At a glance
Commercial Metals Company is worth $7.06B, about 11 times its fiscal 2026 earnings. Revenue grew 20.5% to $9.39B in fiscal 2026, with 7.0% kept as profit; over 5 years it has grown 6.9% a year. It pays a 1.5% dividend yield, raised every year for at least 5 years, and returned $1.14B to shareholders in dividends and buybacks over FY2022–FY2026. The stock returned +7.7% over the past year with dividends reinvested and +16.5% a year over five years, against +11.5% and +11.7% for the S&P 500. At its worst it fell 45.3% in the 2020 crash (S&P 500: 33.7%) and 28.7% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 4 months after the low.
The business in plain English
Commercial Metals Company (CMC) makes steel and other materials used early in construction projects such as highways, bridges, airports and commercial buildings. Founded in 1915 as a Dallas scrap yard, it is based in Irving, Texas. Its customers span infrastructure, non-residential, residential, industrial and energy markets. In the fiscal year ended August 31, 2026, revenue was about $9.4 billion, 81% of it from the United States.
The North America Steel Group supplied 74.5% of sales. It gathers scrap at 41 recycling facilities, mostly in the Southeast and Central U.S., and melts it in electric arc furnaces, which use electricity to turn scrap into new steel. Its steel is about 98% recycled material. Its mills, including a fourth micro mill in West Virginia that started up late in fiscal 2026, make rebar (steel reinforcing bar), merchant bar and wire rod. Fabrication operations turn that steel into downstream products. Selling scrap to other metal makers added 17.9% of revenue. Profits hinge on the gap between scrap costs and steel prices.
The Construction Solutions Group (14.3% of sales) includes a precast concrete platform built through two December 2025 purchases: Foley Products, a leader in the Southeast, and Concrete Pipe & Precast, which serves the Mid-Atlantic and South Atlantic. The Europe Steel Group (10.9%) serves Central Europe; Poland was 7.2% of revenue.
Price history
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CMC +7.7% over the year to Oct 28, 2026, total return with dividends reinvested.
How it makes money
By product or service
| Steel products | $3.73B | 39.7% |
| Downstream products | $2.48B | 26.4% |
| Raw materials | $1.69B | 17.9% |
| Precast products | $501.6M | 5.3% |
| Other | $349.8M | 3.7% |
| Construction products | $337.4M | 3.6% |
| Ground stabilization solutions | $305.8M | 3.3% |
By business segment
| North America Steel Group | $7.00B | 74.5% |
| Construction Solutions Group | $1.34B | 14.3% |
| Europe Steel Group | $1.02B | 10.9% |
By geography
| United States | $7.61B | 81.1% |
| Other | $1.10B | 11.7% |
| Poland | $678.9M | 7.2% |
Latest results
- In Q4 FY2026 (ended Aug 31, 2026), revenue was $2.66B, up 25.7% from a year earlier, and net income was $212.5M (+40.0%).
- For fiscal 2026, revenue was $9.39B (+20.5% year over year; +6.9% a year from FY2021 to FY2026) with a 7% net margin.
Financial health check
| Revenue growth a year (FY2021–FY2026) | +6.9% good |
|---|---|
| Free cash flow margin | 5.1% watch |
| Return on equity (FY2026) | 14% watch |
| Return on assets (FY2026) | 6.4% watch |
| Net cash (cash minus debt) | $-2.43B weak |
| Fiscal year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2021 | $6.73B | $412.9M | $44.3M |
| FY2022 | $8.91B | $1.22B | $250.3M |
| FY2023 | $8.80B | $859.8M | $737.4M |
| FY2024 | $7.93B | $485.5M | $575.4M |
| FY2025 | $7.80B | $84.7M | $312.2M |
| FY2026 | $9.39B | $655.8M | $479.1M |
Valuation snapshot
| Market value | $7.06B |
|---|---|
| P/E ratio | 10.9 |
| Dividend yield | 1.5% |
Rank among 1514 US companies
Market value at each year end
Commercial Metals’s market value went from $2.51B at the end of 2016 to $7.06B on Oct 28, 2026, about 2.8 times as much; since the end of 2025 it is down 8%.
