SUM's one year PEG ratio, measuring expected growth in earnings next year relative to current common stock price is 778.5 -- higher than 95.41% of US-listed equities with positive expected earnings growth.
SUM's went public 5.23 years ago, making it older than just 18.83% of listed US stocks we're tracking.
For SUM, its debt to operating expenses ratio is greater than that reported by 76.35% of US equities we're observing.
Stocks with similar financial metrics, market capitalization, and price volatility to Summit Materials Inc are ERI, PLYA, ERA, GDEN, and LAMR.
Summit Materials supplies aggregates, cement, ready-mixed concrete and asphalt in the United States and British Columbia, Canada. The company was founded in 2009 and is based in Denver, Colorado.
SUM Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for SUM, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Summit Materials Inc ranked in the 80th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 513% on a DCF basis. In terms of the factors that were most noteworthy in this DCF analysis for SUM, they are:
Its compound free cash flow growth rate, as measured over the past 5.15 years, is 0.58% -- higher than 85.23% of stocks in our DCF forecasting set.
Summit Materials Inc's weighted average cost of capital (WACC) is 10%; for context, that number is higher than 75.93% of tickers in our DCF set.
Relative to other stocks in its sector (Basic Materials), Summit Materials Inc has a reliance on debt greater than 74.36% of them.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Summit Materials Inc? See WLKP, BLD, KL, CF, and VHI.
Management's commentary and responses to questions on today's call may include forward-looking statements, which, by their nature, are uncertain and outside of Summit Materials' control. For a discussion of some of the factors that could cause actual results to differ, please see the Risk Factors section of Summit Materials' latest annual report on Form 10-K, which is filed with the SEC, and in our quarterly report on Form 10-Q for the first quarter of 2020, which we expect to file with the SEC after this call. Today's call will begin with an update from Tom Hill.
Shares of Summit Materials (NYSE:SUM) were unchanged in pre-market trading after the company reported Q1 results.Quarterly Results Earnings per share increased 2.04% over the past year to ($0.48), which missed the estimate of ($0.47).Revenue of $342,406,000 up by 11.92% from the same period last year, which beat the estimate of $327,500,000.Outlook Summit Materials hasn't issued any earnings guidance for the time being.Revenue guidance hasn't been issued by the company for now.Conference Call Details Date: Apr 29, 2020View more earnings on SUMTime: 04:05 AM ETWebcast URL: https://event.on24.com/eventRegistration/EventLobbyServlet?target=reg20.jsp&referrer=http%3A%2F%2Finvestors.summit-materials.com%2F&eventid=2241364&sessionid=1&key=1F41DA2BF7CBA1ECD5EC96C0B9191DBC®Tag=&sourcepage=re...