Summit Midstream Partners (NYSE:SMC) Stock Price Up 6.1% on Earnings Beat

Summit Midstream Partners, LP (NYSE:SMC)’s stock price traded up 6.1% during trading on Tuesday following a better than expected earnings announcement. The stock traded as high as $32.74 and last traded at $33.7790. 7,937 shares were traded during trading, a decline of 87% from the average session volume of 61,184 shares. The stock had previously closed at $31.84.

The company reported $0.11 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.36) by $0.47. Summit Midstream Partners had a negative return on equity of 0.73% and a negative net margin of 1.09%.The company had revenue of $155.01 million during the quarter, compared to the consensus estimate of $169.00 million.

Summit Midstream Partners announced that its board has authorized a share repurchase program on Monday, June 1st that allows the company to repurchase $35.00 million in outstanding shares. This repurchase authorization allows the company to buy up to 6.5% of its stock through open market purchases. Stock repurchase programs are typically an indication that the company’s leadership believes its stock is undervalued.

Analysts Set New Price Targets

A number of analysts have recently issued reports on SMC shares. Weiss Ratings raised shares of Summit Midstream Partners from a “sell (d-)” rating to a “hold (c-)” rating in a research note on Wednesday, May 13th. Summit Redstone set a $39.00 price objective on shares of Summit Midstream Partners in a report on Monday, August 3rd. Finally, TD Cowen initiated coverage on shares of Summit Midstream Partners in a research report on Tuesday, August 4th. They issued a “buy” rating and a $39.00 price objective for the company. Two investment analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. According to data from MarketBeat.com, Summit Midstream Partners currently has a consensus rating of “Moderate Buy” and a consensus price target of $41.67.

Insider Buying and Selling at Summit Midstream Partners

In other Summit Midstream Partners news, Director Jerry L. Peters sold 10,000 shares of the firm’s stock in a transaction dated Tuesday, May 19th. The shares were sold at an average price of $32.00, for a total transaction of $320,000.00. Following the transaction, the director owned 16,979 shares of the company’s stock, valued at approximately $543,328. This trade represents a 37.07% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, VP James David Johnston sold 2,600 shares of the firm’s stock in a transaction dated Thursday, July 2nd. The shares were sold at an average price of $29.72, for a total transaction of $77,272.00. Following the transaction, the vice president directly owned 75,357 shares in the company, valued at $2,239,610.04. This trade represents a 3.34% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 42.96% of the company’s stock.

Hedge Funds Weigh In On Summit Midstream Partners

Institutional investors have recently bought and sold shares of the business. Public Employees Retirement System of Ohio bought a new stake in Summit Midstream Partners during the first quarter valued at about $46,000. New York State Common Retirement Fund purchased a new stake in Summit Midstream Partners during the second quarter valued at approximately $96,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its stake in Summit Midstream Partners by 5,417.0% in the second quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 5,517 shares of the company’s stock valued at $135,000 after acquiring an additional 5,417 shares in the last quarter. Deutsche Bank AG purchased a new position in Summit Midstream Partners in the fourth quarter worth $186,000. Finally, Goldman Sachs Group Inc. purchased a new position in Summit Midstream Partners in the fourth quarter worth $215,000. 42.97% of the stock is owned by hedge funds and other institutional investors.

Summit Midstream Partners Stock Performance

The business has a 50-day moving average price of $29.86 and a 200-day moving average price of $29.87. The company has a quick ratio of 1.20, a current ratio of 1.20 and a debt-to-equity ratio of 1.59. The firm has a market capitalization of $687.09 million, a price-to-earnings ratio of -17.96 and a beta of 0.71.

Summit Midstream Partners Company Profile

Summit Midstream Partners is a publicly traded master limited partnership that provides gathering, compression, processing and transportation services for natural gas, natural gas liquids (NGLs) and crude oil in key U.S. onshore basins. The company’s assets include a network of intrastate and interstate pipelines, processing plants, fractionators and storage facilities designed to serve producers, marketers and end users throughout the Appalachian, Gulf Coast, Mid-Continent and Western Canadian Sedimentary basins.

In the Appalachian region, Summit operates extensive gathering lines and multiple gas-processing complexes connected to the Mountaineer NGL Hub, one of the largest fractionation and storage hubs in the Mid-Atlantic.