Show as a table
| Year end | Market value | Change |
|---|---|---|
| Oct 28, 2026 | $7.06B | -8.1% |
| 2025 | $7.68B | +36.3% |
| 2024 | $5.64B | -3.6% |
| 2023 | $5.85B | +3.2% |
| 2022 | $5.67B | +29.5% |
| 2021 | $4.38B | +78.2% |
| 2020 | $2.46B | -6.5% |
| 2019 | $2.63B | +40.1% |
| 2018 | $1.87B | -24.1% |
| 2017 | $2.47B | -1.7% |
| 2016 | $2.51B |
Price behavior
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | |
|---|---|---|---|---|---|
| CMC price data to Oct 28, 2026 | -6.2% | +7.7% | +16.9% | +16.5% | +17.5% |
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | -6.2% |
| 2025 | +41.5% |
| 2024 | +0.4% |
| 2023 | +5.0% |
| 2022 | +35.1% |
| 2021 | +79.8% |
| 2020 | -5.4% |
| 2019 | +42.8% |
| 2018 | -23.2% |
| 2017 | +0.3% |
| 2016 | +64.0% |
| 2015 | -13.2% |
| 2014 | -17.8% |
| 2013 | +41.1% |
| 2012 | +11.3% |
| 2011 | -14.4% |
| 2010 | +10.3% |
| 2009 | +36.3% |
| 2008 | -58.9% |
| 2007 | +16.1% |
| 2006 | +38.4% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 71% over that stretch · deepest drop along the way 83.8%, back to its old high 147.3 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 36.4% over that stretch · deepest drop along the way 45.3%, back to its old high 4.4 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Gained 10.3% over that stretch · deepest drop along the way 28.7%, back to its old high 4 months after the low |
Insider activity
Form 4 filings from 2025-10-29 to 2026-10-29 (25 read): 1 open-market purchases ($100K) and 0 sales ($0.00).
| Date | Insider | Type | Value |
|---|---|---|---|
| Aug 13, 2026 | John R McPherson Director | buy | $100K |
Who owns it
Large shareholders (13G filings)
| BlackRock, Inc. | 12.2% | Sep 30, 2025 |
| STATE STREET CORPORATION | 6.6% | Mar 31, 2026 |
| FMR LLC | 5.5% | Jun 30, 2026 |
| Vanguard Portfolio Management | 5.25% | Mar 31, 2026 |
| Vanguard Capital Management | 5.21% | Mar 31, 2026 |
ETFs with the most weight in CMC
| XME SPDR S&P Metals & Mining ETF | 4.85% |
| SLX VanEck Steel ETF | 4.63% |
| SMCO Hilton Small-MidCap Opportunity ETF | 1.3% |
| SEIS SEI Select Small Cap ETF | 0.98% |
| RFV Invesco S&P MidCap 400® Pure Value ETF | 0.64% |
| CCSO Carbon Collective Climate Solutions U.S. Equity ETF | 0.63% |
| GSC Goldman Sachs Small Cap Core Equity ETF | 0.6% |
| FFSM Fidelity Fundamental Small-Mid Cap ETF | 0.55% |
What could go wrong
- Scrap prices can swing sharply. Scrap steel is both CMC's main raw material and a product it sells. Sharp price rises can't always be passed on to customers, especially under fixed-price contracts, while slumps can dry up scrap supply.
- New mill and acquisitions may disappoint. Startup problems at the new West Virginia micro mill, or trouble integrating the Foley and CP&P precast businesses, could mean weaker returns, more debt or write-downs of goodwill (the premium paid for acquisitions).
- Mills need huge amounts of power. CMC's mills are often the largest electricity and natural gas users in their area. Outages, or price spikes as data centers drive up power demand, could disrupt production or squeeze profits.
- Too much steel supply could cut prices. Excess output from foreign steelmakers and new steelmaking capacity starting up in the U.S. could push down domestic steel prices, hurting CMC's margins and cash flow. Shifting tariffs and trade rules add uncertainty.
