Renaissance Technologies LLC Takes $3.60 Million Position in Commercial Metals Company $CMC

Renaissance Technologies LLC purchased a new position in Commercial Metals Company (NYSE:CMC) in the 1st quarter, HoldingsChannel reports. The institutional investor purchased 58,600 shares of the basic materials company’s stock, valued at approximately $3,600,000.

A number of other hedge funds have also recently made changes to their positions in the stock. Caxton Associates LLP grew its stake in Commercial Metals by 402.5% in the first quarter. Caxton Associates LLP now owns 41,024 shares of the basic materials company’s stock valued at $2,520,000 after purchasing an additional 32,860 shares during the last quarter. Inceptionr LLC bought a new stake in shares of Commercial Metals in the 1st quarter valued at about $362,000. Sei Investments Co. boosted its holdings in shares of Commercial Metals by 64.2% in the 1st quarter. Sei Investments Co. now owns 171,759 shares of the basic materials company’s stock valued at $10,551,000 after buying an additional 67,142 shares in the last quarter. First Citizens Bank & Trust Co. purchased a new position in shares of Commercial Metals in the 1st quarter worth approximately $1,248,000. Finally, First Trust Advisors LP grew its position in shares of Commercial Metals by 4.8% in the 1st quarter. First Trust Advisors LP now owns 24,460 shares of the basic materials company’s stock worth $1,503,000 after buying an additional 1,114 shares during the last quarter. 86.90% of the stock is currently owned by hedge funds and other institutional investors.

Commercial Metals News Roundup

Here are the key news stories impacting Commercial Metals this week:

• Positive Sentiment: Share buyback supports the stock: Commercial Metals authorized a program to repurchase up to $600 million of its outstanding shares, representing as much as 7.5% of the company’s stock. The authorization signals management believes the shares are undervalued and could support earnings per share by reducing the share count. Commercial Metals to Repurchase $600 Million in Outstanding Shares
• Positive Sentiment: Zacks raises longer-term EPS estimates: Zacks Research increased its forecasts across several periods, including Q1 2027 EPS to $1.79 from $1.77, FY2027 EPS to $7.13 from $7.08, and FY2028 EPS to $7.32 from $7.27. Estimates for Q4 2027, Q1-Q3 2028 were also raised by $0.01 per share, suggesting slightly improved expectations for future profitability.
• Neutral Sentiment: Analyst target rises, but rating remains cautious: BMO Capital Markets lifted its price target for CMC from $77 to $80 while maintaining a “Market Perform” rating. The higher target offers moderate potential upside, but the unchanged rating indicates BMO does not expect substantial outperformance relative to the broader market. BMO Capital Markets Raises Commercial Metals Price Target

Commercial Metals Stock Performance

Shares of Commercial Metals stock opened at $75.17 on Friday. The company has a 50 day moving average price of $69.80 and a 200 day moving average price of $70.32. The firm has a market capitalization of $8.32 billion, a P/E ratio of 14.16, a PEG ratio of 0.42 and a beta of 1.52. The company has a quick ratio of 1.54, a current ratio of 2.33 and a debt-to-equity ratio of 0.73. Commercial Metals Company has a 52 week low of $52.74 and a 52 week high of $84.87.

Commercial Metals (NYSE:CMC) last released its earnings results on Thursday, June 25th. The basic materials company reported $1.73 earnings per share for the quarter, topping the consensus estimate of $1.70 by $0.03. Commercial Metals had a net margin of 6.72% and a return on equity of 15.69%. The company had revenue of $2.48 billion for the quarter, compared to the consensus estimate of $2.40 billion. During the same quarter in the previous year, the firm earned $0.74 EPS. Commercial Metals’s revenue was up 22.9% compared to the same quarter last year. Sell-side analysts expect that Commercial Metals Company will post 6.64 EPS for the current year.

Commercial Metals Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, July 15th. Stockholders of record on Monday, July 6th were issued a dividend of $0.20 per share. The ex-dividend date of this dividend was Monday, July 6th. This represents a $0.80 dividend on an annualized basis and a dividend yield of 1.1%. Commercial Metals’s payout ratio is 15.07%.

Commercial Metals declared that its Board of Directors has authorized a share repurchase plan on Wednesday, August 5th that permits the company to repurchase $600.00 million in outstanding shares. This repurchase authorization permits the basic materials company to repurchase up to 7.5% of its shares through open market purchases. Shares repurchase plans are usually a sign that the company’s board believes its shares are undervalued.

Analyst Upgrades and Downgrades

A number of equities research analysts recently commented on the stock. Citigroup decreased their target price on shares of Commercial Metals from $85.00 to $75.00 and set a “buy” rating for the company in a research report on Tuesday, July 7th. UBS Group raised shares of Commercial Metals from a “neutral” rating to a “buy” rating and lifted their price target for the stock from $79.00 to $89.00 in a report on Wednesday, May 13th. Bank of America reduced their price target on Commercial Metals from $84.00 to $78.00 and set a “buy” rating on the stock in a research report on Thursday, July 9th. Deutsche Bank Aktiengesellschaft upgraded Commercial Metals to a “buy” rating in a report on Friday, May 22nd. Finally, Weiss Ratings upgraded Commercial Metals from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Thursday, July 30th. Ten analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the stock. According to data from MarketBeat, Commercial Metals currently has a consensus rating of “Moderate Buy” and an average target price of $81.18.

Insider Buying and Selling at Commercial Metals

In other news, CEO Peter R. Matt bought 8,230 shares of the business’s stock in a transaction that occurred on Friday, July 10th. The shares were purchased at an average cost of $61.30 per share, with a total value of $504,499.00. Following the transaction, the chief executive officer directly owned 181,522 shares in the company, valued at approximately $11,127,298.60. The trade was a 4.75% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. 0.62% of the stock is owned by company insiders.

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.