Summit Materials (NYSE:SUM) Stock Price Expected to Rise, DA Davidson Analyst Says

Summit Materials (NYSE:SUM) had its price objective hoisted by equities researchers at DA Davidson from $41.00 to $47.00 in a report issued on Tuesday, Benzinga reports. The firm presently has a “neutral” rating on the construction company’s stock. DA Davidson’s target price would indicate a potential downside of 7.82% from the company’s previous close.

Several other analysts also recently commented on the stock. JPMorgan Chase & Co. dropped their target price on shares of Summit Materials from $47.00 to $43.00 and set an “overweight” rating on the stock in a report on Wednesday, October 9th. Royal Bank of Canada raised their price objective on shares of Summit Materials from $53.00 to $54.00 and gave the stock an “outperform” rating in a report on Friday, November 1st. Stephens restated an “overweight” rating and issued a $47.00 price target on shares of Summit Materials in a report on Tuesday, August 6th. Morgan Stanley initiated coverage on Summit Materials in a research report on Monday, August 26th. They set an “overweight” rating and a $51.00 price objective for the company. Finally, Barclays raised Summit Materials from an “equal weight” rating to an “overweight” rating and lifted their target price for the company from $45.00 to $52.00 in a research report on Tuesday, October 29th. Three analysts have rated the stock with a hold rating and eleven have assigned a buy rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average price target of $50.38.

Summit Materials Trading Up 7.5 %

Shares of NYSE SUM opened at $50.99 on Tuesday. The company has a quick ratio of 2.48, a current ratio of 3.10 and a debt-to-equity ratio of 0.62. Summit Materials has a twelve month low of $33.04 and a twelve month high of $51.74. The company’s fifty day moving average is $40.19 and its 200-day moving average is $39.14. The stock has a market cap of $8.95 billion, a price-to-earnings ratio of 62.18 and a beta of 1.14.

Summit Materials (NYSE:SUM) last posted its earnings results on Wednesday, October 30th. The construction company reported $0.75 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.70 by $0.05. Summit Materials had a return on equity of 6.90% and a net margin of 3.92%. The firm had revenue of $1.11 billion during the quarter, compared to analysts’ expectations of $1.17 billion. During the same period in the previous year, the firm earned $0.81 earnings per share. The company’s revenue was up 49.9% on a year-over-year basis. Equities research analysts predict that Summit Materials will post 1.6 EPS for the current year.

Hedge Funds Weigh In On Summit Materials

A number of institutional investors have recently added to or reduced their stakes in the company. Hood River Capital Management LLC bought a new position in shares of Summit Materials in the 1st quarter valued at about $33,206,000. River Road Asset Management LLC lifted its stake in Summit Materials by 15.9% in the 3rd 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 last quarter. Massachusetts Financial Services Co. MA grew its holdings in Summit Materials by 6.6% during the second quarter. Massachusetts Financial Services Co. MA now owns 7,210,736 shares of the construction company’s stock worth $263,985,000 after purchasing an additional 448,922 shares during the period. Interval Partners LP acquired a new position in Summit Materials during the first quarter worth approximately $18,051,000. Finally, Millennium Management LLC raised its stake in Summit Materials by 16.9% in the second quarter. Millennium Management LLC now owns 2,753,816 shares of the construction company’s stock valued at $100,817,000 after buying an additional 399,072 shares during the period.

About Summit Materials

Summit Materials, Inc operates as a vertically integrated construction materials company in the United States and Canada. It operates in three segments: West, East, and Cement. The company offers aggregates, cement, ready-mix concrete, asphalt paving mixes, and concrete products, as well as plastics components.