- Heavy reliance on U.S. construction demand. About 81% of revenue comes from the U.S., and construction is the main end market. A building slowdown, or weakness in the Southeast and Central U.S., where many operations cluster, could cut demand.
- Debt and constant spending needs. Mills need continual investment. As of August 31, 2026, CMC had about $3.2 billion of debt against $779 million of cash and investments, and its loan agreements include covenants (rules) that restrict the business.
Recent events
- Quarterly results released; Investor presentation or announcement
- Other company announcement
- Investor presentation or announcement; Other company announcement
- Quarterly results released; Investor presentation or announcement
- Other company announcement
- Executive or board change; Investor presentation or announcement
- Quarterly results released; Investor presentation or announcement
- Other company announcement
- Shareholder vote results
- Quarterly results released; Investor presentation or announcement
For income and retirement investors
CMC pays a modest, growing dividend. It raised its regular dividend in each of the last five fiscal years, from $0.48 a share in fiscal 2021 to $0.76 in the year ended August 31, 2026, about 9.6% a year. That dividend used 12.8% of earnings and 17.6% of free cash flow (cash left after capital spending). The yield was 1.5% as of October 28, 2026. Earnings swing widely: in fiscal 2025 they fell to $0.74 a share, barely covering the $0.72 dividend. CMC spent more on buybacks, about $748 million over fiscal 2022–2026, than the $387 million it paid in dividends, and its share count fell 8.8% over five years.
The share price has fallen hard in downturns. It dropped 83.8% during the 2008 financial crisis and took about 12 years to recover, until March 2021. It fell 45.3% in the 2020 COVID crash but recovered in about four months. A single stock carries more risk than a diversified fund.
Questions investors ask
How does Commercial Metals make money?
Mostly by making and selling steel for construction. In the fiscal year ended August 31, 2026, the North America Steel Group produced 74.5% of CMC's $9.4 billion in revenue. CMC buys scrap metal, melts it in electric arc furnaces and rolls it into rebar, merchant bar and wire rod, some of which it fabricates further. Steel products were 39.7% of revenue, fabricated downstream products 26.4%, and scrap sold to other metal makers 17.9%. Precast concrete added 5.3%.
Does Commercial Metals raise its dividend every year?
It has raised its regular dividend in each of the last five fiscal years. Dividends per share rose from $0.48 in fiscal 2021 to $0.76 in the year ended August 31, 2026, growth of about 9.6% a year. That payout used just 12.8% of earnings and 17.6% of free cash flow. The yield was 1.5% as of October 28, 2026. Coverage is not always so comfortable: in fiscal 2025, earnings of $0.74 a share barely exceeded the $0.72 dividend.
How has Commercial Metals stock performed over the long term?
It has risen strongly, with big swings along the way. CMC's share price gained about 17.5% a year over the 10 years to October 28, 2026, or about 402% in total, and about 16.5% a year over five years. Over one year it rose 7.7%; year to date it was down 6.2%. Calendar-year returns ranged from a 58.9% loss in 2008 to a 79.8% gain in 2021. Its one-year beta of 1.26 means it tended to move about 1.26 times as much as the overall market.
What is Commercial Metals' P/E ratio?
About 10.9, based on the share price as of October 28, 2026 and diluted earnings of $5.86 a share for the fiscal year ended August 31, 2026. The P/E ratio is the share price divided by a year's earnings per share. Market value was about $7.1 billion. A single year's P/E can mislead for a cyclical business (one whose profits rise and fall with the economy) like steel: earnings per share were $9.95 in fiscal 2022 but just $0.74 in fiscal 2025.
Why did Commercial Metals buy Foley Products?
To build a precast concrete business (concrete products cast in a factory, then shipped to job sites). CMC completed the Foley purchase on December 15, 2025, shortly after buying Concrete Pipe & Precast (CP&P) on December 1, 2025. Foley is one of the largest regional U.S. precast suppliers and a leader in the Southeast; CP&P serves the Mid-Atlantic and South Atlantic. CMC said Foley adds scale, margin strength and regional leadership. Precast products were 5.3% of revenue in the year ended August 31, 2026.