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

Cummins Inc. (NYSE:CMI) has been given an average recommendation of “Moderate Buy” by the seventeen research firms that are presently covering the company, Marketbeat.com reports. Six equities research analysts have rated the stock with a hold rating and eleven have given a buy rating to the company. The average twelve-month price objective among analysts that have issued ratings on the stock in the last year is $588.9333.

CMI has been the topic of a number of analyst reports. Robert W. Baird set a $580.00 price objective on Cummins in a research note on Friday, February 6th. Zacks Research lowered Cummins from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, January 28th. Morgan Stanley reiterated an “overweight” rating and set a $675.00 price objective on shares of Cummins in a research note on Friday, February 6th. Sanford C. Bernstein set a $600.00 price objective on Cummins and gave the company a “market perform” rating in a research note on Friday, February 6th. Finally, 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.

Insider Buying and Selling at Cummins

In related news, VP Amy Rochelle Davis sold 4,054 shares of the business’s stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $561.34, for a total transaction of $2,275,672.36. Following the completion of the transaction, the vice president directly owned 15,807 shares in the company, valued at $8,873,101.38. The trade was a 20.41% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director William I. Miller sold 18,107 shares of the business’s stock in a transaction dated Wednesday, February 11th. The stock was sold at an average price of $597.10, for a total value of $10,811,689.70. Following the transaction, the director owned 34,243 shares of the company’s stock, valued at approximately $20,446,495.30. The trade was a 34.59% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 31,195 shares of company stock valued at $18,397,489 over the last 90 days. Insiders own 0.41% of the company’s stock.

Hedge Funds Weigh In On Cummins

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Rockefeller Capital Management L.P. grew its position in Cummins by 50.1% during the fourth quarter. Rockefeller Capital Management L.P. now owns 83,614 shares of the company’s stock worth $42,681,000 after buying an additional 27,899 shares in the last quarter. World Investment Advisors boosted its holdings in shares of Cummins by 3.2% in the 4th quarter. World Investment Advisors now owns 12,412 shares of the company’s stock worth $6,335,000 after purchasing an additional 385 shares in the last quarter. Demming Financial Services Corp ADV purchased a new position in shares of Cummins in the 4th quarter worth about $678,000. Winthrop Partners WNY LLC purchased a new position in shares of Cummins in the 4th quarter worth about $364,000. Finally, Meadowbrook Advisors Group LLC purchased a new position in shares of Cummins in the 4th quarter worth about $1,872,000. 83.46% of the stock is currently owned by hedge funds and other institutional investors.

Cummins Stock Performance

NYSE:CMI opened at $596.51 on Friday. 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 $262.49 and a 52-week high of $617.98. The firm has a market cap of $82.41 billion, a price-to-earnings ratio of 29.07, a PEG ratio of 1.74 and a beta of 1.14. The business’s fifty day moving average is $566.98 and its 200 day moving average is $513.51.

Cummins (NYSE:CMI) last released its quarterly earnings data on Thursday, February 5th. The company reported $5.81 earnings per share (EPS) for the quarter, beating 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 company had revenue of $8.54 billion for the quarter, compared to analyst estimates of $8.09 billion. During the same period in the previous year, the company posted $5.16 EPS. The firm’s revenue for the quarter was up 1.1% compared to the same quarter last year. Research analysts predict that Cummins will post 22.54 EPS for the current year.

Cummins Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, March 5th. Investors of record on Friday, February 20th were given a dividend of $2.00 per share. This represents a $8.00 annualized dividend and a yield of 1.3%. The ex-dividend date was Friday, February 20th. Cummins’s payout ratio is presently 38.99%.

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.