Gendell Jeffrey L Makes New $7.28 Million Investment in Cummins Inc. $CMI

Gendell Jeffrey L purchased a new stake in Cummins Inc. (NYSE:CMI) in the second quarter, according to its most recent Form 13F filing with the SEC. The institutional investor purchased 22,240 shares of the company’s stock, valued at approximately $7,284,000. Cummins comprises approximately 0.2% of Gendell Jeffrey L’s portfolio, making the stock its 27th biggest position.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Brighton Jones LLC boosted its holdings in Cummins by 4.1% during the fourth quarter. Brighton Jones LLC now owns 2,112 shares of the company’s stock worth $736,000 after buying an additional 83 shares in the last quarter. National Pension Service lifted its position in shares of Cummins by 8.3% during the 1st quarter. National Pension Service now owns 229,088 shares of the company’s stock valued at $71,805,000 after acquiring an additional 17,473 shares during the last quarter. Caitong International Asset Management Co. Ltd bought a new stake in shares of Cummins during the 1st quarter worth $92,000. Tokio Marine Asset Management Co. Ltd. boosted its stake in shares of Cummins by 4.4% during the 1st quarter. Tokio Marine Asset Management Co. Ltd. now owns 4,403 shares of the company’s stock worth $1,380,000 after acquiring an additional 187 shares in the last quarter. Finally, Kovitz Investment Group Partners LLC grew its holdings in shares of Cummins by 383.7% in the 1st quarter. Kovitz Investment Group Partners LLC now owns 42,457 shares of the company’s stock worth $13,308,000 after acquiring an additional 33,679 shares during the last quarter. 83.46% of the stock is currently owned by institutional investors.

Cummins Stock Performance

Shares of CMI opened at $510.11 on Friday. The company’s 50 day moving average price is $459.47 and its 200 day moving average price is $399.87. Cummins Inc. has a 52 week low of $260.02 and a 52 week high of $526.50. The company has a market capitalization of $70.42 billion, a PE ratio of 26.47, a PEG ratio of 2.06 and a beta of 1.11. The company has a debt-to-equity ratio of 0.52, a quick ratio of 1.11 and a current ratio of 1.77.

Cummins (NYSE:CMI) last posted its quarterly earnings results on Thursday, November 6th. The company reported $5.59 earnings per share for the quarter, topping analysts’ consensus estimates of $4.83 by $0.76. Cummins had a net margin of 7.95% and a return on equity of 26.02%. The business had revenue of $8.32 billion for the quarter, compared to the consensus estimate of $7.97 billion. During the same period in the prior year, the business posted $5.86 earnings per share. Cummins’s revenue for the quarter was down 1.6% compared to the same quarter last year. Research analysts expect that Cummins Inc. will post 22.54 EPS for the current fiscal year.

Cummins Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, December 4th. Stockholders of record on Friday, November 21st were issued a dividend of $2.00 per share. The ex-dividend date was Friday, November 21st. This represents a $8.00 dividend on an annualized basis and a dividend yield of 1.6%. Cummins’s dividend payout ratio (DPR) is currently 41.52%.

Insider Activity at Cummins

In related news, CEO Jennifer Rumsey sold 4,570 shares of the company’s stock in a transaction on Tuesday, November 11th. The shares were sold at an average price of $473.89, for a total value of $2,165,677.30. Following the completion of the sale, the chief executive officer directly owned 42,880 shares in the company, valued at approximately $20,320,403.20. This represents a 9.63% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, insider Brett Michael Merritt sold 1,450 shares of the 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 transaction, the insider directly owned 9,271 shares in the company, valued at $4,536,485.72. The trade was a 13.52% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 36,410 shares of company stock valued at $16,424,574. Insiders own 0.41% of the company’s stock.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently commented on CMI shares. Citigroup upped their target price on Cummins from $530.00 to $580.00 and gave the company a “buy” rating in a report on Thursday. Melius raised shares of Cummins from a “hold” rating to a “buy” rating and set a $500.00 price objective for the company in a research note on Wednesday, September 3rd. Wells Fargo & Company initiated coverage on shares of Cummins in a report on Thursday, November 13th. They issued an “overweight” rating and a $599.00 target price for the company. Evercore ISI restated an “outperform” rating on shares of Cummins in a report on Tuesday, August 19th. Finally, JPMorgan Chase & Co. raised their price objective on shares of Cummins from $400.00 to $460.00 and gave the stock a “neutral” rating in a research note on Tuesday, October 14th. Eleven investment analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the stock. Based on data from MarketBeat, Cummins presently has an average rating of “Moderate Buy” and an average price target of $482.87.

Cummins Company Profile

Cummins Inc designs, manufactures, distributes, and services diesel and natural gas engines, electric and hybrid powertrains, and related components worldwide. It operates through five segments: Engine, Distribution, Components, Power Systems, and Accelera. The company offers diesel and natural gas-powered engines under the Cummins and other customer brands for the heavy and medium-duty truck, bus, recreational vehicle, light-duty automotive, construction, mining, marine, rail, oil and gas, defense, and agricultural markets; and offers parts and services, as well as remanufactured parts and engines.