Brokerages Set Cummins Inc. (NYSE:CMI) Target Price at $588.93

Cummins Inc. (NYSE:CMI) has been assigned an average rating of “Moderate Buy” from the seventeen research firms that are currently covering the company, Marketbeat Ratings reports. Six equities research analysts have rated the stock with a hold rating and eleven have issued a buy rating on the company. The average 12-month target price among brokerages that have issued a report on the stock in the last year is $588.9333.

Several brokerages recently commented on CMI. Citigroup increased their target price on shares of Cummins from $580.00 to $630.00 and gave the stock a “buy” rating in a report on Tuesday, January 13th. Argus set a $696.00 price objective on shares of Cummins in a research note on Tuesday, February 10th. Barclays lifted their target price on Cummins from $546.00 to $610.00 and gave the company an “overweight” rating in a research report on Friday, January 23rd. Raymond James Financial upped their target price on Cummins from $585.00 to $675.00 and gave the stock an “outperform” rating in a report on Monday, February 9th. Finally, Truist Financial restated a “buy” rating and issued a $703.00 price target (up from $653.00) on shares of Cummins in a research note on Friday, February 6th.

Insiders Place Their Bets

In other news, Director William I. Miller sold 18,107 shares of Cummins stock in a transaction dated Wednesday, February 11th. The shares were sold at an average price of $597.10, for a total value of $10,811,689.70. Following the completion of the transaction, the director owned 34,243 shares of the company’s stock, valued at $20,446,495.30. This trade represents a 34.59% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, 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 transaction of $709,514.00. Following the transaction, the insider owned 9,271 shares in the company, valued at $4,536,485.72. This represents a 13.52% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 0.41% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Brighton Jones LLC increased its holdings in shares of Cummins by 4.1% in the fourth quarter. Brighton Jones LLC now owns 2,112 shares of the company’s stock valued at $736,000 after purchasing an additional 83 shares during the last quarter. Intech Investment Management LLC boosted its holdings in shares of Cummins by 40.8% during the 1st quarter. Intech Investment Management LLC now owns 3,956 shares of the company’s stock worth $1,240,000 after buying an additional 1,146 shares during the period. Sequoia Financial Advisors LLC grew its stake in Cummins by 1.2% in the 2nd quarter. Sequoia Financial Advisors LLC now owns 4,028 shares of the company’s stock valued at $1,319,000 after buying an additional 49 shares during the last quarter. NorthRock Partners LLC raised its holdings in Cummins by 34.2% in the 2nd quarter. NorthRock Partners LLC now owns 1,290 shares of the company’s stock valued at $422,000 after acquiring an additional 329 shares during the period. Finally, Wilmington Savings Fund Society FSB raised its holdings in Cummins by 5.5% in the 2nd quarter. Wilmington Savings Fund Society FSB now owns 3,740 shares of the company’s stock valued at $1,225,000 after acquiring an additional 194 shares during the period. 83.46% of the stock is currently owned by institutional investors.

Key Stories Impacting Cummins

Here are the key news stories impacting Cummins this week:

• Positive Sentiment: Zacks and MSN pieces highlight Cummins as a long‑term growth name—citing durable aftermarket, electrification and service revenue tailwinds that support higher earnings visibility. Why Cummins (CMI) is a Top Growth Stock for the Long-Term
• Positive Sentiment: Zacks also profiles CMI as a strong momentum stock—technical strength and recent earnings upside are cited as reasons momentum investors favor the name. Here’s Why Cummins (CMI) is a Strong Momentum Stock
• Positive Sentiment: MSN feature articles present Cummins as both a top growth and top value pick for long‑term investors, reinforcing buyside interest across styles. MSN Growth Article MSN Value Article
• Positive Sentiment: Brokerage coverage aggregate is favorable—Cummins carries an average recommendation of “Moderate Buy,” which supports demand from institutional investors. Average Recommendation: Moderate Buy
• Neutral Sentiment: An earnings‑call recap (top 5 analyst questions) provides detail on management’s outlook and execution priorities; useful for gauging forward guidance but not an immediate catalyst. Earnings Call Q&A
• Negative Sentiment: Director William I. Miller sold ~18,107 shares (~34.6% reduction in his position) at ~$597 each—insider selling can be read negatively by some investors even though it may be routine. SEC Filing: Insider Sale
• Negative Sentiment: Halper Sadeh LLC has issued an outreach encouraging shareholders to contact them—suggests potential shareholder litigation or activism, which could be a distraction or cost overhang. Halper Sadeh Notice
• Negative Sentiment: TipRanks notes heightened risk from trade tensions (tariffs, sanctions, supply‑chain disruption) that could pressure margins and global sales—an important macro risk to monitor. TipRanks: Trade Tensions

Cummins Stock Up 2.0%

Shares of Cummins stock opened at $600.30 on Friday. The firm has a market cap of $82.94 billion, a PE ratio of 29.25, a P/E/G ratio of 1.90 and a beta of 1.13. The business’s 50 day simple moving average is $549.99 and its 200 day simple moving average is $470.71. 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 has a 52-week low of $260.02 and a 52-week high of $617.98.

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

Cummins Announces Dividend

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 paid a $2.00 dividend. The ex-dividend date of this dividend is Friday, February 20th. This represents a $8.00 annualized dividend and a dividend yield of 1.3%. Cummins’s dividend payout ratio (DPR) is currently 38.99%.

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.