Want to see SMC full AI Analyst Report?
Top Page
Summit Midstream
(NYSE:SMC)
Select Model
Select Model
Rating:65Neutral
Price Target:
$33.00
▼(-3.00% Downside)
Action:Reiterated
Date:08/11/26
SMC’s score is driven primarily by improving operating performance and constructive price momentum. These positives are tempered by uneven bottom-line profitability and recent free-cash-flow softness, while valuation is penalized by a negative P/E (and no dividend yield provided). The latest earnings call adds support due to tightened EBITDA guidance and visible growth projects, but leverage above target remains a key near-term constraint.
Positive Factors
Revenue growth and operating margins
Strong top-line recovery combined with healthy gross and EBITDA margins indicates improving operating performance in the core midstream business. This supports internal funding capacity, strengthens the platform for additional volume growth, and provides a more durable earnings base than revenue growth alone.
Negative Factors
Inconsistent bottom-line profitability
Healthy operating margins have not consistently converted into net earnings, leaving the company near breakeven at the bottom line. Persistent weakness in net profitability can limit retained capital, reduce returns on equity, and make future growth less valuable if financing and other costs remain elevated.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue growth and operating margins
Strong top-line recovery combined with healthy gross and EBITDA margins indicates improving operating performance in the core midstream business. This supports internal funding capacity, strengthens the platform for additional volume growth, and provides a more durable earnings base than revenue growth alone.
Read all positive factors
Summit Midstream (SMC) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$652.50M
Dividend Yield40.11%
Average Volume (3M)79.83K
Price to Earnings (P/E)―
Beta (1Y)0.33
Revenue Growth20.94%
EPS Growth95.10%
CountryUS
Employees296
SectorEnergy
Sector Strength52
IndustryOil & Gas Midstream
Share Statistics
EPS (TTM)-1.10
Shares Outstanding13,783,618
10 Day Avg. Volume103,425
30 Day Avg. Volume79,830
Financial Highlights & Ratios
PEG Ratio0.19
Price to Book (P/B)0.47
Price to Sales (P/S)0.58
P/FCF Ratio7.27
Enterprise Value/Market Cap3.05
Enterprise Value/Revenue3.42
Enterprise Value/Gross Profit8.10
Enterprise Value/Ebitda9.49
Forecast
1Y Price Target
$47.00Price Target Upside38.15% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
EPS Forecast (FY)-1.27
Revenue Forecast (FY)$646.05M
Summit Midstream Business Overview & Revenue Model
Company Description
Summit Midstream Corporation specializes in managing and developing critical energy infrastructure, primarily across the continental United States' significant shale formations. The company oversees extensive collection networks for natural gas, c...
How the Company Makes Money
SMC primarily makes money by charging customers (typically oil and natural gas producers) fees for midstream services under contracts tied to the volumes of hydrocarbons moved and handled through its systems. Key revenue streams generally include:...
Summit Midstream Earnings Call Summary
Earnings Call Date:Aug 10, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Nov 17, 2026
Earnings Call Sentiment Positive
The call conveyed strong operational momentum and commercial progress (notably in the Rockies, Mid‑Con and Double E commercial pipeline), with adjusted EBITDA up 12% QoQ, tightened full‑year EBITDA guidance, and clear pipeline of high‑return projects (including ~30 incremental Williston wells and Double E expansion). Near‑term headwinds include Piceance throughput declines and the expiration of MVC shortfall payments (~$4M/quarter), leverage above target at ~4.1x, modest free cash flow ($9.4M) and sensitivity to commodity prices. On balance, the positive operational and commercial developments and tightened guidance focused on growth outweigh the manageable financial and market risks.Positive Updates
Quarterly Adjusted EBITDA Growth
Adjusted EBITDA of $60.7 million in Q2 2026, a 12% increase quarter-over-quarter driven by growth in the Rockies and Mid‑Con segments.
Negative Updates
Piceance Segment Weakness
Piceance adjusted EBITDA fell to $8.7 million, a decrease of $0.9 million QoQ, primarily from a 5.7% decline in throughput driven by temporary shut‑ins, natural declines, and no new well connections during the quarter (previously shut‑in volumes began flowing by end of July).
Read all updates
Q2-2026 Updates
Positive
Negative
Quarterly Adjusted EBITDA Growth
Adjusted EBITDA of $60.7 million in Q2 2026, a 12% increase quarter-over-quarter driven by growth in the Rockies and Mid‑Con segments.
