Commercial Metals Company (CMC) fair value: what the stock is really worth
As of Nov 6, 2026: fair value (intrinsic value) of Commercial Metals Company stock $83.04, price $62.28, upside +33.3%, quality 65 out of 100. Rating: undervalued. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 8, 2026.
How to read this chart
60‑month range $27.75 – $82.67 · fair‑value band $53.24 – $114.65 · the $62.28 price screens below the $83.04 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 8, 2026.
Follow Commercial Metals in your weekly email
Every Wednesday you see whether Commercial Metals is on track or worth a review, plus price against fair value. Free, up to 3 stocks.
We send you a confirmation link. Unsubscribe with one click.
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 three segments: North America Steel Group; Europe Steel Group; and Emerging Businesses Group.
Show moreShow less
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.
It also manufactures and sells finished long steel products, including reinforcing bar, merchant bar, light structural, wire rod, and other special sections, as well as semi-finished billets for rerolling and forging applications.
In addition, the company provides fabricated rebar used to reinforce concrete primarily in the construction of commercial and non-commercial buildings, hospitals, convention centers, industrial plants, power plants, highways, bridges, arenas, stadiums, and dams; sells and rents construction-related products and equipment to concrete installers and other businesses; and manufactures and sells strength bars for the truck trailer industry, special bar steels for the energy market, and armor plates for military vehicles.
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 to fabricators, manufacturers, distributors, and construction companies.
The company was founded in 1915 and is headquartered in Irving, Texas.
Stock analysis
Commercial Metals Company (CMC) currently trades at $62.28, while our model-based Fair Value estimate is $83.04, implying the stock looks roughly 25% undervalued today.
Show more
Valuation
Bull case: the Growth Earnings group reads highest at a median of $88.19 per share, and 17 of the 26 models we run sit above the $62.28 price.
Bear case: the Dividend Discount group reads lowest at $9.72, and 9 of the 26 models stay below the price. Data coverage for this calculation is high.
Scenario range: $53.24 (bear) to $114.65 (bull), the price of $62.28 sits inside it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 65/100 (solid quality), in the Industrials sector.
Healthy Growth: Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Commercial Metals Company reported revenue of $9.4B in FY2026 versus $8.9B in FY2022, a compound +1.3%/yr. Reported net income was $656M in FY2026, compounding −14.3%/yr from FY2022.
Key figures
Market cap $7.0B Mid · P/E ratio 10.7 · P/S ratio 0.74 · EPS (TTM) $5.82 · Dividend yield 1.2% · Net margin 7.0% · Return on equity 14.8% · Return on assets (EBIT) 12.9% (5-year average).
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 46 out of 100 (low confidence).
What moves the price
The share trades about 25% below its 52-week high and 10% above its 52-week low, currently below its 200-day average.
For context, the median of 10 Industrials peers we cover trades at −38% fair-value upside, at 33%, CMC screens cheaper than that median.
Fair Value models
Bear$53.24Fair Value $83.04Bull$114.65
Price $62.28 · Upside +33.3%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2026 figures (about 2 months old). Earnings retained since then ($0.9704 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
BuyDennis Arriola VDirector2,000 shares at $74.69$149,380Jan 20, 2026
Plus 33 other filings such as grants, option exercises or tax withholding. They are not market purchases or sales.
Sales are often planned (taxes, diversification, 10b5-1 plans). Purchases with their own money are seen as the stronger sign. For information only: not part of the quality score or Fair Value.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.73/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Revenue growth 1 year
+20.5%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+2.2%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+6.9%
Start year 2021 (pandemic). Over 10 years: +10.1% a year
Revenue growth 41 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+5.6%
’15
’16
’17
’18
’19
’20
’21
’22
’23
’24
’25
’26
What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate. Basis: adjusted.
+8.5%
Earnings growth per share plus dividend.
Earnings per share, growth per year+7.3%
Dividend (yield on the price)1.2%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.11.6% vs 28.7%, slowing
Profit margin 2021 to 2026 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.9% → 9%
Pace: the 5-year rate starts in 2021 (pandemic)
Growth Forecast
A lot of optimism in the price
The price assumes about as much growth as the company has delivered so far and more than analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+8.3%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+3.8%
Yearly sales growth analysts expect, extended to five years.
After inflation (USA: IMF forecast 2.4% a year to 2030, 3.1% from 2016 to 2025) that is about +5.7% a year for the price and +1.4% for the forecasts.
AI conclusion: Efforts to diversify into a capital-light construction solutions platform support a shift toward higher margins and stronger free cash flow, yet the business remains limited by thin margins and weak competitive advantages in cyclical metal fabrication.
Main risk: An adverse final ruling in the ongoing antitrust case could require substantial cash payments that strain liquidity and constrain investment in the steel and construction solutions operations.
Bull case: Successful appeal or settlement of the antitrust case could free resources to accelerate the shift toward higher-margin construction solutions and strengthen the integrated steel platform.
Bear case: If the judgment stands and payments become due, the company might face reduced financial flexibility that slows diversification and leaves core steel margins exposed to cyclical pressures.
