Cemex (NYSE:CX) Releases Quarterly Earnings Results, Beats Estimates By $0.01 EPS

Cemex (NYSE:CX) posted its earnings results on Thursday. The construction company reported $0.24 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.23 by $0.01, Zacks reports. The firm had revenue of $4.59 billion for the quarter, compared to analyst estimates of $4.48 billion. Cemex had a return on equity of 3.64% and a net margin of 2.74%.

Here are the key takeaways from Cemex’s conference call:

• CEMEX reported strong Q2 results, with EBITDA above $1 billion and adjusted EBITDA up 19%, while EBIT grew 29% and free cash flow from operations hit a second-quarter record of $651 million.
• Management raised full-year EBITDA guidance to 16%–17% year-over-year growth, citing continued benefits from Project Cutting Edge, pricing discipline, and lower expected interest expense.
• Project Cutting Edge is outperforming expectations, with savings target increased from $400 million to $475 million, most of the incremental savings expected in 2027 and tied largely to procurement and operational efficiencies.
• Mexico remained the standout market with a second straight quarter of cement volume growth, but management expects margins and growth to normalize in the second half as competitor outages fade and mix becomes less favorable.
• U.S. and Europe were mixed: the U.S. was hit by weather and higher costs, while Europe faced soft demand and heat-wave disruptions, though both regions still benefited from pricing and cost-saving measures.

Cemex Trading Down 3.7%

Shares of Cemex stock opened at $12.25 on Friday. Cemex has a fifty-two week low of $7.86 and a fifty-two week high of $13.67. The firm has a market cap of $17.74 billion, a PE ratio of 38.28 and a beta of 1.52. The business’s fifty day moving average is $12.58 and its two-hundred day moving average is $12.23. The company has a quick ratio of 0.63, a current ratio of 0.87 and a debt-to-equity ratio of 0.35.

Cemex Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Monday, June 29th. Shareholders of record on Wednesday, June 17th were paid a dividend of $0.0312 per share. The ex-dividend date of this dividend was Wednesday, June 17th. This represents a $0.12 dividend on an annualized basis and a dividend yield of 1.0%. This is a boost from Cemex’s previous quarterly dividend of $0.02. Cemex’s dividend payout ratio is currently 37.50%.

Insider Activity at Cemex

In other news, insider Herrera Jesus Vicente Gonzalez sold 35,000 shares of Cemex stock in a transaction on Tuesday, April 28th. The stock was sold at an average price of $12.16, for a total value of $425,600.00. Following the completion of the sale, the insider owned 846,010 shares of the company’s stock, valued at $10,287,481.60. The trade was a 3.97% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 1.00% of the stock is currently owned by corporate insiders.

Institutional Trading of Cemex

Hedge funds have recently added to or reduced their stakes in the business. Jones Financial Companies Lllp increased its stake in shares of Cemex by 334.7% during the 1st quarter. Jones Financial Companies Lllp now owns 9,189 shares of the construction company’s stock valued at $52,000 after acquiring an additional 7,075 shares during the last quarter. Goldman Sachs Group Inc. boosted its position in shares of Cemex by 58.8% in the first quarter. Goldman Sachs Group Inc. now owns 7,187,143 shares of the construction company’s stock worth $40,320,000 after acquiring an additional 2,661,030 shares during the last quarter. Cetera Investment Advisers boosted its position in shares of Cemex by 53.2% in the second quarter. Cetera Investment Advisers now owns 57,269 shares of the construction company’s stock worth $397,000 after acquiring an additional 19,878 shares during the last quarter. Northwestern Mutual Wealth Management Co. grew its holdings in Cemex by 256.7% in the second quarter. Northwestern Mutual Wealth Management Co. now owns 4,298 shares of the construction company’s stock valued at $30,000 after purchasing an additional 3,093 shares during the period. Finally, Invesco Ltd. grew its holdings in Cemex by 57.1% in the second quarter. Invesco Ltd. now owns 50,480 shares of the construction company’s stock valued at $350,000 after purchasing an additional 18,348 shares during the period. 82.97% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

CX has been the subject of several recent research reports. Santander raised Cemex to an “outperform” rating in a research report on Thursday, June 11th. Royal Bank Of Canada restated a “sector perform” rating and issued a $12.75 price objective on shares of Cemex in a research report on Friday, April 24th. Barclays reaffirmed an “overweight” rating and set a $16.00 price objective on shares of Cemex in a research note on Friday. Wall Street Zen upgraded Cemex from a “hold” rating to a “buy” rating in a research report on Saturday, May 23rd. Finally, Weiss Ratings reissued a “hold (c-)” rating on shares of Cemex in a research note on Tuesday, May 26th. Seven equities research 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, Cemex currently has an average rating of “Moderate Buy” and an average price target of $12.98.

About Cemex

Cemex (NYSE: CX) is a global building materials company headquartered in Monterrey, Mexico. The company produces, distributes and sells cement, ready-mix concrete and aggregates, as well as related building materials, to construction markets in more than 50 countries. Cemex’s product portfolio also includes asphalt and mortar mixes, waste-derived fuels and other complementary construction solutions, supported by a network of production facilities, distribution centers and logistics operations.

Founded in 1906 as Cementos Hidalgo, the company adopted the Cemex name in 1976 following a series of domestic mergers and expansions.