Commercial Metals (NYSE:CMC) Sets New 12-Month Low - What's Next?

Commercial Metals (NYSE:CMC - Get Free Report)'s share price hit a new 52-week low during mid-day trading on Monday . The stock traded as low as $37.92 and last traded at $39.05, with a volume of 2010904 shares changing hands. The stock had previously closed at $41.62.

Wall Street Analyst Weigh In

CMC has been the subject of a number of analyst reports. BMO Capital Markets reduced their price objective on shares of Commercial Metals from $58.00 to $54.00 and set a "market perform" rating for the company in a report on Friday, March 21st. Morgan Stanley lowered their price objective on Commercial Metals from $56.00 to $53.00 and set an "equal weight" rating on the stock in a research note on Friday, March 7th. BNP Paribas downgraded Commercial Metals from an "outperform" rating to a "neutral" rating in a research report on Friday, January 3rd. UBS Group decreased their price target on Commercial Metals from $54.00 to $49.00 and set a "neutral" rating on the stock in a research note on Monday, March 24th. Finally, Jefferies Financial Group dropped their price objective on Commercial Metals from $65.00 to $62.00 and set a "buy" rating for the company in a research note on Monday, January 6th. Six research analysts have rated the stock with a hold rating and three have assigned a buy rating to the stock. According to MarketBeat, the company presently has a consensus rating of "Hold" and a consensus price target of $60.33.

Commercial Metals Price Performance

The company has a quick ratio of 1.94, a current ratio of 2.76 and a debt-to-equity ratio of 0.29. The stock's 50-day moving average price is $47.01 and its 200-day moving average price is $51.89. The company has a market capitalization of $4.74 billion, a price-to-earnings ratio of 37.78, a price-to-earnings-growth ratio of 2.62 and a beta of 1.16.

Commercial Metals (NYSE:CMC - Get Free Report) last issued its quarterly earnings results on Thursday, March 20th. The basic materials company reported $0.26 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.31 by ($0.05). The firm had revenue of $1.75 billion for the quarter, compared to analyst estimates of $1.73 billion. Commercial Metals had a net margin of 1.70% and a return on equity of 9.88%. The company's revenue was down 5.1% compared to the same quarter last year. During the same period last year, the company earned $0.88 EPS. Equities research analysts anticipate that Commercial Metals will post 3.09 earnings per share for the current year.

Commercial Metals Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, April 9th. Shareholders of record on Monday, March 31st were paid a $0.18 dividend. This represents a $0.72 annualized dividend and a yield of 1.72%. The ex-dividend date was Monday, March 31st. Commercial Metals's payout ratio is 120.00%.

Insiders Place Their Bets

In other news, Director John R. Mcpherson bought 2,475 shares of the business's stock in a transaction on Friday, April 4th. The shares were bought at an average cost of $40.42 per share, for a total transaction of $100,039.50. Following the completion of the acquisition, the director now owns 15,141 shares in the company, valued at approximately $611,999.22. This trade represents a 19.54 % increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Company insiders own 0.46% of the company's stock.

Institutional Trading of Commercial Metals

A number of large investors have recently made changes to their positions in the company. Verition Fund Management LLC acquired a new position in Commercial Metals in the third quarter valued at about $374,000. HighTower Advisors LLC lifted its holdings in shares of Commercial Metals by 82.6% during the 3rd quarter. HighTower Advisors LLC now owns 15,928 shares of the basic materials company's stock valued at $874,000 after purchasing an additional 7,207 shares in the last quarter. Orion Portfolio Solutions LLC grew its position in shares of Commercial Metals by 1.3% in the 3rd quarter. Orion Portfolio Solutions LLC now owns 32,707 shares of the basic materials company's stock valued at $1,798,000 after purchasing an additional 419 shares during the period. Public Employees Retirement System of Ohio increased its stake in Commercial Metals by 191.4% during the 3rd quarter. Public Employees Retirement System of Ohio now owns 56,990 shares of the basic materials company's stock worth $3,132,000 after purchasing an additional 37,433 shares in the last quarter. Finally, Barclays PLC raised its holdings in Commercial Metals by 67.5% during the 3rd quarter. Barclays PLC now owns 210,769 shares of the basic materials company's stock worth $11,584,000 after buying an additional 84,905 shares during the period. Institutional investors own 86.90% of the company's stock.

About Commercial Metals

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.