Commercial Metals is pushing its Transform Advance Grow program and precast acquisitions to shift toward a diversified, capital-light construction solutions platform with higher margins and stronger free cash flow from 2027 onward. Most earnings still flow from North American steel operations exposed to scrap costs and cyclical demand. Will the new businesses scale fast enough to reshape the profit mix, or will metal fabrication margins keep driving results?
Compare Commercial Metals Company with another stock
Price, fair value, quality and upside side by side.
Free, no sign-up
Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Metal Fabrication · 260 stocks
Beats the industry median on 12/15 measures
Overall it ranks above its industry peers.
Valuation
Quality Score65 · Top 25%
Fair Value upside+33.3% · Top 25%
Profitability
Return on equity (12 months)14.8% · Top 25%
Return on assets6.4% · Top 25%
Net margin (12 months)7.0% · Above median
Operating margin (12 months)8.8% · Above median
Growth and dividend
Revenue growth (quarter YoY)25.7% · Above median
Dividend yield (12 months)1.2% · Below median
Balance sheet
Debt / equity0.28× · Highest 25%
Valuation Multiplesvs Metal Fabrication median · lower = cheaper
P/E (12 months)10.7× · Cheapest 25%
P/B1.48× · Cheaper than median
P/S (12 months)0.74× · Cheaper than median
Price / free cash flow (fiscal year)14.6× · Cheaper than median
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "Commercial Metals Company Fair Value". https://www.fairvalue-calculator.com/stock/CMC
Frequently asked questions
Is Commercial Metals Company (CMC) overvalued or undervalued?
As of Nov 8, 2026, our model estimates a fair value of $83.04 versus a price of $62.28, about +33% upside (undervalued).
What is the fair value of CMC?
Our model-based fair value for Commercial Metals Company is $83.04 (as of Nov 8, 2026), built from audited fundamentals. The current price: $62.28.
What is the quality score of CMC?
Commercial Metals Company has a Quality Score of 65/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Commercial Metals Company (CMC)?
Our model-based price target is the fair value of $83.04 (as of Nov 8, 2026) from 26 valuation models. Cautious scenario $53.24, optimistic scenario $114.65. It is a calculation from audited fundamentals, not an analyst target.
What is the Commercial Metals Company stock forecast for 2026?
Our models put fair value at $83.04, about +33% upside versus a price of $62.28 (undervalued). Cautious scenario $53.24, optimistic scenario $114.65. The calculation is refreshed regularly with new filings.
What is the revenue of Commercial Metals Company (CMC)?
Commercial Metals Company reported trailing-twelve-month revenue of about $9.4B (latest available figure, as of Nov 8, 2026).
Does Commercial Metals Company pay a dividend?
Commercial Metals Company currently shows a dividend yield of 1.22% relative to its recent price (as of Nov 8, 2026).
How much is the dividend of Commercial Metals Company (CMC) and when is the ex-dividend date?
Commercial Metals Company pays a dividend of $0.76 per share a year, a dividend yield of 1.2%. The last ex-dividend date was Oct 28, 2026. A dividend has been paid every year since at least 1984. The payout ratio is 15.7% of earnings (on adjusted earnings, reported 13.1%). Free cash flow covers the dividend 5.70 times. Our assessment: Well covered. A low payout and the dividend is fully funded by free cash flow, a comfortable, sustainable dividend.
What growth is priced into Commercial Metals Company (CMC)?
For today's price to be fair in a discounted-cash-flow model, Commercial Metals Company would have to grow free cash flow by +8.3 % per year for five years (discount rate 11.0 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +6.9 % per year. As of Nov 8, 2026.
What discount rate (WACC) does the fair value of CMC use?
Our models discount Commercial Metals Company at 11.0 %: a base by market capitalisation (mid), damped by beta 1.53, country premium for USA. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Commercial Metals Company that is +8.3 % per year for five years, then slowing evenly to 2 % by year ten, using the same discount rate (11.0 %) and the same formula as our fair value.
How much growth has Commercial Metals Company (CMC) delivered so far?
Over the past 5 years revenue at Commercial Metals Company grew +6.9 % a year. The price currently implies free-cash-flow growth of +8.3 % per year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Commercial Metals Company (CMC) growing?
The median revenue growth in the sector is +9.8 % a year. That is the yardstick for the growth priced into Commercial Metals Company (+8.3 % per year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Commercial Metals Company (CMC)?
The free-cash-flow yield on the price is 6.87 %: that much free cash flow Commercial Metals Company produces per unit of market value. When it exceeds the discount rate of our models (11.0 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Commercial Metals Company (CMC)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Commercial Metals Company it is $83.04 per share (as of Nov 8, 2026), against a price of $62.28. It is the blended result of 26 valuation models in 8 families (DCF Models, Earnings-Based, Dividend Discount, Multiples, Asset-Based, Growth DCF, Economic Profit, Growth Earnings).
Is Commercial Metals Company stock overvalued or undervalued in 2026?
