Wolverine Asset Management LLC Invests $408,000 in Cummins Inc. $CMI

Wolverine Asset Management LLC acquired a new position in Cummins Inc. (NYSE:CMI) in the fourth quarter, HoldingsChannel reports. The institutional investor acquired 800 shares of the company’s stock, valued at approximately $408,000.

A number of other hedge funds and other institutional investors have also recently modified their holdings of the company. Thompson Investment Management Inc. purchased a new stake in Cummins in the 4th quarter worth $26,000. Activest Wealth Management increased its stake in Cummins by 537.5% in the 4th quarter. Activest Wealth Management now owns 51 shares of the company’s stock worth $26,000 after buying an additional 43 shares in the last quarter. Ares Financial Consulting LLC purchased a new stake in Cummins in the 4th quarter worth $29,000. Holos Integrated Wealth LLC purchased a new stake in Cummins in the 4th quarter worth $32,000. Finally, Palouse Capital Management Inc. purchased a new stake in Cummins in the 4th quarter worth $33,000. 83.46% of the stock is owned by hedge funds and other institutional investors.

Cummins Stock Up 6.2%

CMI opened at $716.95 on Thursday. The firm has a 50-day simple moving average of $585.27 and a two-hundred day simple moving average of $541.64. Cummins Inc. has a 52 week low of $296.59 and a 52 week high of $717.33. The company has a market capitalization of $99.05 billion, a PE ratio of 37.21, a price-to-earnings-growth ratio of 2.13 and a beta of 1.27. The company has a quick ratio of 1.16, a current ratio of 1.71 and a debt-to-equity ratio of 0.50.

Cummins (NYSE:CMI) last released its quarterly earnings data on Tuesday, May 5th. The company reported $6.15 EPS for the quarter, beating the consensus estimate of $5.63 by $0.52. Cummins had a net margin of 7.89% and a return on equity of 25.25%. The business had revenue of $8.40 billion during the quarter, compared to the consensus estimate of $8.37 billion. During the same quarter in the prior year, the firm earned $5.96 EPS. The business’s revenue was up 2.7% on a year-over-year basis. Analysts forecast that Cummins Inc. will post 26.05 earnings per share for the current fiscal year.

Cummins Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, March 5th. Investors of record on Friday, February 20th were issued a $2.00 dividend. The ex-dividend date of this dividend was Friday, February 20th. This represents a $8.00 dividend on an annualized basis and a dividend yield of 1.1%. Cummins’s dividend payout ratio (DPR) is presently 38.99%.

Analysts Set New Price Targets

A number of equities research analysts have issued reports on CMI shares. Weiss Ratings reiterated a “buy (b)” rating on shares of Cummins in a research note on Friday, April 10th. Wells Fargo & Company increased their price target on Cummins from $693.00 to $794.00 and gave the stock an “overweight” rating in a research note on Wednesday. Citigroup increased their price target on Cummins from $710.00 to $770.00 and gave the stock a “buy” rating in a research note on Wednesday. Barclays reiterated an “overweight” rating and issued a $760.00 price target on shares of Cummins in a research note on Wednesday. Finally, Raymond James Financial increased their price target on Cummins from $585.00 to $675.00 and gave the stock an “outperform” rating in a research note on Monday, February 9th. Eleven analysts have rated the stock with a Buy rating and six have given a Hold rating to the company’s stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $649.47.

Insider Transactions at Cummins

In related news, VP Jennifer Mary Bush sold 4,270 shares of the stock in a transaction dated Tuesday, February 10th. The shares were sold at an average price of $584.93, for a total value of $2,497,651.10. Following the completion of the transaction, the vice president owned 15,130 shares of the company’s stock, valued at approximately $8,849,990.90. This trade represents a 22.01% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, VP Earl Newsome sold 1,300 shares of the stock in a transaction dated Monday, February 23rd. The shares were sold at an average price of $583.67, for a total transaction of $758,771.00. Following the completion of the transaction, the vice president directly owned 3,389 shares of the company’s stock, valued at approximately $1,978,057.63. The trade was a 27.72% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 31,195 shares of company stock worth $18,397,489 in the last quarter. Company insiders own 0.30% of the company’s stock.

Trending Headlines about Cummins

Here are the key news stories impacting Cummins this week:

• Positive Sentiment: Wells Fargo raised its price target to $794 and moved to an “overweight” rating, implying meaningful upside versus recent levels. Cummins had its price target raised by Wells Fargo
• Positive Sentiment: JPMorgan increased its price target to $725 (from $600) — a notable upward revision even as the firm kept a “neutral” rating, providing additional analyst support for the stock. JPMorgan Chase & Co. Issues Positive Forecast for Cummins Benzinga PT note
• Positive Sentiment: Cummins beat Q1 estimates (EPS $6.15 vs. $5.63 consensus; revenue $8.40B vs. $8.37B) and lifted its full?year revenue outlook — the combination of the beat and a higher company guide is a primary driver of upward price pressure. Zacks: Cummins Q1 beat Reuters: Cummins raises revenue outlook
• Neutral Sentiment: Cummins said Power Systems and data?center power demand helped margins, offsetting weakness in Engine & Components — investors may view this as a positive diversification trend but with timing uncertainty. Zacks: Power Systems strength
• Neutral Sentiment: Management is refocusing the portfolio toward zero?emission growth after a mixed quarter — a strategic positive long?term, but it introduces near?term execution and investment risks. Yahoo Finance: Cummins refocuses portfolio
• Negative Sentiment: Analysts and the earnings call flagged trucking/on?highway weakness and some softness in Engine & Components — this is the main near?term downside risk to margins and order trends. TipRanks: Lifts outlook despite trucking weakness

Cummins Company Profile

Cummins Inc (NYSE: CMI) is a global power technology company that designs, manufactures, distributes and services a broad portfolio of diesel and natural gas engines, electrified powertrains, power generation systems and related components. Founded in 1919 and headquartered in Columbus, Indiana, Cummins has grown into one of the world’s leading suppliers of internal combustion engines and a provider of technologies that reduce emissions and improve fuel efficiency.

The company’s product lineup includes heavy-, medium- and light-duty engines for on-highway and off-highway applications, generator sets and power systems for commercial and industrial use, and key engine components such as turbochargers, fuel systems, air handling, filtration and aftertreatment solutions.