Summit Midstream Partners, LP
Summit Midstream Partners, LP Fundamental Analysis
Summit Midstream Partners, LP (SMLP) shows weak financial fundamentals with a PE ratio of -10.10, profit margin of -8.49%, and ROE of -4.51%. The company generates $0.5B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 4.5/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze SMLP's fundamental strength across five key dimensions:
Efficiency Score
WeakSMLP struggles to generate sufficient returns from assets.
Valuation Score
ExcellentSMLP trades at attractive valuation levels.
Growth Score
ModerateSMLP shows steady but slowing expansion.
Financial Health Score
WeakSMLP carries high financial risk with limited liquidity.
Profitability Score
WeakSMLP struggles to sustain strong margins.
Key Financial Metrics
Is SMLP Expensive or Cheap?
P/E Ratio
SMLP trades at -10.10 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, SMLP's PEG of -0.10 indicates potential undervaluation.
Price to Book
The market values Summit Midstream Partners, LP at 0.47 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -5.19 times EBITDA. This is generally considered low.
How Well Does SMLP Make Money?
Net Profit Margin
For every $100 in sales, Summit Midstream Partners, LP keeps $-8.49 as profit after all expenses.
Operating Margin
Core operations generate 17.61 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-4.51 in profit for every $100 of shareholder equity.
ROA
Summit Midstream Partners, LP generates $-1.56 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Summit Midstream Partners, LP generates strong operating cash flow of $130.77M, reflecting robust business health.
Free Cash Flow
Summit Midstream Partners, LP generates strong free cash flow of $59.77M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $5.61 in free cash annually.
FCF Yield
SMLP converts 14.31% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-10.10
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.10
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.47
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.88
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.76
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.73
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.05
vs 25 benchmark
ROA
Return on assets percentage
-0.02
vs 25 benchmark
ROCE
Return on capital employed
0.03
vs 25 benchmark
How SMLP Stacks Against Its Sector Peers
| Metric | SMLP Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -10.10 | 20.19 | Better (Cheaper) |
| ROE | -4.51% | 1019.00% | Weak |
| Net Margin | -8.49% | -44017.00% (disorted) | Weak |
| Debt/Equity | 1.76 | -0.65 (disorted) | Distorted |
| Current Ratio | 0.73 | 4.60 | Weak Liquidity |
| ROA | -1.56% | -11655350.00% (disorted) | Weak |
SMLP outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Summit Midstream Partners, LP's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Cyclical, Value, Commodity
EPS CAGR
N/A
Industry Style: Cyclical, Value, Commodity
FCF CAGR
N/A
Industry Style: Cyclical, Value, Commodity