Commercial Metals Q2 Earnings Forecast Cut by Zacks Research

Commercial Metals Company (NYSE:CMC) – Zacks Research dropped their Q2 2027 earnings per share estimates for shares of Commercial Metals in a research report issued to clients and investors on Thursday, October 29th. Zacks Research analyst Team now forecasts that the basic materials company will post earnings per share of $1.21 for the quarter, down from their previous estimate of $1.45. Zacks Research currently has a “Hold” rating on the stock. The consensus estimate for Commercial Metals’ current full-year earnings is $6.95 per share. Zacks Research also issued estimates for Commercial Metals’ Q2 2028 earnings at $1.31 EPS.

Commercial Metals (NYSE:CMC) last released its quarterly earnings data on Thursday, October 15th. The basic materials company reported $2.09 earnings per share for the quarter, topping analysts’ consensus estimates of $1.95 by $0.14. The company had revenue of $2.66 billion for the quarter, compared to analysts’ expectations of $2.56 billion. Commercial Metals had a net margin of 6.98% and a return on equity of 17.00%. The firm’s revenue for the quarter was up 25.7% on a year-over-year basis. During the same quarter last year, the company earned $1.37 earnings per share.

A number of other equities research analysts have also recently weighed in on CMC. Wall Street Zen cut Commercial Metals from a “buy” rating to a “hold” rating in a research note on Saturday, October 17th. Morgan Stanley lowered their target price on shares of Commercial Metals from $88.00 to $84.00 and set an “overweight” rating on the stock in a research report on Monday, October 19th. BMO Capital Markets cut their target price on shares of Commercial Metals from $75.00 to $73.00 and set a “market perform” rating on the stock in a report on Monday, October 19th. BNP Paribas Exane upgraded shares of Commercial Metals from a “neutral” rating to an “outperform” rating and set a $75.00 price target for the company in a research report on Wednesday, July 8th. Finally, Wells Fargo & Company reiterated an “underperform” rating and set a $70.00 price target on shares of Commercial Metals in a research note on Friday, October 16th. Ten investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $78.73.

Commercial Metals Stock Performance

NYSE CMC opened at $65.54 on Friday. The company has a fifty day moving average of $65.44 and a two-hundred day moving average of $69.26. The company has a market capitalization of $7.21 billion, a PE ratio of 11.17, a P/E/G ratio of 3.80 and a beta of 1.53. Commercial Metals has a 1 year low of $55.97 and a 1 year high of $84.87. The company has a debt-to-equity ratio of 0.71, a current ratio of 2.34 and a quick ratio of 1.66.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the business. NewEdge Advisors LLC increased its holdings in shares of Commercial Metals by 4.2% during the first quarter. NewEdge Advisors LLC now owns 3,610 shares of the basic materials company’s stock valued at $222,000 after purchasing an additional 147 shares during the period. Envestnet Portfolio Solutions Inc. raised its stake in shares of Commercial Metals by 0.8% during the second quarter. Envestnet Portfolio Solutions Inc. now owns 20,436 shares of the basic materials company’s stock valued at $1,282,000 after purchasing an additional 168 shares in the last quarter. Isthmus Partners LLC lifted its holdings in Commercial Metals by 3.0% in the third quarter. Isthmus Partners LLC now owns 6,301 shares of the basic materials company’s stock worth $391,000 after purchasing an additional 181 shares during the period. USA Financial Formulas lifted its holdings in Commercial Metals by 67.6% in the first quarter. USA Financial Formulas now owns 496 shares of the basic materials company’s stock worth $30,000 after purchasing an additional 200 shares during the period. Finally, Koshinski Asset Management Inc. lifted its holdings in Commercial Metals by 8.5% in the first quarter. Koshinski Asset Management Inc. now owns 3,301 shares of the basic materials company’s stock worth $203,000 after purchasing an additional 258 shares during the period. Hedge funds and other institutional investors own 86.90% of the company’s stock.

Insider Activity

In related news, Director John McPherson purchased 1,390 shares of the business’s stock in a transaction dated Thursday, August 13th. The stock was acquired at an average price of $71.92 per share, for a total transaction of $99,968.80. Following the completion of the purchase, the director directly owned 21,927 shares of the company’s stock, valued at $1,576,989.84. This trade represents a 6.77% increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders own 0.62% of the company’s stock.

Commercial Metals Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, November 11th. Shareholders of record on Wednesday, October 28th will be paid a $0.20 dividend. This represents a $0.80 annualized dividend and a dividend yield of 1.2%. The ex-dividend date is Wednesday, October 28th. Commercial Metals’s dividend payout ratio (DPR) is 13.63%.

Commercial Metals announced that its Board of Directors has approved a stock buyback program on Wednesday, August 5th that permits the company to buy back $600 million in outstanding shares. This buyback authorization permits the basic materials company to reacquire up to 7.5% of its shares through open market purchases. Share buyback programs are usually a sign that the company’s leadership believes its stock is undervalued.

About Commercial Metals

Commercial Metals Company (NYSE:CMC) is a steel and metals manufacturer, recycler and fabricator headquartered in Irving, Texas. The company produces and sells steel products used in construction, infrastructure and industrial applications, including reinforcing bar, wire rod, merchant bar, structural steel and related products.

CMC operates an integrated recycling and manufacturing model. Its recycling facilities collect and process ferrous and nonferrous scrap metal, which is used as raw material in the company’s electric-arc-furnace steel mills.