Summit Materials (NYSE:SUM) Reaches New 12-Month High – Should You Buy?

Summit Materials, Inc. (NYSE:SUM)’s share price hit a new 52-week high during trading on Monday . The stock traded as high as $54.07 and last traded at $52.53, with a volume of 4689636 shares. The stock had previously closed at $52.45.

Analyst Upgrades and Downgrades

A number of brokerages have weighed in on SUM. Royal Bank of Canada reaffirmed a “sector perform” rating and issued a $52.50 price target (down previously from $54.00) on shares of Summit Materials in a research note on Monday, November 25th. Stephens cut shares of Summit Materials from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, January 7th. Wolfe Research reiterated a “peer perform” rating on shares of Summit Materials in a report on Tuesday, November 26th. JPMorgan Chase & Co. restated a “neutral” rating and issued a $52.50 price target (up from $43.00) on shares of Summit Materials in a report on Monday, November 25th. Finally, Jefferies Financial Group cut Summit Materials from a “buy” rating to a “hold” rating and reduced their price objective for the stock from $58.00 to $52.50 in a research report on Monday, December 16th. One equities research analyst has rated the stock with a sell rating, eleven have given a hold rating and three have issued a buy rating to the stock. Based on data from MarketBeat, Summit Materials presently has an average rating of “Hold” and a consensus price target of $50.54.

Summit Materials Price Performance

The business has a fifty day simple moving average of $51.52 and a 200-day simple moving average of $45.31. The company has a debt-to-equity ratio of 0.62, a quick ratio of 2.48 and a current ratio of 3.10. The stock has a market capitalization of $9.23 billion, a P/E ratio of 64.07 and a beta of 1.13.

Insider Activity at Summit Materials

In related news, insider Christopher Burke Gaskill sold 1,536 shares of Summit Materials stock in a transaction that occurred on Tuesday, December 10th. The shares were sold at an average price of $50.91, for a total value of $78,197.76. Following the sale, the insider now owns 40,221 shares of the company’s stock, valued at approximately $2,047,651.11. The trade was a 3.68 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 0.55% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of SUM. Magnetar Financial LLC purchased a new position in shares of Summit Materials in the 4th quarter worth about $79,094,000. Norges Bank bought a new position in Summit Materials during the fourth quarter valued at approximately $71,315,000. JPMorgan Chase & Co. raised its stake in shares of Summit Materials by 293.5% during the fourth quarter. JPMorgan Chase & Co. now owns 1,863,463 shares of the construction company’s stock worth $94,291,000 after acquiring an additional 1,389,955 shares in the last quarter. Assenagon Asset Management S.A. boosted its stake in shares of Summit Materials by 1,436.3% in the 4th quarter. Assenagon Asset Management S.A. now owns 879,466 shares of the construction company’s stock valued at $44,501,000 after purchasing an additional 822,222 shares in the last quarter. Finally, Highbridge Capital Management LLC bought a new position in shares of Summit Materials during the 4th quarter valued at $38,078,000.

About Summit Materials

Summit Materials, Inc is a vertically integrated construction materials company, which engages in manufacturing construction materials and related downstream products. It operates through the following segments: West, East, and Cement. The West segment includes operations in Texas, Utah, Arizona, Colorado, Idaho, Wyoming, Oklahoma, Arkansas and British Columbia, Canada.