Commercial Metals Co (FRA:CMS) ROE %: 15.58% (As of May. 2026) — 29% Above Median


FRA:CMS Commercial Metals Co FRA:CMS
81 GF Score
Price €62.50
GF Value €50.04
Valuation Modestly Overvalued
! 5 Warning Signs
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What is Commercial Metals Co ROE %?

Commercial Metals Co FRA:CMS +0.81% 81 ROE % is 15.58% as of May. 2026, which is 29% above its 10-year median of 12.12. GuruFocus rates FRA:CMS with a GF Score™ of 81/100 and a GF Value™ of €50.04 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 3,009 Industrial Products companies, Commercial Metals Co ranks better than 75.04% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Commercial Metals Co's annualized net income for the quarter that ended in May. 2026 was €592 Mil. Commercial Metals Co's average Total Stockholders Equity over the quarter that ended in May. 2026 was €3,803 Mil. Therefore, Commercial Metals Co's annualized ROE % for the quarter that ended in May. 2026 was 15.58%.

The historical rank and industry rank for Commercial Metals Co's ROE % or its related term are showing as below:

FRA:CMS' s ROE % Range Over the Past 10 Years
Min: 1.99   Med: 12.12   Max: 43.62
Current: 12.02

During the past 13 years, Commercial Metals Co's highest ROE % was 43.62%. The lowest was 1.99%. And the median was 12.12%.

FRA:CMS's ROE % is ranked better than
75.04% of 3009 companies
in the Industrial Products industry
Industry Median: 5.91 vs FRA:CMS: 12.02

Commercial Metals Co  (FRA:CMS) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: May. 2026 )
=Net Income/Total Stockholders Equity
=592.404/3803.455
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(592.404 / 8502.632)*(8502.632 / 8237.394)*(8237.394 / 3803.455)
=Net Margin %*Asset Turnover*Equity Multiplier
=6.97 %*1.0322*2.1658
=ROA %*Equity Multiplier
=7.19 %*2.1658
=15.58 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: May. 2026 )
=Net Income/Total Stockholders Equity
=592.404/3803.455
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (592.404 / 646.584) * (646.584 / 797.184) * (797.184 / 8502.632) * (8502.632 / 8237.394) * (8237.394 / 3803.455)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.9162 * 0.8111 * 9.38 % * 1.0322 * 2.1658
=15.58 %

Note: The net income data used here is four times the quarterly (May. 2026) net income data. The Revenue data used here is four times the quarterly (May. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Commercial Metals Co ROE % Related Terms


Commercial Metals Co ROE % Historical Data

* Premium members only.

The historical data trend for Commercial Metals Co's ROE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Commercial Metals Co ROE % Chart

Commercial Metals Co Annual Data
Trend Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23 Aug24 Aug25
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 19.79 46.26 22.45 11.47 1.94

Commercial Metals Co Quarterly Data
Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26 May26
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 7.88 14.41 16.73 8.44 15.58

FRA:CMS vs ESAB, GPGI, WOR: ROE % Comparison

For the Metal Fabrication subindustry, Commercial Metals Co's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Commercial Metals Co ROE % vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Commercial Metals Co's ROE % distribution charts can be found below:

* The bar in red indicates where Commercial Metals Co's ROE % falls into.


FRA:CMS
81GF Score
Commercial Metals Co FRA:CMS
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Commercial Metals Co ROE % Calculation

Commercial Metals Co's annualized ROE % for the fiscal year that ended in Aug. 2025 is calculated as

ROE %=Net Income (A: Aug. 2025 )/( (Total Stockholders Equity (A: Aug. 2024 )+Total Stockholders Equity (A: Aug. 2025 ))/ count )
=72.725/( (3899.897+3601.844)/ 2 )
=72.725/3750.8705
=1.94 %

Commercial Metals Co's annualized ROE % for the quarter that ended in May. 2026 is calculated as

