Insider Selling: Cummins (NYSE:CMI) VP Sells 1,860 Shares of Stock

Cummins Inc. (NYSE:CMI) VP Robert Enright sold 1,860 shares of the stock in a transaction on Friday, August 22nd. The stock was sold at an average price of $402.26, for a total value of $748,203.60. Following the completion of the sale, the vice president owned 955 shares of the company’s stock, valued at $384,158.30. The trade was a 66.07% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website.

Cummins Price Performance

Shares of Cummins stock traded up $2.15 during trading on Tuesday, reaching $398.25. 270,070 shares of the stock traded hands, compared to its average volume of 877,038. The company has a market capitalization of $54.87 billion, a price-to-earnings ratio of 18.72, a P/E/G ratio of 1.94 and a beta of 1.02. The business has a fifty day simple moving average of $356.51 and a two-hundred day simple moving average of $334.21. The company has a debt-to-equity ratio of 0.53, a current ratio of 1.64 and a quick ratio of 1.03. Cummins Inc. has a 52-week low of $260.02 and a 52-week high of $408.38.

Cummins (NYSE:CMI) last announced its quarterly earnings results on Tuesday, August 5th. The company reported $6.43 EPS for the quarter, beating analysts’ consensus estimates of $5.21 by $1.22. Cummins had a net margin of 8.72% and a return on equity of 26.96%. The firm had revenue of $8.64 billion during the quarter, compared to the consensus estimate of $8.45 billion. During the same quarter last year, the firm earned $5.26 EPS. The firm’s revenue for the quarter was down 1.7% compared to the same quarter last year. Sell-side analysts expect that Cummins Inc. will post 22.54 EPS for the current year.

Cummins Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 4th. Investors of record on Friday, August 22nd will be issued a $2.00 dividend. This represents a $8.00 dividend on an annualized basis and a dividend yield of 2.0%. The ex-dividend date of this dividend is Friday, August 22nd. This is a positive change from Cummins’s previous quarterly dividend of $1.82. Cummins’s payout ratio is 37.61%.

Analyst Upgrades and Downgrades

A number of research analysts recently commented on the stock. Citigroup increased their price target on shares of Cummins from $380.00 to $425.00 and gave the company a “buy” rating in a report on Wednesday, August 6th. The Goldman Sachs Group raised shares of Cummins from a “neutral” rating to a “buy” rating and raised their price objective for the stock from $410.00 to $431.00 in a research note on Tuesday, May 27th. Wells Fargo & Company raised shares of Cummins to an “overweight” rating in a research note on Monday, August 11th. Barclays raised their price objective on shares of Cummins from $381.00 to $387.00 and gave the stock an “equal weight” rating in a research note on Monday, July 21st. Finally, Evercore ISI reissued an “outperform” rating on shares of Cummins in a research note on Tuesday, August 19th. Seven research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, Cummins presently has a consensus rating of “Hold” and an average target price of $370.83.

Hedge Funds Weigh In On Cummins

Institutional investors have recently modified their holdings of the stock. Olde Wealth Management LLC purchased a new position in shares of Cummins during the first quarter worth approximately $30,000. Accredited Wealth Management LLC purchased a new position in shares of Cummins during the first quarter worth approximately $31,000. Osterweis Capital Management Inc. purchased a new position in shares of Cummins during the second quarter worth approximately $31,000. Capital A Wealth Management LLC purchased a new position in shares of Cummins during the fourth quarter worth approximately $32,000. Finally, Opal Wealth Advisors LLC purchased a new position in shares of Cummins during the first quarter worth approximately $37,000. 83.46% of the stock is owned by hedge funds and other institutional investors.

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.