Cummins (NYSE:CMI) Raised to “Strong-Buy” at Wall Street Zen

Cummins (NYSE:CMI) was upgraded by research analysts at Wall Street Zen from a “buy” rating to a “strong-buy” rating in a note issued to investors on Saturday.

Other equities research analysts have also issued reports about the company. Weiss Ratings restated a “buy (b-)” rating on shares of Cummins in a research note on Monday, December 29th. Argus set a $696.00 price objective on Cummins in a research note on Tuesday, February 10th. Citigroup boosted their price objective on Cummins from $580.00 to $630.00 and gave the company a “buy” rating in a research note on Tuesday, January 13th. Wolfe Research lowered shares of Cummins from an “outperform” rating to a “peer perform” rating and set a $540.00 target price for the company. in a report on Monday, January 26th. Finally, Zacks Research downgraded shares of Cummins from a “strong-buy” rating to a “hold” rating in a report on Wednesday, January 28th. Eleven investment analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, Cummins currently has a consensus rating of “Moderate Buy” and an average target price of $588.93.

Cummins Price Performance

Shares of NYSE:CMI opened at $584.37 on Friday. The company has a quick ratio of 1.16, a current ratio of 1.76 and a debt-to-equity ratio of 0.51. The stock has a market capitalization of $80.74 billion, a PE ratio of 28.48, a price-to-earnings-growth ratio of 1.86 and a beta of 1.13. The firm’s 50 day moving average price is $566.52 and its 200-day moving average price is $484.51. Cummins has a twelve month low of $260.02 and a twelve month high of $617.98.

Cummins (NYSE:CMI) last announced its earnings results on Thursday, February 5th. The company reported $5.81 earnings per share (EPS) for the quarter, beating 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 previous year, the business posted $5.16 earnings per share. The firm’s quarterly revenue was up 1.1% compared to the same quarter last year. Equities research analysts expect that Cummins will post 22.54 EPS for the current year.

Insider Activity at Cummins

In other Cummins news, VP Earl Newsome sold 1,300 shares of Cummins stock in a transaction on Monday, February 23rd. The shares were sold at an average price of $583.67, for a total value of $758,771.00. Following the sale, the vice president directly owned 3,389 shares in the company, valued at approximately $1,978,057.63. The trade was a 27.72% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, VP Amy Rochelle Davis sold 1,864 shares of the business’s stock in a transaction on Monday, February 23rd. The stock was sold at an average price of $586.64, for a total transaction of $1,093,496.96. Following the completion of the sale, the vice president owned 17,827 shares in the company, valued at approximately $10,458,031.28. The trade was a 9.47% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 27,141 shares of company stock valued at $16,121,817 in the last ninety days. Corporate insiders own 0.41% of the company’s stock.

Institutional Trading of Cummins

Several hedge funds have recently modified their holdings of the company. Northwestern Mutual Wealth Management Co. increased its stake in Cummins by 10,317.7% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 2,458,475 shares of the company’s stock worth $1,254,929,000 after purchasing an additional 2,434,876 shares during the period. Norges Bank purchased a new position in Cummins in the 4th quarter worth about $863,441,000. Boston Partners bought a new stake in Cummins during the 3rd quarter valued at about $473,471,000. London Co. of Virginia bought a new stake in Cummins during the 3rd quarter valued at about $231,732,000. Finally, American Century Companies Inc. grew its stake in Cummins by 138.8% in the 2nd quarter. American Century Companies Inc. now owns 909,653 shares of the company’s stock worth $297,912,000 after acquiring an additional 528,689 shares in the last quarter. 83.46% of the stock is owned by hedge funds and other institutional investors.

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.