Commercial Metals (NYSE:CMC) Sees Large Growth in Short Interest

Commercial Metals (NYSE:CMC) saw a large increase in short interest in December. As of December 15th, there was short interest totalling 3,700,000 shares, an increase of 16.4% from the November 30th total of 3,180,000 shares. Based on an average trading volume of 903,300 shares, the days-to-cover ratio is currently 4.1 days. Approximately 3.3% of the shares of the stock are short sold.

Commercial Metals Stock Down 1.9 %

Shares of Commercial Metals stock opened at $50.11 on Monday. The company has a current ratio of 3.94, a quick ratio of 2.78 and a debt-to-equity ratio of 0.27. Commercial Metals has a 12-month low of $47.42 and a 12-month high of $64.53. The company’s fifty day simple moving average is $57.41 and its two-hundred day simple moving average is $55.05. The company has a market cap of $5.71 billion, a P/E ratio of 12.10, a PEG ratio of 2.74 and a beta of 1.15.

Commercial Metals (NYSE:CMC) last released its earnings results on Thursday, October 17th. The basic materials company reported $0.90 earnings per share for the quarter, missing analysts’ consensus estimates of $0.91 by ($0.01). Commercial Metals had a return on equity of 12.20% and a net margin of 6.13%. The business had revenue of $2 billion during the quarter, compared to analysts’ expectations of $2.07 billion. Research analysts anticipate that Commercial Metals will post 4.26 EPS for the current year.

Commercial Metals Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, November 14th. Shareholders of record on Thursday, October 31st were paid a dividend of $0.18 per share. This represents a $0.72 dividend on an annualized basis and a yield of 1.44%. The ex-dividend date of this dividend was Thursday, October 31st. Commercial Metals’s payout ratio is 17.39%.

Wall Street Analysts Forecast Growth

CMC has been the subject of several analyst reports. BMO Capital Markets set a $62.00 price target on shares of Commercial Metals and gave the company a “market perform” rating in a research note on Friday, October 18th. Wolfe Research downgraded Commercial Metals from an “outperform” rating to a “peer perform” rating in a research note on Wednesday, October 9th. The Goldman Sachs Group started coverage on Commercial Metals in a research report on Monday, December 2nd. They set a “buy” rating and a $75.00 price target on the stock. Jefferies Financial Group began coverage on Commercial Metals in a report on Tuesday, September 3rd. They set a “buy” rating and a $65.00 target price for the company. Finally, UBS Group reiterated a “sell” rating and set a $56.00 price target (down previously from $62.00) on shares of Commercial Metals in a research report on Thursday, December 12th. One investment analyst has rated the stock with a sell rating, four have given a hold rating and three have issued a buy rating to the company’s stock. According to MarketBeat, Commercial Metals currently has a consensus rating of “Hold” and an average target price of $65.33.

Institutional Investors Weigh In On Commercial Metals

Institutional investors have recently made changes to their positions in the company. First Dallas Securities Inc. raised its position in Commercial Metals by 0.8% in the 2nd quarter. First Dallas Securities Inc. now owns 22,234 shares of the basic materials company’s stock worth $1,222,000 after buying an additional 185 shares during the last quarter. Tectonic Advisors LLC raised its holdings in shares of Commercial Metals by 1.6% during the third quarter. Tectonic Advisors LLC now owns 17,774 shares of the basic materials company’s stock valued at $977,000 after purchasing an additional 272 shares during the last quarter. Assetmark Inc. lifted its position in Commercial Metals by 6.4% during the third quarter. Assetmark Inc. now owns 4,602 shares of the basic materials company’s stock valued at $253,000 after purchasing an additional 277 shares during the period. Inspire Investing LLC boosted its holdings in Commercial Metals by 4.6% in the second quarter. Inspire Investing LLC now owns 6,392 shares of the basic materials company’s stock worth $351,000 after purchasing an additional 284 shares during the last quarter. Finally, Verdence Capital Advisors LLC boosted its holdings in Commercial Metals by 4.2% in the third quarter. Verdence Capital Advisors LLC now owns 7,160 shares of the basic materials company’s stock worth $394,000 after purchasing an additional 287 shares during the last quarter. Hedge funds and other 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.