Traders Buy Large Volume of Put Options on Summit Materials (NYSE:SUM)

Summit Materials, Inc. (NYSE:SUM) saw some unusual options trading activity on Monday. Stock investors bought 20,004 put options on the stock. This is an increase of approximately 10,772% compared to the typical volume of 184 put options.

Analysts Set New Price Targets

Several brokerages have recently issued reports on SUM. Citigroup increased their price objective on Summit Materials from $44.00 to $47.00 and gave the company a “buy” rating in a research note on Thursday, August 8th. Truist Financial reduced their price target on Summit Materials from $53.00 to $47.00 and set a “buy” rating on the stock in a research report on Wednesday, August 7th. Stephens reiterated an “overweight” rating and issued a $47.00 price objective on shares of Summit Materials in a research note on Tuesday, August 6th. Morgan Stanley began coverage on shares of Summit Materials in a research note on Monday, August 26th. They set an “overweight” rating and a $51.00 target price on the stock. Finally, Royal Bank of Canada reiterated a “sector perform” rating and issued a $45.00 price target on shares of Summit Materials in a research note on Wednesday, August 7th. One analyst has rated the stock with a sell rating, three have issued a hold rating and eight have assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $47.40.

Summit Materials Stock Up 1.7 %

SUM traded up $0.65 on Monday, reaching $38.36. The company’s stock had a trading volume of 344,071 shares, compared to its average volume of 963,023. The company has a quick ratio of 2.01, a current ratio of 2.62 and a debt-to-equity ratio of 0.64. Summit Materials has a fifty-two week low of $29.98 and a fifty-two week high of $44.89. The stock has a 50 day moving average of $38.56 and a two-hundred day moving average of $39.44. The company has a market capitalization of $6.74 billion, a price-to-earnings ratio of 16.83 and a beta of 1.18.

Summit Materials (NYSE:SUM) last issued its earnings results on Monday, August 5th. The construction company reported $0.66 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.61 by $0.05. Summit Materials had a net margin of 8.06% and a return on equity of 7.00%. The business had revenue of $1.08 billion during the quarter, compared to analysts’ expectations of $1.14 billion. During the same quarter in the prior year, the business posted $0.71 EPS. The company’s revenue for the quarter was up 58.1% on a year-over-year basis. As a group, analysts forecast that Summit Materials will post 1.69 EPS for the current fiscal year.

Institutional Investors Weigh In On Summit Materials

A number of institutional investors and hedge funds have recently bought and sold shares of SUM. Norges Bank purchased a new stake in Summit Materials in the fourth quarter valued at $49,437,000. Hood River Capital Management LLC purchased a new stake in shares of Summit Materials in the first quarter valued at about $33,206,000. Massachusetts Financial Services Co. MA raised its holdings in shares of Summit Materials by 6.6% in the second quarter. Massachusetts Financial Services Co. MA now owns 7,210,736 shares of the construction company’s stock valued at $263,985,000 after buying an additional 448,922 shares during the last quarter. Interval Partners LP purchased a new stake in shares of Summit Materials in the first quarter valued at about $18,051,000. Finally, Millennium Management LLC raised its holdings in shares of Summit Materials by 16.9% in the second quarter. Millennium Management LLC now owns 2,753,816 shares of the construction company’s stock valued at $100,817,000 after buying an additional 399,072 shares during the last quarter.

Summit Materials Company Profile

Summit Materials, Inc operates as a vertically integrated construction materials company in the United States and Canada. It operates in three segments: West, East, and Cement. The company offers aggregates, cement, ready-mix concrete, asphalt paving mixes, and concrete products, as well as plastics components.