was up 22.9% compared to the same quarter last year. During the same period last year, the company earned $0.74 EPS. Analysts forecast that Commercial Metals Company will post 6.64 EPS for the current year.

Commercial Metals Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, July 15th. Stockholders of record on Monday, July 6th were paid a dividend of $0.20 per share. This represents a $0.80 annualized dividend and a dividend yield of 1.1%. The ex-dividend date of this dividend was Monday, July 6th. Commercial Metals’s dividend payout ratio is 15.07%.

Commercial Metals declared that its board has initiated a stock repurchase plan on Wednesday, August 5th that permits the company to repurchase $600.00 million in outstanding shares. This repurchase authorization permits the basic materials company to reacquire up to 7.5% of its stock through open market purchases. Stock repurchase plans are typically an indication that the company’s leadership believes its shares are undervalued.

Analyst Upgrades and Downgrades

Several equities research analysts have recently commented on the stock. Deutsche Bank Aktiengesellschaft upgraded shares of Commercial Metals to a “buy” rating in a research report on Friday, May 22nd. The Goldman Sachs Group reaffirmed a “buy” rating and set a $85.00 target price on shares of Commercial Metals in a report on Thursday, August 6th. Morgan Stanley upped their target price on shares of Commercial Metals from $83.00 to $88.00 and gave the company an “overweight” rating in a research report on Monday, June 22nd. Zacks Research raised Commercial Metals from a “strong sell” rating to a “hold” rating in a research note on Monday, July 13th. Finally, BNP Paribas Exane upgraded Commercial Metals from a “neutral” rating to an “outperform” rating and set a $75.00 price target on the stock in a research report on Wednesday, July 8th. Ten investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the company’s stock. According to MarketBeat.com, Commercial Metals presently has an average rating of “Moderate Buy” and a consensus target price of $81.18.

Institutional Investors Weigh In On Commercial Metals

Several institutional investors and hedge funds have recently added to or reduced their stakes in CMC. USA Financial Formulas boosted its holdings in shares of Commercial Metals by 67.6% in the 1st quarter. USA Financial Formulas now owns 496 shares of the basic materials company’s stock valued at $30,000 after buying an additional 200 shares during the last quarter. Global Retirement Partners LLC acquired a new position in Commercial Metals during the second quarter worth $34,000. Caitong International Asset Management Co. Ltd raised its position in Commercial Metals by 617.2% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 832 shares of the basic materials company’s stock worth $58,000 after acquiring an additional 716 shares in the last quarter. Los Angeles Capital Management LLC bought a new stake in Commercial Metals during the fourth quarter worth $59,000. Finally, EverSource Wealth Advisors LLC lifted its stake in Commercial Metals by 105.0% in the first quarter. EverSource Wealth Advisors LLC now owns 1,222 shares of the basic materials company’s stock valued at $75,000 after acquiring an additional 626 shares during the last quarter. 86.90% of the stock is owned by institutional investors.

About Commercial Metals

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.