02:25 PM EDT, 06/21/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We maintain our 12-month target price at $63, derived from our three-stage DCF model, assuming a weighted-average cost of capital of 8.8%, a 5% growth rate for stage 2 and a 2.5% growth rate for stage 3. Our valuation also implies an EV/EBITDA of 6.9x our FY25 (Aug.) EBITDA estimate, above CMC's three-year avg. forward EV/EBITDA of 5.4x, but a discount to the peer group avg. of 8.0x. We trim our FY24 EPS estimate by $0.36 to $4.72 and raise our FY25 EPS forecast by $0.16 to $4.81. CMC posted FQ3 adj. EPS of $1.02 vs. $2.02, in line with consensus and a top-line beat of 1.9%. In North America, despite a slowdown in residential construction, we remain bullish on secular growth in infrastructure investment. CMC continues to see a good pipeline of future construction projects, as measured by bidding activity in CMC's downstream operations. In Europe, we are anticipating greater stability in steel pricing and metal margins. We think the European division should continue to move closer to break-even EBITDA in FQ4.