Cummins Inc. (NYSE:CMI) Receives Consensus Recommendation of “Moderate Buy” from Analysts

Shares of Cummins Inc. (NYSE:CMI) have earned a consensus rating of “Moderate Buy” from the sixteen brokerages that are presently covering the firm, MarketBeat reports. Four analysts have rated the stock with a hold recommendation, eleven have issued a buy recommendation and one has assigned a strong buy recommendation to the company. The average twelve-month target price among analysts that have issued ratings on the stock in the last year is $731.8571.

CMI has been the subject of a number of recent research reports. Zacks Research raised Cummins from a “hold” rating to a “strong-buy” rating in a research note on Thursday, May 7th. Wall Street Zen downgraded Cummins from a “strong-buy” rating to a “buy” rating in a research note on Sunday, March 8th. UBS Group reaffirmed a “buy” rating on shares of Cummins in a research note on Wednesday. Truist Financial set a $815.00 price target on Cummins in a research note on Wednesday, May 6th. Finally, Citigroup raised their price target on Cummins from $710.00 to $770.00 and gave the stock a “buy” rating in a research note on Wednesday, May 6th.

Cummins Stock Up 2.6%

Shares of Cummins stock opened at $718.51 on Thursday. The stock has a 50-day moving average price of $657.38 and a 200 day moving average price of $588.25. The company has a market cap of $99.15 billion, a P/E ratio of 37.29, a P/E/G ratio of 1.71 and a beta of 1.23. The company has a current ratio of 1.71, a quick ratio of 1.11 and a debt-to-equity ratio of 0.50. Cummins has a 1 year low of $307.90 and a 1 year high of $733.48.

Cummins (NYSE:CMI) last announced its quarterly earnings data on Tuesday, May 5th. The company reported $6.15 earnings per share (EPS) for the quarter, topping the consensus estimate of $5.63 by $0.52. The firm had revenue of $8.40 billion during the quarter, compared to the consensus estimate of $8.37 billion. Cummins had a return on equity of 25.25% and a net margin of 7.89%.The business’s revenue for the quarter was up 2.7% on a year-over-year basis. During the same period in the prior year, the business earned $5.96 EPS. As a group, analysts expect that Cummins will post 29.29 EPS for the current fiscal year.

Cummins Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, June 4th. Stockholders of record on Friday, May 22nd were paid a dividend of $2.00 per share. The ex-dividend date of this dividend was Friday, May 22nd. This represents a $8.00 dividend on an annualized basis and a dividend yield of 1.1%. Cummins’s dividend payout ratio (DPR) is 41.52%.

Insider Activity at Cummins

In other news, VP Nathan R. Stoner sold 607 shares of the stock in a transaction dated Monday, May 11th. The stock was sold at an average price of $694.06, for a total transaction of $421,294.42. Following the transaction, the vice president owned 9,447 shares of the company’s stock, valued at approximately $6,556,784.82. This represents a 6.04% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, EVP Bonnie J. Fetch sold 652 shares of the stock in a transaction dated Monday, May 11th. The shares were sold at an average price of $700.19, for a total value of $456,523.88. Following the transaction, the executive vice president directly owned 11,679 shares in the company, valued at approximately $8,177,519.01. This represents a 5.29% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 13,579 shares of company stock worth $9,377,684. 0.30% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in CMI. Brighton Jones LLC grew its holdings in Cummins by 4.1% in the 4th quarter. Brighton Jones LLC now owns 2,112 shares of the company’s stock valued at $736,000 after buying an additional 83 shares during the last quarter. Intech Investment Management LLC grew its holdings in Cummins by 40.8% in the 1st quarter. Intech Investment Management LLC now owns 3,956 shares of the company’s stock valued at $1,240,000 after buying an additional 1,146 shares during the last quarter. Treasurer of the State of North Carolina grew its holdings in Cummins by 2.8% in the 2nd quarter. Treasurer of the State of North Carolina now owns 64,289 shares of the company’s stock valued at $21,055,000 after buying an additional 1,759 shares during the last quarter. ICW Investment Advisors LLC acquired a new stake in Cummins in the 2nd quarter valued at approximately $225,000. Finally, Osterweis Capital Management Inc. acquired a new stake in Cummins in the 2nd quarter valued at approximately $31,000. Institutional investors and hedge funds own 83.46% of the company’s stock.

Cummins Company Profile

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.