Commercial Metals Company Receives a Hold from Credit Suisse

By Ryan Adsit

Credit Suisse analyst Curt Woodworth reiterated a Hold rating on Commercial Metals Company (NYSE: CMC) on November 3 and set a price target of $15. The company’s shares closed yesterday at $17.02.

According to TipRanks.com, Woodworth is a 1-star analyst with an average return of -2.5% and a 48.4% success rate. Woodworth covers the Basic Materials sector, focusing on stocks such as Kaiser Aluminum Corp., Peabody Energy Corp., and United States Steel.

Currently, the analyst consensus on Commercial Metals Company is Hold and the average price target is $16.25, representing a -4.5% downside.

In a report issued on October 31, Macquarie also downgraded the stock to Hold.

Commercial Metals Company’s market cap is currently $1.95B and has a P/E ratio of 36.30. The company has a book value ratio of 1.4270.

Based on the recent corporate insider activity of 83 insiders, corporate insider sentiment is neutral on the stock. Last month, Joseph Alvarado, the CHAIRMAN OF THE BOARD, PRESIDE of CMC sold 26,026 shares for a total of $435,943.

Commercial Metals Co. manufactures, recycles, markets steel and metal products, and related materials and services. The company is organized in five business segments: Americas Recycling, Americas Mills, Americas Fabrication, International Mill and International Marketing and Distribution. The Americas Recycling segment processes scrap metals for use as a raw material by manufacturers of new metal products. The Americas Mills segment includes the Company’s domestic steel mills, including the scrap processing facilities that directly support these mills, and the domestic copper tube minimill. The Americas Fabrication segment consists of the Company’s rebar fabrication operations, fence post manufacturing plants and construction-related and other products facilities. The International Mill segment includes the minimill and recycling operations in Poland and fabrication operations. The International Marketing and Distribution segment includes international operations for the sales, distribution and processing of steel products, ferrous and nonferrous metals and other industrial products. Commercial Metals was founded by Moses Feldman in 1915 and is headquartered in Irving, TX.