Summit Materials price target raised to $53 from $50 at Truist

Truist analyst Keith Hughes raised the firm’s price target on Summit Materials to $53 from $50 and keeps a Buy rating on the shares as part of a broader research note on Construction Materials names. The firm is reducing its Q1 EBITDA projections for cement/aggregate players due to the very poor weather to start the year, but its FY24 estimates remain mostly unchanged sinca a good portion of poor winter weather is made up in subsequent months, and this is already starting to occur, the analyst tells investors in a research note. Truist further notes that it is modeling low-double-digit EBITDA growth in FY25 driven by expanding price/cost and expectations of cost moderation from the mid to high single digit aggregates cost inflation called out by the management commentary in 2024.