The stock of Summit Materials, Inc. (NYSE:SUM) is now priced at $15.85 and the shares are -1.86 points down or -10.5% lower compared to its previous closing price of $17.71. The stock had 1.623 million contracts set over the past session. SUM shares’ daily volume is compared to its average trading volume at 1.237 million shares. However, it has a float of 114 million and although its performance was -13.01% over the week, it’s one to watch. Analysts have given the SUM stock a yearly average price target of $21.32 per share. It means the stock’s upside potential is 34.51% with the SUM share price recently placing at $15.77 to $17.62.
The shorts are running away from the Summit Materials, Inc. stock, with the latest data on short interest released on June 30, 2020, showing that short interest numbers in the SUM shares have declined. Short interest in the stock represents just 9% of its float, but the volume has dropped by 0.
In the last trading session, Summit Materials, Inc. (NYSE:SUM) dropped by -$2.37 over the week and lost -$0.63 on its 20-day. The stock’s high in the recent session is lower when compared to its 52-week high of $25.22. The stock recorded its established 52-week high on 12/20/19.
Since 03/23/20, the stock has traded to a low of $7.51 at 111.05%, an encouraging piece of data likely to interest most investors out to exploit the stock’s recent surge. The stock has a beta allocation of 1.71. Being above 1 means that the stock’s volatility is higher than the market and traders are keenly watching it.
Looking at current readings, Summit Materials, Inc.’s two-week RSI is 45.18. This suggests that the stock is neutral at the moment and that SUM shares’ price movement remains stable. The stochastic readings are equally revealing at 34.69% meaning the SUM share price is currently in neutral territory.
The technical chart shows that the SUM stock will likely settle at between $17.06 and $18.26 per share. However, if the stock dips below $15.21, then its market would become much weaker. Any downside could see the stock price sliding to levels as low as $14.56.
Currently, the stock is trading in the red of MACD, with a reading of -0.71. Investors always pay attention to any move above or below the zero-line, mainly because the indicator points to the position of the stock’s short-term average relative to its long-term measure. A MACD -a reading above the zero line means that the short-term is above the long-term average. This scenario implies that there is an upward momentum. The opposite is true when the MACD falls below the zero-line.
Analysts at Loop Capital raised their recommendation for SUM from Hold to Buy in July 23 review. CFRA analysts upgraded their recommendation of the stock from Buy to Strong Buy in a flash note released to investors on July 22. Stephens seeing the stock struggling downgraded it from Overweight to Equal-Weight on April 30 placing it at $18 to $17.
The average rating for the SUM equity is 2.18 and is currently gathering a bullish momentum. Of 17 analysts tracking Summit Materials, Inc. polled by Reuters, 4 rated SUM as a hold. The remaining 13 analysts were split evenly. However, the split wasn’t equal as a majority (12) rated it as a buy or strong buy. 1 analyst advised investors against buying the stock or to sell if they own any of the stock.
Elsewhere, the SUM stock price is 18.74X ahead of its 12-month Consensus earnings per share estimates. The stocks P/S ratio currently stands at 19.3below the group’s average of 25.6. Summit Materials, Inc. has its P/E ratio at 1.4, which means that the stock is currently trading at a discount relative to the 1.9 industry average.
Zacks Consensus Estimate forecasts that the current-quarter revenues for Summit Materials, Inc. (NYSE:SUM) will decrease by about -99.89%, which will see them reach $674.14 million. The company’s full-year revenues are, however, expected to increase by about 3.94%, up from $2030 million to $2110 million. SUM’s expected adjusted earnings should surge almost 26% to end up at $0.63 per share, while for the fiscal year, analysts project the company’s earnings to drop by about -14.89% to record $0.8/share.