Read all positive updates
Company Guidance
Summit tightened 2026 adjusted EBITDA guidance to $235–$255 million (midpoint $245M), up from prior range, which—after H1 adjusted EBITDA of $115M (Q2 $60.7M)—implies H2 adjusted EBITDA of roughly $120–$140M; full‑year CapEx was raised to $100–$120M (inclusive of Double E JV contributions) with Q2 capex at $25M (maintenance $4.1M). Management said the capex increase is driven primarily by ~30 incremental Williston wells (company estimates ~ $10M of incremental EBITDA in 2027 from those wells) and incremental Double E compression capital (Double E averaged 859 MMcf/d in Q2 and now has just over 1.9 Bcf/d contracted), where existing contracts cover roughly $70M of EBITDA and compression could lift that to 90+M in the FID case (sub‑6x build multiple at FID, falling toward ~3x as capacity is fully contracted). Quarterly distributable cash flow was $36.8M and free cash flow $9.4M; balance sheet at quarter end included $21M unrestricted cash, $79M revolver drawn, ~ $418M borrowing availability, total leverage ~4.1x (target 3.5x), a $350M non‑recourse Permian term loan balance, pursuit of a $50M accordion, and an authorized $35M share repurchase program (≈35k shares bought for $1M, ~$34M remaining). Management expects the incremental activity and capital to be high‑return, to show up primarily in 2027, and supports a longer‑term objective of >$100M organic EBITDA growth by 2030 and eventual resumption of a common dividend as leverage improves.Summit Midstream Financial Statement Overview
Summary
Income Statement
63
Positive
Balance Sheet
72
Positive
Cash Flow
58
Neutral
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 583.33M | 562.09M | 429.62M | 458.90M | 369.59M | 401.56M |
| Gross Profit | 245.95M | 149.65M | 113.01M | 122.94M | 89.56M | 245.41M |
| EBITDA | 209.94M | 207.43M | 250.53M | 225.86M | 81.17M | 187.22M |
| Net Income | -3.06M | -1.91M | -113.17M | -38.95M | -123.46M | -19.95M |
Balance Sheet | ||||||
| Total Assets | 2.41B | 2.39B | 2.36B | 2.49B | 2.56B | 2.52B |
| Cash, Cash Equivalents and Short-Term Investments | 20.97M | 9.27M | 22.82M | 14.04M | 11.81M | 7.35M |
| Total Debt | 1.24B | 1.05B | 993.58M | 1.48B | 1.50B | 1.36B |
| Total Liabilities | 1.49B | 1.30B | 1.39B | 1.65B | 1.68B | 1.51B |
| Stockholders Equity | 598.38M | 687.48M | 467.79M | 718.56M | 764.82M | 904.36M |
Cash Flow | ||||||
| Free Cash Flow | -3.63M | 44.55M | 8.16M | 58.00M | 68.27M | 140.07M |
| Operating Cash Flow | 131.15M | 133.59M | 61.77M | 126.91M | 98.74M | 165.10M |
| Investing Cash Flow | -93.86M | -163.15M | 487.06M | -74.76M | -226.56M | -165.73M |
| Financing Cash Flow | -31.04M | 24.04M | -540.28M | -49.04M | 121.77M | 4.66M |
Summit Midstream Technical Analysis
Positive
34.02
Price Trends
32.91
Negative
31.34
Positive
30.37
Positive
Market Momentum
-0.22
Negative
49.53
Neutral
69.11
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SMC, the sentiment is Positive. The current price of 34.02 is above the 20-day moving average (MA) of 31.76, above the 50-day MA of 32.91, and above the 200-day MA of 30.37, indicating a neutral trend. The MACD of -0.22 indicates Negative momentum. The RSI at 49.53 is Neutral, neither overbought nor oversold. The STOCH value of 69.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SMC.
Summit Midstream Peers Comparison
UnderperformOutperform
Sector (65)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
67 Neutral | $3.26B | 19.66 | -935.80% | 8.00% | 30.33% | -2.37% | |
65 Neutral | $15.17B | 7.61 | 4.09% | 5.20% | 3.87% | -62.32% | |
65 Neutral | $652.50M | -29.21 | -0.48% | 40.11% | 20.94% | 95.10% | |
57 Neutral | $1.76B | 72.10 | 141.17% | 5.05% | -17.25% | ― | |
55 Neutral | $1.83B | -4.82 | -51.37% | 35.04% | -21.60% | -588.91% | |
45 Neutral | $75.90M | -6.87 | 12.49% | 1.03% | 4.01% | 1.75% |
* Energy Sector Average
SMC
Summit Midstream
32.13
11.87
58.59%
GEL
Genesis Energy
14.37
-0.29
-1.99%
MMLP
Martin Midstream
1.94
-1.20
-38.14%
NGL
NGL Energy Partners
14.67
8.47
136.61%
DKL
Delek Logistics
56.41
15.79
38.86%
PBT
Permian Basin
35.65
18.32
105.67%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.