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Commercial Metals (CMC) Buys EDSCO to Strengthen Portfolio
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Commercial Metals Company (CMC - Free Report) announced that it has acquired EDSCO Fasteners LLC from MiddleGround Capital. This acquisition strengthens Commercial Metals' position in construction reinforcement by extending capabilities to new and growing applications.
Founded in 1985, EDSCO is a leading provider of anchoring solutions for the electrical transmission market. The company has a great reputation for customer service and reliability. It serves the North American market from four manufacturing facilities located in Texas, Utah, Tennessee and North Carolina.
EDSCO's custom line of anchor cages, bolts and fasteners are manufactured principally from rebar. Its main use is to secure high voltage electrical transmission poles to concrete foundations.
The reinforcing solutions developed by EDSCO are well-positioned to benefit from the long-term transition to renewable energy, which requires significant investment in electrical transmission capacity and wind power installations.
CMC has been gaining from its investment in capacity and acquisitions in recent years.
Commercial Metals’ total liquidity reached $1.4 billion as of May 31, 2023. The company ended the third quarter of fiscal 2023 with cash and cash equivalents of $475 million. Its strong liquidity, financial position and focus on reducing debt by strategic capital allocation approach will enable growth. This further underscores the company's ability to meet debt obligations and focus on further investment opportunities.
Price Performance
Commercial Metals’ shares have gained 66.6% in the past year, compared with the industry’s 58.7% growth.
Image Source: Zacks Investment Research
Zacks Rank & Stocks to Consider
Commercial Metals currently carries a Zacks Rank #3 (Hold).
Carpenter Technology has an average trailing four-quarter earnings surprise of 30.9%. The Zacks Consensus Estimate for CRS’s fiscal 2023 earnings is pegged at $1.04 per share. The consensus estimate for 2023 earnings has been unchanged in the past 60 days. Its shares have increased 111.9% in the last year.
Orla Mining has an average trailing four-quarter earnings surprise of 85.4%. The Zacks Consensus Estimate for ORLA’s 2023 earnings is pegged at 15 cents per share. The consensus estimate for 2023 earnings has moved 87.5% north over the past 60 days. ORLA’s shares have gained 48% in the last year.
The Zacks Consensus Estimate for Osisko Gold Royalties’ fiscal 2023 earnings per share is pegged at 47 cents. Earnings estimates have moved 6.8% north in the past 60 days. OR’s shares have gained 50.9% in the past year.
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Commercial Metals (CMC) Buys EDSCO to Strengthen Portfolio
Commercial Metals Company (CMC - Free Report) announced that it has acquired EDSCO Fasteners LLC from MiddleGround Capital. This acquisition strengthens Commercial Metals' position in construction reinforcement by extending capabilities to new and growing applications.
Founded in 1985, EDSCO is a leading provider of anchoring solutions for the electrical transmission market. The company has a great reputation for customer service and reliability. It serves the North American market from four manufacturing facilities located in Texas, Utah, Tennessee and North Carolina.
EDSCO's custom line of anchor cages, bolts and fasteners are manufactured principally from rebar. Its main use is to secure high voltage electrical transmission poles to concrete foundations.
The reinforcing solutions developed by EDSCO are well-positioned to benefit from the long-term transition to renewable energy, which requires significant investment in electrical transmission capacity and wind power installations.
CMC has been gaining from its investment in capacity and acquisitions in recent years.
Commercial Metals’ total liquidity reached $1.4 billion as of May 31, 2023. The company ended the third quarter of fiscal 2023 with cash and cash equivalents of $475 million. Its strong liquidity, financial position and focus on reducing debt by strategic capital allocation approach will enable growth. This further underscores the company's ability to meet debt obligations and focus on further investment opportunities.
Price Performance
Commercial Metals’ shares have gained 66.6% in the past year, compared with the industry’s 58.7% growth.
Image Source: Zacks Investment Research
Zacks Rank & Stocks to Consider
Commercial Metals currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks from the basic materials space are Carpenter Technology Corporation (CRS - Free Report) , Orla Mining Ltd. (ORLA - Free Report) and Osisko Gold Royalties Ltd (OR - Free Report) . CRS and ORLA sport a Zacks Rank #1 (Strong Buy) at present, and OR has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Carpenter Technology has an average trailing four-quarter earnings surprise of 30.9%. The Zacks Consensus Estimate for CRS’s fiscal 2023 earnings is pegged at $1.04 per share. The consensus estimate for 2023 earnings has been unchanged in the past 60 days. Its shares have increased 111.9% in the last year.
Orla Mining has an average trailing four-quarter earnings surprise of 85.4%. The Zacks Consensus Estimate for ORLA’s 2023 earnings is pegged at 15 cents per share. The consensus estimate for 2023 earnings has moved 87.5% north over the past 60 days. ORLA’s shares have gained 48% in the last year.
The Zacks Consensus Estimate for Osisko Gold Royalties’ fiscal 2023 earnings per share is pegged at 47 cents. Earnings estimates have moved 6.8% north in the past 60 days. OR’s shares have gained 50.9% in the past year.