Cummins Inc. (NYSE:CMI) Receives $492.75 Average PT from Analysts

Shares of Cummins Inc. (NYSE:CMI) have been assigned an average recommendation of “Moderate Buy” from the nineteen brokerages that are presently covering the stock, Marketbeat.com reports. Six equities research analysts have rated the stock with a hold recommendation and thirteen have assigned a buy recommendation to the company. The average 1 year price target among analysts that have updated their coverage on the stock in the last year is $492.75.

A number of research firms have commented on CMI. Wells Fargo & Company initiated coverage on shares of Cummins in a research note on Thursday, November 13th. They set an “overweight” rating and a $599.00 price objective for the company. UBS Group raised shares of Cummins from a “sell” rating to a “neutral” rating in a research note on Tuesday, November 25th. Sanford C. Bernstein reissued a “market perform” rating and set a $475.00 target price on shares of Cummins in a research note on Friday, November 7th. Weiss Ratings restated a “buy (b)” rating on shares of Cummins in a report on Monday, December 15th. Finally, Citigroup lifted their price target on Cummins from $530.00 to $580.00 and gave the company a “buy” rating in a report on Thursday, December 11th.

Insider Activity

In other news, CEO Jennifer Rumsey sold 4,570 shares of the firm’s stock in a transaction on Tuesday, November 11th. The shares were sold at an average price of $473.89, for a total transaction of $2,165,677.30. Following the transaction, the chief executive officer owned 42,880 shares in the company, valued at approximately $20,320,403.20. This trade represents a 9.63% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Brett Michael Merritt sold 1,450 shares of the company’s stock in a transaction on Tuesday, November 25th. The stock was sold at an average price of $489.32, for a total transaction of $709,514.00. Following the completion of the sale, the insider owned 9,271 shares of the company’s stock, valued at $4,536,485.72. This represents a 13.52% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 27,330 shares of company stock worth $12,649,764 in the last ninety days. Corporate insiders own 0.41% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the stock. Flagship Wealth Advisors LLC acquired a new position in Cummins during the third quarter valued at approximately $28,000. Osterweis Capital Management Inc. acquired a new stake in shares of Cummins in the second quarter valued at about $31,000. Guerra Advisors Inc bought a new position in shares of Cummins in the third quarter worth about $36,000. Salomon & Ludwin LLC lifted its position in shares of Cummins by 1,333.3% during the 3rd quarter. Salomon & Ludwin LLC now owns 86 shares of the company’s stock worth $37,000 after purchasing an additional 80 shares during the last quarter. Finally, Caitong International Asset Management Co. Ltd bought a new stake in Cummins during the 3rd quarter valued at approximately $37,000. Institutional investors and hedge funds own 83.46% of the company’s stock.

Cummins Stock Performance

Shares of NYSE CMI opened at $514.28 on Thursday. The company has a quick ratio of 1.11, a current ratio of 1.77 and a debt-to-equity ratio of 0.52. The stock has a market capitalization of $70.99 billion, a P/E ratio of 26.69, a P/E/G ratio of 2.04 and a beta of 1.10. Cummins has a 52-week low of $260.02 and a 52-week high of $526.50. The firm’s 50-day moving average price is $479.48 and its two-hundred day moving average price is $415.63.

Cummins (NYSE:CMI) last posted its quarterly earnings data on Thursday, November 6th. The company reported $5.59 earnings per share for the quarter, beating the consensus estimate of $4.83 by $0.76. The company had revenue of $8.32 billion during the quarter, compared to analyst estimates of $7.97 billion. Cummins had a net margin of 7.95% and a return on equity of 26.02%. The business’s revenue for the quarter was down 1.6% on a year-over-year basis. During the same quarter last year, the firm posted $5.86 EPS. As a group, sell-side analysts forecast that Cummins will post 22.54 earnings per share for the current year.

Cummins Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, December 4th. Shareholders of record on Friday, November 21st were paid a $2.00 dividend. This represents a $8.00 annualized dividend and a yield of 1.6%. The ex-dividend date was Friday, November 21st. Cummins’s dividend payout ratio is currently 41.52%.

About Cummins

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.