Summit Materials Stock Buy Hold or Sell Recommendation
| SUM Stock | USD 51.66 0.50 0.98% |
Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding Summit Materials is 'Strong Hold'. The recommendation algorithm takes into account all of Summit Materials' available fundamental, technical, and predictive indicators you will find on this site.
Check out Summit Materials Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. To learn how to invest in Summit Stock, please use our How to Invest in Summit Materials guide. Note, we conduct extensive research on individual companies such as Summit and provide practical buy, sell, or hold advice based on investors' constraints. Summit Materials. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in employment.
Summit |
Execute Summit Materials Buy or Sell Advice
The Summit recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Summit Materials. Macroaxis does not own or have any residual interests in Summit Materials or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Summit Materials' advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Hold
Market Performance | Good | Details | |
Volatility | Very steady | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Actively responds to the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Summit Materials Trading Alerts and Improvement Suggestions
| About 71.0% of the company shares are owned by institutional investors | |
| Latest headline from gurufocus.com: Summit Materials Responds to Media Reports |
Summit Materials Returns Distribution Density
The distribution of Summit Materials' historical returns is an attempt to chart the uncertainty of Summit Materials' future price movements. The chart of the probability distribution of Summit Materials daily returns describes the distribution of returns around its average expected value. We use Summit Materials price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Summit Materials returns is essential to provide solid investment advice for Summit Materials.
| Mean Return | 0.44 | Value At Risk | -2.73 | Potential Upside | 4.18 | Standard Deviation | 2.34 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Summit Materials historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Summit Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument, such as Summit Materials, soars without any apparent reason. This usually happens because many institutional investors are aggressively trading Summit Materials back and forth among themselves. Companies that invest excess capital in these types of assets may also be included in this term and can influence corporate governance by exercising voting rights in their investments.
| Shares | Frontier Capital Management Co Inc | 2024-09-30 | 2.8 M | Geode Capital Management, Llc | 2024-09-30 | 2.8 M | State Street Corp | 2024-06-30 | 2.8 M | Hhg Plc | 2024-06-30 | 2.8 M | Millennium Management Llc | 2024-06-30 | 2.8 M | Nuveen Asset Management, Llc | 2024-06-30 | 1.9 M | Charles Schwab Investment Management Inc | 2024-09-30 | 1.8 M | Alliancebernstein L.p. | 2024-06-30 | 1.7 M | Ameriprise Financial Inc | 2024-06-30 | 1.6 M | Vanguard Group Inc | 2024-09-30 | 12.3 M | Blackrock Inc | 2024-06-30 | 10.3 M |
Summit Materials Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change To Inventory | 8.6M | 3.3M | 3.8M | (63.2M) | (26.4M) | (25.0M) | |
| Change In Cash | 182.8M | 106.9M | (37.2M) | 139.5M | 653.7M | 686.4M | |
| Free Cash Flow | 159.7M | 231.6M | 149.9M | 17.4M | 183.2M | 192.4M | |
| Depreciation | 222.9M | 227.8M | 235.3M | 212.5M | 217.6M | 178.7M | |
| Other Non Cash Items | (9.6M) | (2.9M) | (25.7M) | (182.8M) | (10.7M) | (11.3M) | |
| Capital Expenditures | 177.5M | 177.2M | 212.0M | 266.7M | 255.6M | 166.9M | |
| Net Income | 61.1M | 141.2M | 154.3M | 275.9M | 285.9M | 300.1M | |
| End Period Cash Flow | 311.3M | 418.2M | 381.0M | 520.5M | 1.2B | 1.2B | |
| Net Borrowings | 23.5M | 16.4M | (329.0M) | (124.1M) | (111.7M) | (106.1M) | |
| Change To Netincome | 24.0M | 3.5M | 16.6M | (95.8M) | (86.2M) | (81.9M) | |
| Change Receivables | (37.0M) | 5.5M | (31.3M) | 10.7M | 9.7M | 10.2M | |
| Investments | (162.8M) | (285.6M) | (91.2M) | 95.8M | (508.6M) | (534.1M) |
Summit Materials Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Summit Materials or Construction Materials sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Summit Materials' price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Summit stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | 0.23 | |