As of Nov 8, 2026, CMC trades below its calculated fair value: price $62.28, fair value $83.04, a gap of about +33% (undervalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of CMC?
No. The price is what the market pays today ($62.28); the fair value is what the company's own numbers justify ($83.04). For Commercial Metals Company the two are $20.76 per share apart. That gap is exactly why we show both numbers side by side.
How much is Commercial Metals Company worth?
The market values Commercial Metals Company at about $7.0B (market capitalisation, as of Nov 8, 2026). Per share that is $62.28; our models calculate a fair value of $83.04 per share.
What do the bullish and bearish scenarios say about CMC?
Our models span a range for Commercial Metals Company: cautious scenario $53.24, base $83.04, optimistic $114.65 per share (as of Nov 8, 2026, price $62.28). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of CMC?
Commercial Metals Company trades at a price-to-earnings ratio of 10.7 (as of Nov 8, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of $83.04 is built from several models across several years. Excluding one-off items of fiscal year 2026 it is 12.8 (reported 10.7). Median P/E at fiscal year-end, 10 fiscal years (2017 to 2026), reported earnings, 4 of the years ex one-offs: 10.6. Other multiples: PEG 12.3, P/B 1.5, P/S 0.7, EV/EBITDA 5.9.
What is the PEG ratio of CMC?
The PEG ratio of Commercial Metals Company is 12.25 (P/E divided by earnings growth, as of Nov 8, 2026). That is above 1, so the growth is already paid for in the price.
How solid is the balance sheet of Commercial Metals Company (CMC)?
Balance-sheet figures for Commercial Metals Company (as of Nov 8, 2026): return on equity 14.8%, debt of 0.28 per unit of equity. They feed the Quality Score of 65/100, which measures business quality independently of the share price.
How far is CMC from its 52-week high?
Commercial Metals Company trades at $62.28, about 25% below its 52-week high of $82.67 and 10% above the low of $56.84 (as of Nov 6, 2026). Distance from the high says nothing about value: that is what the fair value of $83.04 is for.
Which stocks are comparable to Commercial Metals Company?
From the same area (Industrials) we also value ATI Inc, Carpenter Technology Corporation, Mueller Industries, Inc, Bharat Forge Limited, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Commercial Metals Company stock attractive at the current price?
The data as of Nov 8, 2026: price $62.28, calculated fair value $83.04 (+33%), Quality Score 65/100, from 26 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of CMC calculated?
We run Commercial Metals Company through 26 models from 8 families: DCF Models, Earnings-Based, Dividend Discount, Multiples, Asset-Based, Growth DCF, Economic Profit, Growth Earnings. Every model gets the same audited fundamentals; the fair value of $83.04 builds on their evidence-weighted average, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.3% above its aggregate fair value. Commercial Metals Company currently trades 25% below its own fair value, and the market average says nothing about that. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Commercial Metals Company (CMC)?
The closing price on Nov 6, 2026 was $62.28. Our model-based fair value is $83.04, about +33% upside (undervalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Commercial Metals Company right now?
Solid quality (65/100) at a price below fair value, the discount is the argument here, not the business quality. A fairly wide model range ($53.24 to $114.65) leaves room in how you read the outcome.
Where does the earnings growth of Commercial Metals Company (CMC) come from?
Earnings per share at Commercial Metals Company grew +24.1 % a year from 2015 to 2026. Broken into its drivers: revenue per share +8.0 %, EBIT margin +8.5 %, tax rate +1.4 %, residual (interest, one-offs) +4.3 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of Commercial Metals Company
How large is the market capitalisation of Commercial Metals Company (CMC)?
The market capitalisation of Commercial Metals Company is $7.0B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Commercial Metals Company (CMC)?
The price-to-sales ratio of Commercial Metals Company is 0.74 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Commercial Metals Company (CMC)?
Earnings per share at Commercial Metals Company are $5.82 (price ÷ EPS = P/E 10.7). Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Commercial Metals Company (CMC)?
The dividend yield of Commercial Metals Company is 1.2% (payout 15.7%, on adjusted earnings, reported 13.1%). Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of Commercial Metals Company (CMC)?
The net margin of Commercial Metals Company is 7.0% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Commercial Metals Company (CMC)?
The return on equity (ROE) of Commercial Metals Company is 14.8% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Commercial Metals Company (CMC)?
On an EBIT basis the return on assets of Commercial Metals Company is 12.9% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Commercial Metals Company (CMC)?
The operating margin of Commercial Metals Company is 8.8% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Commercial Metals Company (CMC)?
Revenue at Commercial Metals Company is growing +25.7% versus a year earlier (3y avg +2.2%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Commercial Metals Company (CMC)?
Earnings per share at Commercial Metals Company are growing +41.6% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does Commercial Metals Company (CMC) carry?
The net debt of Commercial Metals Company is $2.6B (fiscal year 2026, ≈ 5.4 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
Free · no account needed
Watch Commercial Metals Company in the live analysis
One click puts Commercial Metals Company on your watchlist: fair value and trend at a glance, plus comparison, the diversification check and the 27,000+ stock screener.
Broad data
Nov 8, 2026