Commercial Metals (NYSE:CMC) Sets New 12-Month Low After Analyst Downgrade

Commercial Metals (NYSE:CMC)’s share price reached a new 52-week low during trading on Monday after Morgan Stanley lowered their price target on the stock from $56.00 to $53.00. Morgan Stanley currently has an equal weight rating on the stock. Commercial Metals traded as low as $43.37 and last traded at $43.47, with a volume of 277378 shares. The stock had previously closed at $45.86.

Several other analysts also recently commented on CMC. BMO Capital Markets dropped their price target on Commercial Metals from $62.00 to $58.00 and set a “market perform” rating on the stock in a research note on Friday, January 3rd. UBS Group upgraded Commercial Metals from a “sell” rating to a “neutral” rating and decreased their price target for the company from $56.00 to $54.00 in a research note on Friday, January 10th. The Goldman Sachs Group began coverage on shares of Commercial Metals in a research report on Monday, December 2nd. They set a “buy” rating and a $75.00 target price on the stock. Jefferies Financial Group cut their target price on Commercial Metals from $65.00 to $62.00 and set a “buy” rating on the stock in a research report on Monday, January 6th. Finally, BNP Paribas cut shares of Commercial Metals from an “outperform” rating to a “neutral” rating in a report on Friday, January 3rd. Six analysts have rated the stock with a hold rating and three have given a buy rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus target price of $61.83.

Institutional Trading of Commercial Metals

Several institutional investors and hedge funds have recently modified their holdings of CMC. Cim LLC increased its stake in shares of Commercial Metals by 1.8% in the fourth quarter. Cim LLC now owns 41,784 shares of the basic materials company’s stock worth $2,072,000 after acquiring an additional 744 shares during the period. Park Square Financial Group LLC acquired a new position in Commercial Metals in the fourth quarter valued at approximately $33,000. Universal Beteiligungs und Servicegesellschaft mbH acquired a new position in Commercial Metals in the 4th quarter valued at about $4,475,000. Heck Capital Advisors LLC purchased a new stake in Commercial Metals during the fourth quarter worth about $34,000. Finally, Integrated Advisors Network LLC lifted its holdings in Commercial Metals by 9.3% in the 4th quarter. Integrated Advisors Network LLC now owns 8,972 shares of the basic materials company’s stock valued at $445,000 after purchasing an additional 760 shares in the last quarter. Institutional investors own 86.90% of the company’s stock.

Commercial Metals Trading Down 5.2 %

The business’s 50-day moving average is $49.49 and its two-hundred day moving average is $53.27. The stock has a market capitalization of $4.94 billion, a PE ratio of 39.17, a PEG ratio of 2.62 and a beta of 1.17. The company has a current ratio of 2.76, a quick ratio of 1.94 and a debt-to-equity ratio of 0.29.

Commercial Metals (NYSE:CMC) last posted its quarterly earnings data on Monday, January 6th. The basic materials company reported $0.78 earnings per share for the quarter, meeting the consensus estimate of $0.78. The company had revenue of $1.91 billion during the quarter, compared to analyst estimates of $1.85 billion. Commercial Metals had a net margin of 1.70% and a return on equity of 9.88%. The business’s revenue for the quarter was down 4.7% on a year-over-year basis. During the same quarter last year, the firm posted $1.49 EPS. On average, analysts predict that Commercial Metals will post 3.09 earnings per share for the current year.

Commercial Metals Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, January 30th. Shareholders of record on Thursday, January 16th were given a $0.18 dividend. The ex-dividend date was Thursday, January 16th. This represents a $0.72 annualized dividend and a yield of 1.66%. Commercial Metals’s payout ratio is 64.86%.

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.