With a current price of $0.86, Summit Midstream Partners LP [NYSE:SMLP] is active in the Oil & Gas Midstream industry, with a 5-day price swing of -6.77%.
For the year, the stock is trading -81.57%, while, as a point of reference, the S&P 500 is trading 0.55% YTD. Other data to note on this name is a price per sales number of 0.09 and a price per cash flow number of 1.04.
The Price is right
Holding a Market Cap of $35.03 million, Summit Midstream Partners LP has seen a trading range over the last year of $0.50-$5.30.
For the last five days, SMLP is down from its last closing price. The average shares trading hands each day is 438.09K, with average 10-day volume coming in at 0.6 million.
Using a Force Index Indicator is a good way to look at how strong actual buying and selling pressure is for SMLP. When we apply the Elder Force Index to Summit Midstream Partners LP, we are seeing an Elder Force Indicator number of 669073.5.
Recent Performance
The recent performance of the stock is another area that can tell traders how to proceed. SMLP is presenting an interesting case. This can be seen in the Forward P/E ratio, which currently stands at 6.78. Moreover, the company’s enterprise value has gone from $1.52B to $1.52B quarter-over-quarter. This could be an inflection point for the company, but either way we believe you should be adding them to your watchlist.
In the last quarter, SMLP made a profit of 21.14 million. Summit Midstream Partners LP also saw quarter revenue growth year over year of -12.16%. In addition, the company has operating cash flow of $203.13 million.
Technical Analysis
Looking at popular technical indicators, the company’s 5-day moving average is 0.6366 compared to the 50-day moving average of 0.7314. So, traders might want to tread carefully if they are going to bid.
The Relative Strength Index or RSI is an indicator ranging between 0 and 100 that traders use to determine if a stock is “overbought” or “oversold.” A strong uptrend tending to reach into the “overbought” status is above 70, while a downward trend will stay around the 30 mark. SMLP currently holds a 9-day RSI of 55.91%, while 100-day RSI stands at 41.84%.
Another indicator we believe is worth keeping tabs on is the Moving Average Convergence Divergence or MACD. Similar to the concept of the Force Index — on the basis of price momentum — the MACD gives traders a tool to measure the turning point of a stock even during rapid fluctuations in price. Buy and sell signals are determined by a stock’s relation to the zero line, so if a stock is above a zero line for many weeks it might be a “buy.” On the other hand, if a stock is below the zero line consistently, it might be one to stay away from. Also, if the MACD line reaches a peak and dips, its momentum may be waning. SMLP’s 9-day MACD is -0.0076 and the company’s 100-day MACD stands at -0.3176.
Inside Moves
Another area that is important to analyze is insider moves and majority shareholders. While this is not always an error-free way to tell what the future holds for a stock, you can maybe gather important information from reading the tea leaves about who is buying and selling.
The major holders for this stock are 56.55% by insiders and 23.91% by institutions. Regarding institutional holdings, Invesco Ltd. owns 24.89%, while the second top holder, Bank of America Corporation, currently owns 1.76%.
Conclusion
Overall, the recommended rating for SMLP is Hold. Currently, the company has 3 analysts watching the stock, and the average quarterly earnings estimate is 0.14. Quarterly revenue estimates are averaging 98.8M with the high estimate reaching 102.4M and the low at 95.2M.
