Stock Traders Buy Large Volume of Call Options on Commercial Metals (CMC)

Commercial Metals (NYSE:CMC) was the target of some unusual options trading activity on Thursday. Stock traders acquired 2,803 call options on the company. This represents an increase of 1,423% compared to the average volume of 184 call options.

A number of analysts recently commented on the stock. Zacks Investment Research cut shares of Commercial Metals from a “hold” rating to a “sell” rating in a research note on Thursday, December 28th. Jefferies Group upgraded shares of Commercial Metals from a “hold” rating to a “buy” rating in a research note on Tuesday, October 17th. Finally, Bank of America upgraded shares of Commercial Metals from a “neutral” rating to a “buy” rating and lifted their target price for the stock from $21.00 to $24.00 in a research note on Thursday, December 7th. Four equities research analysts have rated the stock with a sell rating and five have given a buy rating to the company. Commercial Metals presently has a consensus rating of “Hold” and an average target price of $21.88.

Shares of Commercial Metals (NYSE:CMC) opened at $24.82 on Friday. The company has a market cap of $2,926.29, a P/E ratio of 37.61 and a beta of 1.26. The company has a debt-to-equity ratio of 0.56, a current ratio of 3.20 and a quick ratio of 2.07. Commercial Metals has a 12 month low of $17.05 and a 12 month high of $25.90.

Commercial Metals (NYSE:CMC) last released its earnings results on Thursday, October 26th. The basic materials company reported $0.07 EPS for the quarter, missing analysts’ consensus estimates of $0.20 by ($0.13). Commercial Metals had a return on equity of 8.08% and a net margin of 1.53%. analysts anticipate that Commercial Metals will post 1.42 earnings per share for the current fiscal year.

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, January 31st. Shareholders of record on Tuesday, January 16th will be given a dividend of $0.12 per share. This represents a $0.48 dividend on an annualized basis and a yield of 1.93%. The ex-dividend date is Friday, January 12th. Commercial Metals’s dividend payout ratio is presently 72.73%.

In related news, EVP Tracy L. Porter sold 6,935 shares of Commercial Metals stock in a transaction that occurred on Tuesday, January 16th. The shares were sold at an average price of $25.14, for a total value of $174,345.90. Following the completion of the sale, the executive vice president now directly owns 10 shares in the company, valued at approximately $251.40. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Tracy L. Porter sold 13,601 shares of Commercial Metals stock in a transaction that occurred on Thursday, January 18th. The stock was sold at an average price of $25.04, for a total transaction of $340,569.04. Following the completion of the sale, the executive vice president now owns 10 shares of the company’s stock, valued at $250.40. The disclosure for this sale can be found here. 1.50% of the stock is currently owned by company insiders.

A number of institutional investors and hedge funds have recently bought and sold shares of CMC. Janus Henderson Group PLC purchased a new position in Commercial Metals during the 2nd quarter worth approximately $29,018,000. Deprince Race & Zollo Inc. raised its position in Commercial Metals by 58.8% during the 3rd quarter. Deprince Race & Zollo Inc. now owns 3,018,145 shares of the basic materials company’s stock worth $57,435,000 after buying an additional 1,117,876 shares during the last quarter. Teachers Advisors LLC raised its position in Commercial Metals by 322.3% during the 2nd quarter. Teachers Advisors LLC now owns 1,043,599 shares of the basic materials company’s stock worth $20,277,000 after buying an additional 796,477 shares during the last quarter. Russell Investments Group Ltd. raised its position in Commercial Metals by 4,203.2% during the 3rd quarter. Russell Investments Group Ltd. now owns 589,535 shares of the basic materials company’s stock worth $11,218,000 after buying an additional 575,835 shares during the last quarter. Finally, Goldman Sachs Group Inc. raised its position in Commercial Metals by 13.2% during the 2nd quarter. Goldman Sachs Group Inc. now owns 4,512,233 shares of the basic materials company’s stock worth $87,673,000 after buying an additional 526,185 shares during the last quarter. 88.55% of the stock is owned by institutional investors.

COPYRIGHT VIOLATION WARNING: “Stock Traders Buy Large Volume of Call Options on Commercial Metals (CMC)” was reported by American Banking News and is the sole property of of American Banking News. If you are viewing this piece of content on another publication, it was illegally stolen and reposted in violation of US & international copyright law. The correct version of this piece of content can be viewed at https://www.americanbankingnews.com/2018/01/21/stock-traders-buy-large-volume-of-call-options-on-commercial-metals-cmc.html.

About Commercial Metals

Commercial Metals Company, together with its subsidiaries, manufactures, recycles and markets steel and metal products, related materials and services through a network. The Company’s Americas Recycling segment processes scrap metals for use as a raw material by manufacturers of new metal products. The Americas Mills segment consists of steel mills, commonly referred to as minimills that produce reinforcing bar (rebar), angles, flats and rounds.

Receive News & Ratings for Commercial Metals Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Commercial Metals and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply