| Snowflake Score | |
|---|---|
| Valuation | 4/6 |
| Future Growth | 3/6 |
| Past Performance | 2/6 |
| Financial Health | 3/6 |
| Dividends | 0/6 |
SUM Stock Overview
Summit Materials, Inc., through its subsidiaries, produces and sells construction materials and related downstream products for the public infrastructure, and residential and nonresidential end markets.
Summit Materials Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$24.23 |
| 52 Week High | US$41.46 |
| 52 Week Low | US$22.83 |
| Beta | 1.3 |
| 1 Month Change | -11.44% |
| 3 Month Change | -23.57% |
| 1 Year Change | -31.92% |
| 3 Year Change | 25.87% |
| 5 Year Change | -14.90% |
| Change since IPO | 20.35% |
Recent News & Updates
Summit Materials: Investor Day Outlines The Next Leg Of Growth
Summit Materials has presented some ambitious but achievable medium-term financial targets. While inflation is a headwind, the resilient demand environment and Summit's ability to take pricing should help. With a stronger balance sheet also allowing for more aggressive capital allocation, I see the relative valuation gap narrowing.
Returns On Capital At Summit Materials (NYSE:SUM) Have Stalled
If you're not sure where to start when looking for the next multi-bagger, there are a few key trends you should keep an...
Should You Investigate Summit Materials, Inc. (NYSE:SUM) At US$26.67?
Summit Materials, Inc. ( NYSE:SUM ), might not be a large cap stock, but it received a lot of attention from a...
Shareholder Returns
| SUM | US Basic Materials | US Market | |
|---|---|---|---|
| 7D | 1.3% | 1.1% | 6.6% |
| 1Y | -31.9% | -18.1% | -18.4% |
Return vs Industry: SUM underperformed the US Basic Materials industry which returned -18.1% over the past year.
Return vs Market: SUM underperformed the US Market which returned -18.4% over the past year.
Price Volatility
| SUM volatility | |
|---|---|
| SUM Average Weekly Movement | 6.5% |
| Basic Materials Industry Average Movement | 6.2% |
| Market Average Movement | 8.1% |
| 10% most volatile stocks in US Market | 16.6% |
| 10% least volatile stocks in US Market | 3.2% |
Stable Share Price: SUM is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: SUM's weekly volatility (6%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 2009 | 5,500 | Anne Noonan | https://summit-materials.com |
Summit Materials, Inc., through its subsidiaries, produces and sells construction materials and related downstream products for the public infrastructure, and residential and nonresidential end 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.
Summit Materials Fundamentals Summary
| SUM fundamental statistics | |
|---|---|
| Market Cap | US$2.89b |
| Earnings (TTM) | US$140.41m |
| Revenue (TTM) | US$2.40b |
20.4x
P/E Ratio1.2x
P/S RatioIs SUM overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| SUM income statement (TTM) | |
|---|---|
| Revenue | US$2.40b |
| Cost of Revenue | US$1.74b |
| Gross Profit | US$659.68m |
| Other Expenses | US$519.27m |
| Earnings | US$140.41m |
Last Reported Earnings
Apr 02, 2022
Next Earnings Date
n/a
| Earnings per share (EPS) | 1.19 |
| Gross Margin | 27.45% |
| Net Profit Margin | 5.84% |
| Debt/Equity Ratio | 91.4% |
How did SUM perform over the long term?
See historical performance and comparisonValuation
Is SUM undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
4/6Valuation Score 4/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio
Key Valuation Metric
Which metric is best to use when looking at relative valuation for SUM?
Other financial metrics that can be useful for relative valuation.
| What is SUM's n/a Ratio? | |
|---|---|
| n/a Ratio | 0x |
| n/a | n/a |
| Market Cap | US$2.89b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 1.8x |
| Enterprise Value/EBITDA | 9x |
| PEG Ratio | 0.9x |
Price to Earnings Ratio vs Peers
How does SUM's PE Ratio compare to its peers?
| SUM PE Ratio vs Peers |
|---|
| Company | PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 18x |
Price-To-Earnings vs Peers: SUM is expensive based on its Price-To-Earnings Ratio (20.4x) compared to the peer average (18x).
Price to Earnings Ratio vs Industry
How does SUM's PE Ratio compare vs other companies in the Global Basic Materials Industry?
Price-To-Earnings vs Industry: SUM is expensive based on its Price-To-Earnings Ratio (20.4x) compared to the US Basic Materials industry average (16.1x)
Price to Earnings Ratio vs Fair Ratio
What is SUM's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 20.4x |
| Fair PE Ratio | 21.8x |
Price-To-Earnings vs Fair Ratio: SUM is good value based on its Price-To-Earnings Ratio (20.4x) compared to the estimated Fair Price-To-Earnings Ratio (21.8x).
Share Price vs Fair Value
What is the Fair Price of SUM when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: SUM ($24.23) is trading below our estimate of fair value ($90.98)
Significantly Below Fair Value: SUM is trading below fair value by more than 20%.
Price to Earnings Growth Ratio
PEG Ratio: SUM is good value based on its PEG Ratio (0.9x)
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Future Growth
How is Summit Materials forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?
Future Growth Score
3/6Future Growth Score 3/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
22.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SUM's forecast earnings growth (22.4% per year) is above the savings rate (1.9%).
Earnings vs Market: SUM's earnings (22.4% per year) are forecast to grow faster than the US market (13.9% per year).
High Growth Earnings: SUM's earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: SUM's revenue (7.7% per year) is forecast to grow slower than the US market (8.4% per year).
High Growth Revenue: SUM's revenue (7.7% 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 (10.7%).
Discover growth companies
Past Performance
How has Summit Materials performed over the past 5 years?
Past Performance Score
2/6Past Performance Score 2/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
23.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SUM has high quality earnings.
Growing Profit Margin: SUM's current net profit margins (5.8%) are lower than last year (6.7%).
Past Earnings Growth Analysis
Earnings Trend: SUM's earnings have grown significantly by 23.1% per year over the past 5 years.
Accelerating Growth: SUM's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: SUM had negative earnings growth (-12.3%) over the past year, making it difficult to compare to the Basic Materials industry average (-12.2%).
Return on Equity
High ROE: SUM's Return on Equity (8.2%) is considered low.
Discover strong past performing companies
Financial Health
How is Summit Materials's financial position?
Financial Health Score
3/6Financial Health Score 3/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: SUM's short term assets ($777.8M) exceed its short term liabilities ($305.1M).
Long Term Liabilities: SUM's short term assets ($777.8M) do not cover its long term liabilities ($2.1B).
Debt to Equity History and Analysis
Debt Level: SUM's net debt to equity ratio (75%) is considered high.
Reducing Debt: SUM's debt to equity ratio has reduced from 143.1% to 91.4% over the past 5 years.
Debt Coverage: SUM's debt is well covered by operating cash flow (23%).
Interest Coverage: SUM's interest payments on its debt are not well covered by EBIT (2.7x coverage).
Balance Sheet
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Dividend
What is Summit Materials's current dividend yield, its reliability and sustainability?
Dividend Score
0/6Dividend Score 0/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage
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 recent payouts.
High Dividend: Unable to evaluate SUM's dividend yield against the top 25% of dividend payers, as the company has not reported any recent 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.
Earnings Payout to Shareholders
Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: Unable to calculate sustainability of dividends as SUM has not reported any payouts.
Discover strong dividend paying companies
Management
How experienced are the management team and are they aligned to shareholders interests?
1.3yrs
Average management tenure
CEO
Anne Noonan (58 yo)
1.75yrs
Tenure
US$6,296,104
Compensation
Ms. Anne P. Noonan has been the Chief Executive Officer, President and Director of Summit Materials, Inc. since September 01, 2020. She was the Chief Executive Officer, President and Director of OMNOVA Sol...
CEO Compensation Analysis
Compensation vs Market: Anne's total compensation ($USD6.30M) is about average for companies of similar size in the US market ($USD6.88M).
Compensation vs Earnings: Insufficient data to compare Anne's compensation with company performance.
Leadership Team
Experienced Management: SUM's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.
Board Members
Experienced Board: SUM's board of directors are considered experienced (5.8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: SUM insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Summit Materials, Inc.'s employee growth, exchange listings and data sources
Key Information
- Name: Summit Materials, Inc.
- Ticker: SUM
- Exchange: NYSE
- Founded: 2009
- Industry: Construction Materials
- Sector: Materials
- Implied Market Cap: US$2.893b
- Market Cap: US$2.862b
- Shares outstanding: 119.41m
- Website: https://summit-materials.com
Number of Employees
Location
- Summit Materials, Inc.
- 1550 Wynkoop Street
- 3rd Floor
- Denver
- Colorado
- 80202
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/06/26 00:00 |
| End of Day Share Price | 2022/06/24 00:00 |
| Earnings | 2022/04/02 |
| Annual Earnings | 2022/01/01 |
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.