β | Beta against Dow Jones | 1.66 | |
σ | Overall volatility | 2.34 | |
Ir | Information ratio | 0.13 |
Summit Materials Volatility Alert
Summit Materials currently demonstrates below-average downside deviation. It has Information Ratio of 0.13 and Jensen Alpha of 0.23. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Summit Materials' stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Summit Materials' stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Summit Materials Fundamentals Vs Peers
Comparing Summit Materials' fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Summit Materials' direct or indirect competition across all of the common fundamentals between Summit Materials and the related equities. This way, we can detect undervalued stocks with similar characteristics as Summit Materials or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Summit Materials' fundamental indicators could also be used in its relative valuation, which is a method of valuing Summit Materials by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Summit Materials to competition |
| Fundamentals | Summit Materials | Peer Average |
| Return On Equity | 0.0436 | -0.31 |
| Return On Asset | 0.0464 | -0.14 |
| Profit Margin | 0.04 % | (1.27) % |
| Operating Margin | 0.17 % | (5.51) % |
| Current Valuation | 11.22 B | 16.62 B |
| Shares Outstanding | 175.6 M | 571.82 M |
| Shares Owned By Insiders | 31.91 % | 10.09 % |
| Shares Owned By Institutions | 71.06 % | 39.21 % |
| Number Of Shares Shorted | 3.72 M | 4.71 M |
| Price To Earning | 25.03 X | 28.72 X |
| Price To Book | 2.04 X | 9.51 X |
| Price To Sales | 2.42 X | 11.42 X |
| Revenue | 2.62 B | 9.43 B |
| Gross Profit | 649.35 M | 27.38 B |
| EBITDA | 546.7 M | 3.9 B |
| Net Income | 285.86 M | 570.98 M |
| Cash And Equivalents | 520.45 M | 2.7 B |
| Cash Per Share | 3.93 X | 5.01 X |
| Total Debt | 2.33 B | 5.32 B |
| Debt To Equity | 0.81 % | 48.70 % |
| Current Ratio | 3.17 X | 2.16 X |
| Book Value Per Share | 25.32 X | 1.93 K |
| Cash Flow From Operations | 438.86 M | 971.22 M |
| Short Ratio | 2.22 X | 4.00 X |
| Earnings Per Share | 0.85 X | 3.12 X |
| Price To Earnings To Growth | 1.44 X | 4.89 X |
| Target Price | 52.55 | |
| Number Of Employees | 5.3 K | 18.84 K |
| Beta | 1.14 | -0.15 |
| Market Capitalization | 9.07 B | 19.03 B |
| Total Asset | 5.15 B | 29.47 B |
| Retained Earnings | 876.75 M | 9.33 B |
| Working Capital | 1.41 B | 1.48 B |
Note: Disposition of 3738 shares by Anderson Craig Scott of Summit Materials subject to Rule 16b-3 [view details]
Summit Materials Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Summit . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About Summit Materials Buy or Sell Advice
When is the right time to buy or sell Summit Materials? Buying financial instruments such as Summit Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
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Check out Summit Materials Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. To learn how to invest in Summit Stock, please use our How to Invest in Summit Materials guide.You can also try the Portfolio Analyzer module to portfolio analysis module that provides access to portfolio diagnostics and optimization engine.
Is Construction Materials space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Summit Materials. If investors know Summit will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Summit Materials listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.69) | Earnings Share 0.85 | Revenue Per Share 23.53 | Quarterly Revenue Growth 0.474 | Return On Assets 0.0464 |
The market value of Summit Materials is measured differently than its book value, which is the value of Summit that is recorded on the company's balance sheet. Investors also form their own opinion of Summit Materials' value that differs from its market value or its book value, called intrinsic value, which is Summit Materials' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Summit Materials' market value can be influenced by many factors that don't directly affect Summit Materials' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Summit Materials' value and its price as these two are different measures arrived at by different means. Investors typically determine if Summit Materials is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Summit Materials' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.