Dennis Arriola Buys 2,000 Shares of Commercial Metals (NYSE:CMC) Stock

Commercial Metals Company (NYSE:CMC) Director Dennis Arriola purchased 2,000 shares of the stock in a transaction that occurred on Tuesday, January 20th. The stock was acquired at an average cost of $74.69 per share, with a total value of $149,380.00. Following the acquisition, the director owned 9,238 shares in the company, valued at $689,986.22. The trade was a 27.63% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is available at the SEC website.

Commercial Metals Trading Up 1.9%

CMC stock traded up $1.45 during midday trading on Thursday, reaching $79.31. 475,755 shares of the company traded hands, compared to its average volume of 1,403,392. 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 debt-to-equity ratio of 0.77, a quick ratio of 3.70 and a current ratio of 4.47. The business has a 50 day moving average of $68.24 and a 200-day moving average of $60.73. Commercial Metals Company has a 52-week low of $37.92 and a 52-week high of $79.61.

Commercial Metals (NYSE:CMC) last released its quarterly earnings results on Thursday, January 8th. The basic materials company reported $1.84 earnings per share for the quarter, beating the consensus estimate of $1.55 by $0.29. The company had revenue of $2.12 billion for the quarter, compared to analyst estimates of $2.06 billion. Commercial Metals had a return on equity of 11.43% and a net margin of 5.46%.Commercial Metals’s quarterly revenue was up 11.0% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.78 EPS. As a group, sell-side analysts expect that Commercial Metals Company will post 3.09 earnings per share for the current fiscal year.

Commercial Metals Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Monday, February 2nd. Investors of record on Monday, January 19th will be paid a dividend of $0.18 per share. The ex-dividend date of this dividend is Friday, January 16th. This represents a $0.72 dividend on an annualized basis and a dividend yield of 0.9%. Commercial Metals’s payout ratio is currently 18.56%.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the stock. Drummond Knight Asset Management Pty Ltd purchased a new position in Commercial Metals in the 3rd quarter worth $15,579,000. Allspring Global Investments Holdings LLC raised its stake in shares of Commercial Metals by 11.1% in the third quarter. Allspring Global Investments Holdings LLC now owns 225,817 shares of the basic materials company’s stock worth $13,312,000 after purchasing an additional 22,587 shares during the last quarter. Hodges Capital Management Inc. boosted its position in 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 buying an additional 8,267 shares during the last quarter. Rhumbline Advisers boosted its position in Commercial Metals by 1.3% in the second quarter. Rhumbline Advisers now owns 393,334 shares of the basic materials company’s stock valued at $19,238,000 after buying an additional 5,147 shares during the last quarter. Finally, Nordea Investment Management AB raised its position in Commercial Metals by 28.9% during the 2nd quarter. Nordea Investment Management AB now owns 318,575 shares of the basic materials company’s stock worth $15,830,000 after buying an additional 71,350 shares during the last quarter. Institutional investors and hedge funds own 86.90% of the company’s stock.

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on CMC shares. JPMorgan Chase & Co. raised Commercial Metals from a “neutral” rating to an “overweight” rating and increased their price objective for the stock from $64.00 to $78.00 in a research note on Friday, December 5th. The Goldman Sachs Group restated a “buy” rating and set a $84.00 price target on shares of Commercial Metals in a research note on Tuesday, December 30th. Citigroup boosted their price target on shares of Commercial Metals from $65.00 to $85.00 and gave the company a “buy” rating in a report on Monday, January 12th. 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 note on Friday, January 9th. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of Commercial Metals in a research note on Wednesday, October 8th. One equities research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat, Commercial Metals currently has an average rating of “Moderate Buy” and a consensus target price of $72.70.

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.