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Commercial Metals Company

Rank #375Op. LeverageWatchlistCompare with other stocks

CMC · NYSE · Industrials

Commercial Metals Company (CMC) — Rank #375 by gross profitability (GP/assets 0.17) · ROE 14.0% · Piotroski F-Score 6 / 9.

As-of 2026-10-30 · CIK 0000022444 · all metrics point-in-time as of the filing date.

About

Commercial Metals Company manufactures, recycles, and fabricates steel and metal products, and related materials and services in the United States, Poland, China, and internationally.

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It operates through three segments: North America Steel Group, Construction Solutions Group, and Europe Steel Group. The company processes and sells ferrous and nonferrous scrap metals. It also offers finished long steel products, including reinforcing bars, merchant bars, light structural and other special sections, and wire rods, as well as semi-finished billets for rerolling and forging applications. In addition, the company provides fabricated rebar used to reinforce concrete; sells and rents construction-related products and equipment; and manufactures and sells strength and armor plates. Further, it sells wire meshes, welded steel mesh, wire rod, cold rolled rebar, cold rolled wire rod, assembled rebar cages and other fabricated rebar by-products.

The company was founded in 1915 and is headquartered in Irving, Texas.

Industry
Metal Fabrication
Sector
Industrials
State
DE
Filer Category
Large accelerated filer
Fiscal Year End
August 31
Website
cmc.com

Company Snapshot

P/E and reverse DCF are the primary valuation lenses at this stage.

Market Cap

—

P/E (annual)

—

P/S (annual)

—

P/B

—

P/OCF (annual)

—

Shareholder Yield

—

Employees

13,670

Industry

Metal Fabrication

Exchange

NYSE

11/11

Flags passed

CMC passes 11/11 quality flags

  • PASS
    Gross margin holding
  • PASS
    Dilution within 2%
  • PASS
    FCF not negative from investment
  • PASS
    Disclosure consistent
  • PASS
    Revenue not declining
  • PASS
    Free cash flow intact
  • PASS
    Passes safety gate
  • PASS
    Balance sheet stable
  • PASS
    No competitive retreat
  • PASS
    SBC not compressing margin
  • PASS
    No valuation convergence

Strengths Revenue growth accelerating

No data Operating margin — not counted as a pass.

A count of the 12 warning flags that could be evaluated. Unweighted: colour follows the worst flag.

Quality Profile

Profitability

1/1 pass
GP / assets
0.17
Return on equity
14.0%
Gross margin trend
PASS

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
1.18
Current ratio
2.34×
Net cash
-$2.43B

Cash Flow

2/3 pass
Positive FCF
PASS
Cash-backed earnings
WARN
Accruals healthy
PASS
SBC / revenue
0.5%

Growth

2/2 pass
Revenue growth
20.5%
Piotroski F-Score
6 / 9
Share dilution
-1.9%

Operating margin expansion and free cash flow are the primary reads at this stage.

Profitability

Does it make money well?

No warning flags · GP/assets 0.17

Gross profitability (GP / assets)

0.17

Primary signal (Novy-Marx).

3rd of 6 SIC 33 peers

Return on equity

14.0%

Gross margin

18.6%

5th of 6 SIC 33 peers

Revenue growth (YoY)

20.5%

RPO growth (YoY)

3.2%

Remaining performance obligations growth — RPO > revenue = forward demand building.

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

2023202420252026
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Growth

Revenue CAGR (3Y)

2.2%

Revenue CAGR (5Y)

6.9%

Earnings CAGR (3Y)

-8.6%

FCF CAGR (3Y)

-13.4%

Cash Flow Health

Is the cash real?

No warning flags · FCF 27% below net income

Free cash flow

$479.12M

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF vs net income

-26.9%

(FCF − net income) ÷ |net income|. Positive: cash above earnings. Negative: below.

FCF not below net income

Fails when free cash flow is below net income (yellow flag).

WARN

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

0.5%

Stock-based comp intensity.

Balance Sheet Strength

Can it survive a storm?

No warning flags · net debt $2.43B, F-Score 6/9

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

1.18

4th of 6 SIC 33 peers (best = lowest)

Current ratio

2.34×

4th of 6 SIC 33 peers

Quick ratio

1.36×

Net cash

-$2.43B

Cash & equivalents minus total debt.

Piotroski F-Score

6 / 9

Fundamental-strength score (0-9).

Valuation

Is the price reasonable?

No warning flags

Dividend safety

Composite score

4.0 / 5

Strong
Payout ratio
12.8%5/5 Strong
FCF coverage
5.69×5/5 Strong
Dividend growth streak
10 yr5/5 Strong
Balance-sheet health
D/E 1.18 · IC N/A1/5 Weak

Capital allocation quality

Composite score

2.7 / 5

Fair
Share count trend(net buybacks)
-1.9%3/5 Good
Buyback timing
N/AN/A
Dividend growth consistency
10 yr5/5 Strong
Net debt trajectory
-22.2%0/5 Weak

Lifecycle Phase History

20212026
Op. Leverage
Hypergrowth
Value

Price History

CMC+123.9% · +17.4% CAGRSPY+82.9% · +12.8% CAGR

View full financial statements →

Source filings on SEC EDGAR: 10-K annual reports · 10-Q quarterly reports