ROE %=Net Income (Q: May. 2026 )/( (Total Stockholders Equity (Q: Feb. 2026 )+Total Stockholders Equity (Q: May. 2026 ))/ count )
=592.404/( (3727.632+3879.278)/ 2 )
=592.404/3803.455
=15.58 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (May. 2026) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 15.58% mean?
Commercial Metals Co (FRA:CMS) has a ROE % of 15.58% as of May. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Commercial Metals Co and its competitors. This is 29% above median its historical median of 12.12. Over the past decade, Commercial Metals Co's ROE % has ranged from 1.99 to 43.62. According to the industry distribution chart, Commercial Metals Co ranks #751 out of 3009 companies in the Industrial Products industry, placing it in the top 25%.
Is Commercial Metals Co's ROE % too high?
Commercial Metals Co's current ROE % of 15.58% is 29% above median its 10-year median of 12.12. Over the past 10 years, this metric has ranged from a low of 1.99 to a high of 43.62. The Industrial Products industry median ROE % is 5.91. Commercial Metals Co's value of 15.58% is 163.6% above this industry median. Based on the distribution chart, Commercial Metals Co ranks #751 out of 3009 companies in the Industrial Products industry, which is in the top quartile — a strong position relative to peers. Overall, Commercial Metals Co has a GF Score™ of 81/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Commercial Metals Co's ROE % compare to ESAB and GPGI?
According to the Industrial Products industry distribution chart, Commercial Metals Co ranks #751 out of 3009 companies for ROE %. This places Commercial Metals Co in the top 25% of its industry — outperforming the majority of peers. The industry median ROE % is 5.91. Commercial Metals Co's value of 15.58% is 163.6% above this benchmark. Historically, Commercial Metals Co's own ROE % has ranged from 1.99 to 43.62 over the past decade. While the company's 10-year median is 12.12 vs. the industry median of 5.91, Commercial Metals Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for an Industrial Products company?
The median ROE % among Industrial Products companies is 5.91, based on 3,009 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Commercial Metals Co's current ROE % of 15.58% is 163.6% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Commercial Metals Co and its competitors. For the Industrial Products industry, the median ROE % is 5.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Commercial Metals Co's current ROE % is 15.58%, which is 29% above median its own 10-year median of 12.12. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Commercial Metals Co stock overvalued right now?
Based on GuruFocus' analysis, Commercial Metals Co (FRA:CMS) is currently considered Modestly Overvalued. The stock's GF Value™ is €50.04, compared to a current price of €62.50 — trading 24.9% above its estimated fair value. The current ROE % is 15.58%, which is 29% above median its 10-year median of 12.12 and 163.6% above the Industrial Products industry median of 5.91. Commercial Metals Co's overall GF Score™ is 81/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Commercial Metals Co (FRA:CMS), the current ROE % is 15.58% as of May. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Commercial Metals Co (FRA:CMS) Overvalued in 2026?

Based on GuruFocus' analysis, Commercial Metals Co stock appears to be overvalued. The current stock price of €62.50 is trading 24.9% above its estimated GF Value™ of €50.04. GuruFocus considers Commercial Metals Co to be Modestly Overvalued.

Key valuation signals for FRA:CMS:

  • ROE %: 15.58% (29% above median its 10-year median of 12.12)
  • GF Value™: €50.04 vs. price of €62.50 (24.9% above fair value)
  • GF Score™: 81/100 with 5 warning signs
  • Industry Position: 163.6% above the Industrial Products median (#751 of 3009)

No single metric tells the full story. See the FRA:CMS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Commercial Metals Co Business Description

Other Exchanges CMC:USACMS:Germany
Address 6565 North MacArthur Boulevard, Suite 800, Irving, TX, USA, 75039
Commercial Metals Co is a manufacturer and supplier of early-stage construction materials, including steel reinforcing bars, concrete pipes, precast products, and soil stabilization solutions. It also produces merchant bar, steel fence posts, and wire rod, serving domestic and some international markets in Europe and Asia. Its products are used in infrastructure and building projects such as highways, bridges, airports, and commercial and residential buildings.
81GF Score

Get the complete analysis for FRA:CMS

ROE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€62.50
Price
€50.04
GF Value