Summit Midstream Partners LP (NYSE:SMLP) currently trades at $25.90 which is about -0.58% lower than the 52-week high of $26.50. The trading volume at ready counter moved to 211,754.00 shares as compared to 171,438.00 shares average traded volume. The stock failed to get pushed above the $26.00 barrier, the intraday high, after opening at $25.80. Analysts have a consensus target price of $25.92 in the 12-month period. Its market capitalization has now reached to $1.89B.
Summit Midstream Partners LP (NYSE:SMLP) was dropped to Underweight from Equal Weight at Barclays. It has earned a consensus buy rating, according to Zacks Investment Research. No analyst has rated the stock with a sell rating, 3 have assigned a hold rating, 1 says it’s a buy and 5 have assigned a strong buy rating to the company.
Summit Midstream Partners LP (SMLP) on January 27, 2017 announced that the board of directors of its general partner, Summit Midstream GP, LLC, has declared a quarterly cash distribution of $0.575 per unit on all of its outstanding common units, or $2.30 per unit on an annualized basis, for the quarter ended December 31, 2016. This quarterly distribution remains unchanged from the previous quarter and from the quarter ended December 31, 2015. This distribution will be paid on February 14, 2017, to unitholders of record as of the close of business on February 7, 2017.
2017 SMLP Financial Guidance
SMLP also announced 2017 financial guidance with adjusted EBITDA expected to range from $295.0 million to $315.0 million. SMLP expects to report 2016 adjusted EBITDA that is at or above the top end of the $270.0 million to $290.0 million range.
SMLP’s 2017 adjusted EBITDA guidance is based on information received to date from its customers and the year over year increase is supported by a recent increase in drilling activity across its gathering systems. SMLP expects quarterly adjusted EBITDA to increase throughout 2017, with an annualized fourth quarter adjusted EBITDA run rate between $325.0 million and $345.0 million.
Steve Newby, President and Chief Executive Officer, commented, “We expect the first half of 2017 to be impacted by the slower pace of drilling activity that occurred across many of our systems in late 2016. As we look towards the second half of 2017, we expect to benefit from DUC completions and increased drilling activity that is currently taking place behind our gathering systems in the Utica, Williston, Piceance, DJ, and Marcellus. We also expect to continue to benefit from our ongoing company-wide efforts to control costs and optimize operations. We will continue to evaluate resuming distribution growth in 2017 as the outlook becomes more certain.”
SMLP expects to incur $100.0 million to $150.0 million of capex in 2017, including maintenance capex of approximately $15.0 million to $20.0 million. SMLP’s 2017 capex guidance reflects the inclusion of our contributions to equity method investees. SMLP expects full year distribution coverage will range from 1.15x to 1.25x