Caprock Group LLC Makes New $3.21 Million Investment in Cummins Inc. $CMI

Caprock Group LLC bought a new position in Cummins Inc. (NYSE:CMI) during the third quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor bought 8,001 shares of the company’s stock, valued at approximately $3,205,000.

Several other large investors have also recently modified their holdings of CMI. Flagship Wealth Advisors LLC bought a new stake in Cummins during the 3rd quarter valued at about $28,000. Osterweis Capital Management Inc. purchased a new stake in shares of Cummins during the second quarter valued at approximately $31,000. Guerra Advisors Inc bought a new stake in shares of Cummins during the third quarter valued at approximately $36,000. Salomon & Ludwin LLC raised its holdings in Cummins by 1,333.3% in the 3rd quarter. Salomon & Ludwin LLC now owns 86 shares of the company’s stock worth $37,000 after acquiring an additional 80 shares during the last quarter. Finally, Tripletail Wealth Management LLC bought a new position in Cummins in the 3rd quarter valued at approximately $39,000. Hedge funds and other institutional investors own 83.46% of the company’s stock.

Cummins Stock Performance

NYSE:CMI opened at $588.20 on Friday. The stock has a 50-day simple moving average of $548.19 and a two-hundred day simple moving average of $467.67. The company has a debt-to-equity ratio of 0.51, a quick ratio of 1.16 and a current ratio of 1.76. Cummins Inc. has a 52-week low of $260.02 and a 52-week high of $617.98. The firm has a market capitalization of $81.27 billion, a PE ratio of 28.66, a P/E/G ratio of 1.89 and a beta of 1.13.

Cummins (NYSE:CMI) last released its earnings results on Thursday, February 5th. The company reported $5.81 earnings per share (EPS) for the quarter, topping the consensus estimate of $5.17 by $0.64. Cummins had a net margin of 8.44% and a return on equity of 25.71%. The company had revenue of $8.54 billion during the quarter, compared to analyst estimates of $8.09 billion. During the same period in the prior year, the firm posted $5.16 EPS. The firm’s quarterly revenue was up 1.1% compared to the same quarter last year. Analysts forecast that Cummins Inc. will post 22.54 EPS for the current year.

Cummins Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, March 5th. Investors of record on Friday, February 20th will be issued a $2.00 dividend. The ex-dividend date of this dividend is Friday, February 20th. This represents a $8.00 annualized dividend and a yield of 1.4%. Cummins’s dividend payout ratio is currently 38.99%.

Insider Buying and Selling

In other news, insider Brett Michael Merritt sold 1,450 shares of the business’s stock in a transaction dated Tuesday, November 25th. The stock was sold at an average price of $489.32, for a total value 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 sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. 0.41% of the stock is currently owned by corporate insiders.

Wall Street Analyst Weigh In

A number of research firms have commented on CMI. Citigroup lifted their target price on Cummins from $580.00 to $630.00 and gave the stock a “buy” rating in a report on Tuesday, January 13th. Barclays boosted their target price on Cummins from $546.00 to $610.00 and gave the stock an “overweight” rating in a research report on Friday, January 23rd. Wolfe Research downgraded shares of Cummins from an “outperform” rating to a “peer perform” rating and set a $540.00 price target on the stock. in a report on Monday, January 26th. Argus set a $696.00 price objective on shares of Cummins in a report on Tuesday. Finally, Weiss Ratings restated a “buy (b-)” rating on shares of Cummins in a research report on Monday, December 29th. Eleven equities research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $588.93.

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.