Stephens Downgrades Summit Materials (NYSE:SUM) to Hold

Stephens downgraded shares of Summit Materials (NYSE:SUM) from a strong-buy rating to a hold rating in a research report released on Tuesday,Zacks.com reports.

SUM has been the topic of several other research reports. Royal Bank of Canada reiterated a “sector perform” rating and set a $52.50 price target (down previously from $54.00) on shares of Summit Materials in a research report on Monday, November 25th. StockNews.com began coverage on Summit Materials in a research report on Monday. They issued a “sell” rating for the company. Truist Financial restated a “hold” rating and set a $52.50 price target (down from $60.00) on shares of Summit Materials in a research report on Tuesday, November 26th. Citigroup reiterated a “neutral” rating and issued a $52.50 price objective (down previously from $55.00) on shares of Summit Materials in a report on Tuesday, November 26th. Finally, DA Davidson upped their target price on shares of Summit Materials from $41.00 to $47.00 and gave the stock a “neutral” rating in a research report on Tuesday, November 5th. One equities research analyst has rated the stock with a sell rating, eleven have assigned a hold rating and three have assigned a buy rating to the company. Based on data from MarketBeat, Summit Materials currently has an average rating of “Hold” and an average target price of $50.54.

Summit Materials Price Performance

Shares of NYSE:SUM opened at $52.05 on Tuesday. The company has a debt-to-equity ratio of 0.62, a current ratio of 3.10 and a quick ratio of 2.48. Summit Materials has a one year low of $34.38 and a one year high of $53.49. The company’s fifty day moving average price is $50.23 and its 200-day moving average price is $42.78. The firm has a market capitalization of $9.14 billion, a price-to-earnings ratio of 63.48 and a beta of 1.14.

Summit Materials (NYSE:SUM) last released its quarterly earnings data on Wednesday, October 30th. The construction company reported $0.75 EPS for the quarter, topping the consensus estimate of $0.70 by $0.05. The firm had revenue of $1.11 billion for the quarter, compared to the consensus estimate of $1.17 billion. Summit Materials had a return on equity of 6.90% and a net margin of 3.92%. The company’s quarterly revenue was up 49.9% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.81 earnings per share. On average, equities research analysts anticipate that Summit Materials will post 1.66 earnings per share for the current fiscal year.

Insider Activity

In other news, insider Christopher Burke Gaskill sold 1,536 shares of the stock in a transaction that occurred on Tuesday, December 10th. The shares were sold at an average price of $50.91, for a total value of $78,197.76. Following the transaction, the insider now owns 40,221 shares in the company, valued at $2,047,651.11. This represents a 3.68 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 0.55% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Summit Materials

A number of institutional investors have recently bought and sold shares of SUM. River Road Asset Management LLC grew its holdings in Summit Materials by 15.9% during the third quarter. River Road Asset Management LLC now owns 3,567,938 shares of the construction company’s stock valued at $139,257,000 after purchasing an additional 488,688 shares during the period. Massachusetts Financial Services Co. MA grew its stake in shares of Summit Materials by 6.6% during the 2nd quarter. Massachusetts Financial Services Co. MA now owns 7,210,736 shares of the construction company’s stock valued at $263,985,000 after acquiring an additional 448,922 shares during the period. Millennium Management LLC increased its holdings in Summit Materials by 16.9% in the 2nd quarter. Millennium Management LLC now owns 2,753,816 shares of the construction company’s stock worth $100,817,000 after acquiring an additional 399,072 shares in the last quarter. Charles Schwab Investment Management Inc. increased its holdings in Summit Materials by 21.8% in the 3rd quarter. Charles Schwab Investment Management Inc. now owns 1,752,993 shares of the construction company’s stock worth $68,419,000 after acquiring an additional 313,957 shares in the last quarter. Finally, Troluce Capital Advisors LLC bought a new stake in Summit Materials during the 2nd quarter worth approximately $10,983,000.

About Summit Materials

Summit Materials, Inc is a vertically integrated construction materials company, which engages in manufacturing construction materials and related downstream products. It operates through the following segments: West, East, and Cement. The West segment includes operations in Texas, Utah, Arizona, Colorado, Idaho, Wyoming, Oklahoma, Arkansas and British Columbia, Canada.