Unveiling 4 Analyst Insights On Summit Materials
Providing a diverse range of perspectives from bullish to bearish, 4 analysts have published ratings on Summit Materials (NYSE:SUM) in the last three months.
The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 2 | 1 | 1 | 0 | 0 |
| Last 30D | 1 | 0 | 0 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 0 | 0 | 0 | 0 | 0 |
| 3M Ago | 1 | 1 | 1 | 0 | 0 |
In the assessment of 12-month price targets, analysts unveil insights for Summit Materials, presenting an average target of $48.5, a high estimate of $51.00, and a low estimate of $46.00. This upward trend is apparent, with the current average reflecting a 1.04% increase from the previous average price target of $48.00.
Breaking Down Analyst Ratings: A Detailed Examination
The perception of Summit Materials by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Stanley Elliott | Stifel | Lowers | Buy | $47.00 | $55.00 |
| Trey Grooms | Stephens & Co. | Raises | Overweight | $50.00 | $47.00 |
| Mike Dahl | RBC Capital | Raises | Sector Perform | $46.00 | $44.00 |
| Anthony Pettinari | Citigroup | Raises | Buy | $51.00 | $46.00 |
Key Insights:
- Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Summit Materials. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Summit Materials compared to the broader market.
- Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Summit Materials's stock. This comparison reveals trends in analysts' expectations over time.
Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Summit Materials's market standing. Stay informed and make data-driven decisions with our Ratings Table.
Stay up to date on Summit Materials analyst ratings.
Discovering Summit Materials: A Closer Look
Summit Materials Inc is engaged in the production and sale of aggregates, cement, ready-mix concrete, asphalt paving mix and concrete products and owns and operates quarries, sand and gravel pits, two cement plants, cement distribution terminals, ready-mix concrete plants, asphalt plants and landfill sites. It is also engaged in paving and related services. The Company's three operating and reporting segments are the West, East and Cement segments. It operates in 21 U.S. states and in British Columbia, Canada and has assets in 21 U.S. states and in British Columbia, Canada through its platform.
Financial Milestones: Summit Materials's Journey
Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.
Revenue Growth: Summit Materials's revenue growth over a period of 3 months has been noteworthy. As of 31 March, 2024, the company achieved a revenue growth rate of approximately 84.9%. This indicates a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Materials sector.
Net Margin: Summit Materials's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of -8.31%, the company may face hurdles in effective cost management.
Return on Equity (ROE): Summit Materials's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of -2.05%, the company may face hurdles in achieving optimal financial returns.
Return on Assets (ROA): Summit Materials's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of -1.01%, the company may face hurdles in achieving optimal financial returns.
Debt Management: Summit Materials's debt-to-equity ratio surpasses industry norms, standing at 0.68. This suggests the company carries a substantial amount of debt, posing potential financial challenges.
How Are Analyst Ratings Determined?
Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.
In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.
This article was generated by Benzinga's automated content engine and reviewed by an editor.