Summit Midstream Partners (NYSE:SMC) Sees Strong Trading Volume - Still a Buy?

Key Points

• Trading volume surged 122% to approximately 145,216 shares, while Summit Midstream Partners shares slipped 1.5% to about $30.31.
• Analyst sentiment is broadly positive: the stock has an average “Buy” rating and a consensus price target of $43, with one Strong Buy, two Buy, and one Hold rating.
• The company exceeded quarterly EPS expectations, reporting $0.11 versus the forecasted loss of $0.36, though revenue fell short of estimates and the business continues to report negative margins.

Summit Midstream Partners, LP (NYSE:SMC - Get Free Report) shares saw an uptick in trading volume on Monday. Approximately 145,216 shares traded hands during trading, an increase of 122% from the previous session's volume of 65,317 shares. The stock last traded at $30.3070 and had previously closed at $30.70.

Wall Street Analyst Weigh In

Several brokerages have recently issued reports on SMC. Zacks Research upgraded Summit Midstream Partners from a "hold" rating to a "strong-buy" rating in a research report on Friday, October 2nd. Weiss Ratings upgraded Summit Midstream Partners from a "hold (c-)" rating to a "hold (c)" rating in a research report on Friday, August 21st. Summit Redstone set a $39.00 target price on shares of Summit Midstream Partners in a research note on Monday, August 3rd. Finally, TD Cowen upped their target price on shares of Summit Midstream Partners from $39.00 to $43.00 and gave the company a "buy" rating in a report on Wednesday, August 12th. One investment analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat, the stock currently has an average rating of "Buy" and a consensus price target of $43.00.

Summit Midstream Partners Stock Down 1.5%

The firm has a market cap of $614.28 million, a price-to-earnings ratio of -27.25 and a beta of 0.80. The company has a quick ratio of 0.94, a current ratio of 0.94 and a debt-to-equity ratio of 1.45. The firm has a fifty day moving average price of $32.99 and a 200-day moving average price of $30.99.

Summit Midstream Partners (NYSE:SMC - Get Free Report) last released its earnings results on Monday, August 10th. The company reported $0.11 earnings per share for the quarter, topping the consensus estimate of ($0.36) by $0.47. Summit Midstream Partners had a negative return on equity of 0.04% and a negative net margin of 0.06%. The firm had revenue of $155.01 million for the quarter, compared to the consensus estimate of $169.00 million. As a group, sell-side analysts forecast that Summit Midstream Partners, LP will post 0.40 EPS for the current year.

Insider Buying and Selling

In other news, VP James Johnston sold 2,600 shares of the company's stock in a transaction dated Thursday, October 1st. The shares were sold at an average price of $30.51, for a total transaction of $79,326.00. Following the completion of the transaction, the vice president owned 72,757 shares of the company's stock, valued at $2,219,816.07. This represents a 3.45% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 42.96% of the stock is owned by company insiders.

Institutional Investors Weigh In On Summit Midstream Partners

A number of institutional investors have recently bought and sold shares of the stock. State Street Corp grew its stake in shares of Summit Midstream Partners by 3.3% during the 2nd quarter. State Street Corp now owns 184,546 shares of the company's stock valued at $5,256,000 after buying an additional 5,939 shares during the period. Engineers Gate Manager LP acquired a new stake in shares of Summit Midstream Partners during the 2nd quarter worth $305,000. Squarepoint Ops LLC acquired a new stake in shares of Summit Midstream Partners during the 2nd quarter worth $238,000. Odyssean LLC purchased a new position in shares of Summit Midstream Partners in the 2nd quarter worth $448,000. Finally, Ancora Advisors LLC purchased a new position in shares of Summit Midstream Partners in the 2nd quarter worth $143,000. 42.97% of the stock is currently owned by hedge funds and other institutional investors.

Summit Midstream Partners Company Profile

Summit Midstream Partners, now operating as Summit Midstream Corporation, is a midstream energy company that develops, owns and operates gathering and processing infrastructure for natural gas, crude oil and produced water. Its services generally include gathering, compression, dehydration, treating, processing and transportation support, connecting producers' wells with downstream pipelines and processing facilities.

The company serves several major U.S. oil and gas producing regions through a portfolio of gathering systems.

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