Commercial Metals Company (CMC) - Stock Analysis

Last updated: Sep 5, 2026

Research Idea

Research content for general circulation. Not individualized advice. Methodology & Disclosures

Q1 core EBITDA up ~52% YoY with margin expansion, $2.5B CP&P/Foley acquisitions, strong liquidity and trade protection news, plus ~14% 21‑day price gain put CMC in a technically strong, earnings‑backed uptrend ahead of further integration and TAG‑savings updates.

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Idea window: 2/11/2026 – 2/18/2026Sector: Basic Materials

AI Analyst Overview

Last Price
$70.28
Market Cap
$7.77B
1D Return
+2.23%
YTD Return
+2.43%

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Valuation Metrics

P/E
13.1
P/B
1.7
P/S
0.9
EV/EBITDA
9.7
Div Yield
1.08%

Fundamental Analysis

6.0

Key Financial Insights: • Margin expansion • Debt increase • Liquidity decline CMC's sharply improved profitability and cheaper valuation are offset by rising leverage, lower cash, and weaker free-cash-flow generation.

EarningsImprovement
LeverageRisk

Price Behavior

5.0

Key Price Behavior Insights: • Recent rebound • $73 resistance • $67 support Support Level: $67.10–$67.60 Resistance Level: $72.00–$73.00 CMC is cautiously recovering over the last month but needs to break above $73 to confirm strength, while a drop below $67.10 risks retesting $64.87.

CautiousRecovery
BreakoutWatch

Sentiment & News

7.0

Key News Insights: • EBITDA Growth • M&A Strategy • Buyback Focus Commercial Metals shows strong growth momentum, acquisition-driven margin expansion, and ambitious 2029 targets, supporting a positive outlook for investors.

Growth
ValueMomentum
AI

AI Summary

6.0
Neutral

CMC is evolving from a pure steel-cycle trade into a higher-margin construction-solutions platform, but investors should require sustained free-cash-flow conversion, successful precast integration, and leverage discipline before treating recent margin gains as structural rather than spread-driven.

Transformation
Cyclicality
CashFlow
AI summary updated 1 days ago

Description

Commercial Metals Company operates integrated steel and metal recycling, fabrication, and manufacturing businesses across the United States, Poland, China and other markets. It processes ferrous and nonferrous scrap for mills and refineries and produces finished and semi-finished long products and fabricated reinforcement used in construction, infrastructure, transportation and industrial applications; it also sells and rents construction-related equipment. The company was founded in 1915 and is headquartered in Irving, Texas.

Idea History

DateCloseTickerCompanySummaryStatusP/L
Feb 11Feb 18CMCCommercial Metals Company
Q1 core EBITDA up ~52% YoY with margin expansion, $2.5B CP&P/Foley acquisitions, strong liquidity and trade protection news, plus ~14% 21‑day price gain put CMC in a technically strong, earnings‑backed uptrend ahead of further integration and TAG‑savings updates.
Closed-5.4%
Jan 1Jan 8CMCCommercial Metals Company
Commercial Metals Company benefits from accretive acquisitions increasing margins, strong steel demand, and positive regulatory tailwinds (anti-dumping ruling). The stock has steady price appreciation with positive technical momentum, underpinned by improved earnings and cash flow outlook, making it a solid hot idea for near-term gains.
Closed+2.0%
Dec 17Dec 24CMCCommercial Metals Company
Strong near-term growth driven by strategic acquisitions closed in December 2025 adding $250M EBITDA, operational improvements, sector tailwinds from infrastructure spending, and positive technical momentum with an 11% stock gain and technical breakout signals.
Closed+1.1%
Research content for educational purposes only. Not investment advice. All decisions are your responsibility.