Insider Buying: Commercial Metals (NYSE:CMC) Director Buys 2,000 Shares of Stock
by Mitch Edgeman · The Markets DailyCommercial Metals Company (NYSE:CMC – Get Free Report) Director Dennis Arriola purchased 2,000 shares of Commercial Metals stock in a transaction that occurred on Tuesday, January 20th. The shares were acquired at an average price of $74.69 per share, for a total transaction of $149,380.00. Following the acquisition, the director owned 9,238 shares in the company, valued at $689,986.22. This trade represents a 27.63% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink.
Commercial Metals Trading Up 1.9%
Shares of NYSE:CMC traded up $1.45 on Thursday, hitting $79.31. The company had a trading volume of 475,755 shares, compared to its average volume of 1,403,392. The firm’s 50-day simple moving average is $68.24 and its two-hundred day simple moving average is $60.73. The firm has a market capitalization of $8.80 billion, a price-to-earnings ratio of 20.42, a P/E/G ratio of 0.40 and a beta of 1.49. The company has a quick ratio of 3.70, a current ratio of 4.47 and a debt-to-equity ratio of 0.77. Commercial Metals Company has a 1 year low of $37.92 and a 1 year high of $79.61.
Commercial Metals (NYSE:CMC – Get Free Report) last released its quarterly earnings results on Thursday, January 8th. The basic materials company reported $1.84 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.55 by $0.29. Commercial Metals had a net margin of 5.46% and a return on equity of 11.43%. The company had revenue of $2.12 billion during the quarter, compared to the consensus estimate of $2.06 billion. During the same period in the prior year, the firm earned $0.78 earnings per share. Commercial Metals’s revenue was up 11.0% on a year-over-year basis. Equities analysts anticipate that Commercial Metals Company will post 3.09 earnings per share for the current fiscal year.
Commercial Metals Announces Dividend
The company also recently disclosed a quarterly dividend, which will be paid on Monday, February 2nd. Shareholders of record on Monday, January 19th will be given a dividend of $0.18 per share. The ex-dividend date of this dividend is Friday, January 16th. This represents a $0.72 annualized dividend and a yield of 0.9%. Commercial Metals’s dividend payout ratio (DPR) is currently 18.56%.
Institutional Trading of Commercial Metals
Hedge funds and other institutional investors have recently bought and sold shares of the stock. Drummond Knight Asset Management Pty Ltd bought a new position in Commercial Metals during the third quarter valued at approximately $15,579,000. Allspring Global Investments Holdings LLC boosted its position in shares of Commercial Metals by 11.1% during the 3rd quarter. Allspring Global Investments Holdings LLC now owns 225,817 shares of the basic materials company’s stock valued at $13,312,000 after acquiring an additional 22,587 shares during the last quarter. Rhumbline Advisers boosted its position in shares of Commercial Metals by 1.3% during the 2nd quarter. Rhumbline Advisers now owns 393,334 shares of the basic materials company’s stock valued at $19,238,000 after acquiring an additional 5,147 shares during the last quarter. Hodges Capital Management Inc. grew its holdings in shares of Commercial Metals by 3.4% in the second quarter. Hodges Capital Management Inc. now owns 251,468 shares of the basic materials company’s stock valued at $12,299,000 after purchasing an additional 8,267 shares in the last quarter. Finally, Nordea Investment Management AB increased its position in Commercial Metals by 28.9% in the second quarter. Nordea Investment Management AB now owns 318,575 shares of the basic materials company’s stock worth $15,830,000 after purchasing an additional 71,350 shares during the last quarter. Hedge funds and other institutional investors own 86.90% of the company’s stock.
Analyst Upgrades and Downgrades
CMC has been the subject of several analyst reports. The Goldman Sachs Group reissued a “buy” rating and set a $84.00 price target on shares of Commercial Metals in a research report on Tuesday, December 30th. Zacks Research raised Commercial Metals from a “hold” rating to a “strong-buy” rating in a report on Tuesday, October 14th. Citigroup boosted their target price on Commercial Metals from $65.00 to $85.00 and gave the stock a “buy” rating in a research report on Monday, January 12th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Commercial Metals in a report on Wednesday, October 8th. Finally, Morgan Stanley increased their price objective on shares of Commercial Metals from $68.00 to $85.00 and gave the company an “overweight” rating in a research report on Friday, January 9th. One equities research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating and three have given a Hold rating to the stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $72.70.
Check Out Our Latest Report on Commercial Metals
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.