Commercial Metals Sees Unusually High Options Volume (NYSE:CMC)

Commercial Metals (NYSE:CMC) was the target of unusually large options trading activity on Tuesday. Stock investors bought 2,599 call options on the company. This represents an increase of 799% compared to the typical daily volume of 289 call options.

Hedge Funds Weigh In On Commercial Metals

A number of large investors have recently bought and sold shares of the business. First Dallas Securities Inc. raised its holdings 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 purchasing an additional 185 shares during the period. Wealth Enhancement Advisory Services LLC raised its holdings in shares of Commercial Metals by 0.7% during the second quarter. Wealth Enhancement Advisory Services LLC now owns 26,778 shares of the basic materials company’s stock valued at $1,473,000 after acquiring an additional 187 shares during the last quarter. SummerHaven Investment Management LLC increased its holdings in shares of Commercial Metals by 2.1% in the second quarter. SummerHaven Investment Management LLC now owns 13,615 shares of the basic materials company’s stock valued at $749,000 after purchasing an additional 276 shares during the last quarter. GAMMA Investing LLC increased its holdings in shares of Commercial Metals by 21.9% in the second quarter. GAMMA Investing LLC now owns 1,572 shares of the basic materials company’s stock valued at $86,000 after purchasing an additional 282 shares during the last quarter. Finally, Inspire Investing LLC grew its position 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 acquiring an additional 284 shares during the period. Institutional investors and hedge funds own 86.90% of the company’s stock.

Analyst Upgrades and Downgrades

A number of brokerages have commented on CMC. Bank of America dropped their target price on shares of Commercial Metals from $70.00 to $69.00 and set a “buy” rating on the stock in a research note on Wednesday, June 26th. Wolfe Research cut shares of Commercial Metals from an “outperform” rating to a “peer perform” rating in a research report on Wednesday, October 9th. BMO Capital Markets set a $62.00 target price on Commercial Metals and gave the stock a “market perform” rating in a research note on Friday. Finally, Jefferies Financial Group began coverage on shares of Commercial Metals in a report on Tuesday, September 3rd. They set a “buy” rating and a $65.00 price objective on the stock. Three equities research analysts have rated the stock with a hold rating and three have issued a buy rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average price target of $65.25.

Commercial Metals Stock Performance

Shares of CMC traded down $1.15 during mid-day trading on Tuesday, reaching $53.95. The company had a trading volume of 27,209 shares, compared to its average volume of 856,420. Commercial Metals has a 52-week low of $39.85 and a 52-week high of $61.26. The company has a quick ratio of 2.83, a current ratio of 4.24 and a debt-to-equity ratio of 0.27. The stock has a market capitalization of $6.20 billion, a P/E ratio of 11.48 and a beta of 1.14. The stock has a 50 day moving average of $52.97 and a two-hundred day moving average of $54.41.

Commercial Metals Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, November 14th. Stockholders of record on Thursday, October 31st will be paid a $0.18 dividend. The ex-dividend date of this dividend is Thursday, October 31st. This represents a $0.72 dividend on an annualized basis and a dividend yield of 1.33%. Commercial Metals’s payout ratio is 15.00%.

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.