Goldman Sachs Lifts Commercial Metals Company (CMC) Price Target Buoyed By Position in Steel Market

Group 1 - Commercial Metals Company (CMC) has had its price target raised by Goldman Sachs from $76 to $84, maintaining a Buy rating, reflecting positive revisions in EBITDA estimates for 2026, 2027, and 2028 by 6%, 13%, and 10% respectively [1][2] - The new EBITDA estimates are influenced by mark-to-market pricing and the acquisition of Foley Products, which enhances CMC's presence in the precast concrete and pipe products market [2][3] - CMC holds a market-leading position in steel rebar, ranking first in both the United States and Poland, and is expanding into non-steel construction products and services [2][3] Group 2 - The acquisition of Concrete Pipe & Precast for $675 million allows CMC to expand its footprint into the Mid Atlantic and South Atlantic regions, positioning the company for further acquisitions in concrete pipe and precast concrete [3] - CMC has increased its revolving credit facility to $1 billion, which enhances its financial flexibility for future growth and acquisitions [3] - The company is recognized as a global leader in sustainable steelmaking, specializing in recycling scrap metal to produce long steel products and providing various construction solutions [4]