Summit Materials, Inc., through its subsidiaries, produces and sells construction materials and related downstream products for the public infrastructure, residential and nonresidential, and other markets.
Good value with proven track record.
Share Price & News
How has Summit Materials's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SUM's share price has been volatile over the past 3 months.
7 Day Return
US Basic Materials
1 Year Return
US Basic Materials
Return vs Industry: SUM underperformed the US Basic Materials industry which returned -17.6% over the past year.
Return vs Market: SUM underperformed the US Market which returned -11.5% over the past year.
Price Volatility Vs. Market
How volatile is Summit Materials's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 days ago | Simply Wall StWhy We’re Not Impressed By Summit Materials, Inc.’s (NYSE:SUM) 5.7% ROCE
2 weeks ago | Simply Wall StWhat Is Summit Materials's (NYSE:SUM) P/E Ratio After Its Share Price Tanked?
1 month ago | Simply Wall StShould You Be Worried About Summit Materials, Inc.'s (NYSE:SUM) 4.2% Return On Equity?
Is Summit Materials undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SUM ($11.59) is trading below our estimate of fair value ($18.57)
Significantly Below Fair Value: SUM is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SUM is poor value based on its PE Ratio (22x) compared to the Basic Materials industry average (13.9x).
PE vs Market: SUM is poor value based on its PE Ratio (22x) compared to the US market (13x).
Price to Earnings Growth Ratio
PEG Ratio: SUM is good value based on its PEG Ratio (0.9x)
Price to Book Ratio
PB vs Industry: SUM is good value based on its PB Ratio (0.9x) compared to the US Basic Materials industry average (1.2x).
How is Summit Materials forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SUM's forecast earnings growth (25.5% per year) is above the savings rate (1.7%).
Earnings vs Market: SUM's earnings (25.5% per year) are forecast to grow faster than the US market (12.3% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: SUM's revenue (0.03% per year) is forecast to grow slower than the US market (7.3% per year).
High Growth Revenue: SUM's revenue (0.03% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SUM's Return on Equity is forecast to be low in 3 years time (7.5%).
How has Summit Materials performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SUM has a large one-off loss of $29.1M impacting its December 28 2019 financial results.
Growing Profit Margin: SUM's current net profit margins (2.7%) are higher than last year (1.6%).
Past Earnings Growth Analysis
Earnings Trend: SUM has become profitable over the past 5 years, growing earnings by 30.4% per year.
Accelerating Growth: SUM's earnings growth over the past year (70.8%) exceeds its 5-year average (30.4% per year).
Earnings vs Industry: SUM earnings growth over the past year (70.8%) exceeded the Basic Materials industry 32.4%.
Return on Equity
High ROE: SUM's Return on Equity (4.2%) is considered low.
How is Summit Materials's financial position?
Financial Position Analysis
Short Term Liabilities: SUM's short term assets ($796.3M) exceed its short term liabilities ($299.3M).
Long Term Liabilities: SUM's short term assets ($796.3M) do not cover its long term liabilities ($2.3B).
Debt to Equity History and Analysis
Debt Level: SUM's debt to equity ratio (128.7%) is considered high.
Reducing Debt: SUM's debt to equity ratio has reduced from 320.3% to 128.7% over the past 5 years.
Debt Coverage: SUM's debt is not well covered by operating cash flow (18.1%).
Interest Coverage: SUM's interest payments on its debt are not well covered by EBIT (1.9x coverage).
Inventory Level: SUM has a high level of physical assets or inventory.
Debt Coverage by Assets: SUM's debt is not covered by short term assets (assets are 0.4x debt).
What is Summit Materials's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate SUM's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate SUM's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if SUM's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if SUM's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of SUM's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Tom Hill (63yo)
Mr. Thomas W. Hill, also known as Tom, B.A., serves as President and Chief Executive Officer of Summit Materials, LLC and Summit Materials, Inc. He is Founder of Summit Materials, LLC. From 2006 to 2008, h ...
CEO Compensation Analysis
Compensation vs Market: Tom's total compensation ($USD4.67M) is about average for companies of similar size in the US market ($USD4.54M).
Compensation vs Earnings: Tom's compensation has been consistent with company performance over the past year.
|Executive VP & CFO||6.42yrs||US$2.10m||0.093% $1.4m|
|Executive VP & Chief Business Development Officer||10.92yrs||US$1.28m||0.019% $292.1k|
|no data||US$1.10m||0.0056% $83.8k|
|Vice President of Investor Relations||0.58yr||no data||no data|
|Executive VP||no data||no data||0.016% $245.9k|
|Executive VP & Cement Division President||7.17yrs||no data||0.016% $234.7k|
Experienced Management: SUM's management team is seasoned and experienced (6.4 years average tenure).
|Independent Director||10.58yrs||US$226.33k||0.020% $302.9k|
|Independent Director||3.58yrs||US$226.33k||0.018% $278.8k|
|Chairman of the Board||7.08yrs||US$376.33k||0.020% $302.9k|
|Independent Director||3.83yrs||US$226.33k||0.018% $279.1k|
|Independent Director||1.58yrs||US$149.22k||0.012% $176.9k|
|Independent Director||1.58yrs||US$149.22k||0.012% $176.9k|
|Independent Director||4.17yrs||US$226.33k||0.020% $302.9k|
|Independent Director||8.08yrs||US$241.33k||0.014% $208.3k|
Experienced Board: SUM's board of directors are considered experienced (4.2 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Summit Materials, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Summit Materials, Inc.
- Ticker: SUM
- Exchange: NYSE
- Industry: Construction Materials
- Sector: Materials
- Implied Market Cap: US$1.509b
- Market Cap: US$1.467b
- Shares outstanding: 116.56m
- Website: https://summit-materials.com
Number of Employees
- Summit Materials, Inc.
- 1550 Wynkoop Street
- 3rd Floor
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|SUM||NYSE (New York Stock Exchange)||Yes||Class A Common Stock||US||USD||Mar 2015|
|7SU||DB (Deutsche Boerse AG)||Yes||Class A Common Stock||DE||EUR||Mar 2015|
|0LAI||LSE (London Stock Exchange)||Yes||Class A Common Stock||GB||USD||Mar 2015|
|7SU||BRSE (Berne Stock Exchange)||Yes||Class A Common Stock||CH||CHF||Mar 2015|
Summit Materials, Inc., through its subsidiaries, produces and sells construction materials and related downstream products for the public infrastructure, residential and nonresidential, and other markets. It operates through three segments: West, East, and Cement. The company’s products include aggregates, cement, ready-mix concrete, asphalt paving mixes, and concrete products, as well as plastics components. It also provides paving and related services primarily comprising asphalt paving services to the private and public infrastructure sectors. In addition, the company operates municipal waste, construction, and demolition debris landfills; and liquid asphalt terminal. It has operations in the United States; and British Columbia, Canada. The company was founded in 2009 and is headquartered in Denver, Colorado.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/03/28 03:38|
|End of Day Share Price||2020/03/27 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.