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What Analyst Projections for Key Metrics Reveal About Commercial Metals (CMC) Q2 Earnings

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Wall Street analysts expect Commercial Metals (CMC - Free Report) to post quarterly earnings of $0.30 per share in its upcoming report, which indicates a year-over-year decline of 65.9%. Revenues are expected to be $1.77 billion, down 4.1% from the year-ago quarter.

Over the past 30 days, the consensus EPS estimate for the quarter has been adjusted downward by 16.5% to its current level. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.

Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.

While it's common for investors to rely on consensus earnings and revenue estimates for assessing how the business may have performed during the quarter, exploring analysts' forecasts for key metrics can yield valuable insights.

Given this perspective, it's time to examine the average forecasts of specific Commercial Metals metrics that are routinely monitored and predicted by Wall Street analysts.

The collective assessment of analysts points to an estimated 'Net Sales- Emerging Businesses Group- Net sales from external customers' of $160.72 million. The estimate suggests a change of +3% year over year.

The average prediction of analysts places 'Net sales from external customers- North America' at $1.41 billion. The estimate points to a change of -5.4% from the year-ago quarter.

The consensus estimate for 'Net sales from external customers- Europe' stands at $188.39 million. The estimate indicates a year-over-year change of -2.1%.

Analysts expect 'Major product- North America- Raw materials' to come in at $315.97 million. The estimate indicates a year-over-year change of -2.8%.

The combined assessment of analysts suggests that 'Net sales from external customers- Corporate and Other' will likely reach $17.22 million. The estimate suggests a change of +26.7% year over year.

Based on the collective assessment of analysts, 'North America - Average selling price (per ton) - Raw materials' should arrive at $902.77. Compared to the current estimate, the company reported $880 in the same quarter of the previous year.

Analysts forecast 'Europe - Steel products metal margin per ton' to reach $269.48. The estimate is in contrast to the year-ago figure of $279.

Analysts predict that the 'North America - Average selling price (per ton) - Downstream products' will reach $1,302.90. Compared to the current estimate, the company reported $1,358 in the same quarter of the previous year.

According to the collective judgment of analysts, 'North America - Average selling price (per ton) - Cost of ferrous scrap utilized per ton' should come in at $350.39. The estimate compares to the year-ago value of $379.

Analysts' assessment points toward 'North America - Average selling price (per ton) - Steel products metal margin per ton' reaching $481.74. Compared to the current estimate, the company reported $526 in the same quarter of the previous year.

It is projected by analysts that the 'Europe - Steel products (External tons shipped)' will reach 274.93 thousand. Compared to the present estimate, the company reported 275 thousand in the same quarter last year.

The consensus among analysts is that 'Europe - Steel products - Rebar' will reach 76.26 thousand. Compared to the current estimate, the company reported 64 thousand in the same quarter of the previous year.

View all Key Company Metrics for Commercial Metals here>>>

Shares of Commercial Metals have demonstrated returns of -11.7% over the past month compared to the Zacks S&P 500 composite's -7.7% change. With a Zacks Rank #4 (Sell), CMC is expected to lag the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>


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