Cummins Inc. (NYSE:CMI) Given Average Recommendation of “Hold” by Analysts

Shares of Cummins Inc. (NYSE:CMI) have been assigned a consensus recommendation of “Hold” from the thirteen research firms that are presently covering the company, Marketbeat reports. Two research analysts have rated the stock with a sell rating, six have given a hold rating and five have given a buy rating to the company. The average 12-month price objective among brokerages that have updated their coverage on the stock in the last year is $334.33.

CMI has been the topic of several research reports. Truist Financial lifted their price objective on Cummins from $349.00 to $371.00 and gave the company a “hold” rating in a research report on Wednesday, October 9th. StockNews.com upgraded Cummins from a “buy” rating to a “strong-buy” rating in a report on Wednesday, November 6th. The Goldman Sachs Group boosted their target price on shares of Cummins from $324.00 to $370.00 and gave the company a “neutral” rating in a report on Wednesday, November 6th. Vertical Research lowered shares of Cummins from a “buy” rating to a “hold” rating and set a $350.00 price target for the company. in a research note on Wednesday, November 6th. Finally, JPMorgan Chase & Co. boosted their price objective on shares of Cummins from $285.00 to $340.00 and gave the stock an “underweight” rating in a research note on Friday, October 11th.

Insider Activity at Cummins

In other news, VP Sharon R. Barner sold 2,001 shares of the stock in a transaction on Monday, November 11th. The stock was sold at an average price of $358.43, for a total transaction of $717,218.43. Following the transaction, the vice president now directly owns 20,803 shares of the company’s stock, valued at $7,456,419.29. This represents a 8.77 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, SVP Tony Satterthwaite sold 24,250 shares of the firm’s stock in a transaction on Friday, August 23rd. The stock was sold at an average price of $308.24, for a total value of $7,474,820.00. Following the completion of the transaction, the senior vice president now owns 77,442 shares in the company, valued at approximately $23,870,722.08. This trade represents a 23.85 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 28,576 shares of company stock valued at $9,033,945 over the last ninety days. Insiders own 0.56% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of the company. Cultivar Capital Inc. purchased a new stake in shares of Cummins in the 2nd quarter worth $28,000. Prospera Private Wealth LLC bought a new position in shares of Cummins in the third quarter worth about $32,000. CarsonAllaria Wealth Management Ltd. purchased a new position in shares of Cummins during the 2nd quarter valued at about $28,000. Lynx Investment Advisory bought a new position in shares of Cummins during the 2nd quarter valued at approximately $29,000. Finally, LRI Investments LLC purchased a new stake in Cummins in the 1st quarter worth approximately $31,000. Institutional investors own 83.46% of the company’s stock.

Cummins Stock Performance

Shares of CMI stock opened at $361.73 on Wednesday. The firm has a market capitalization of $49.62 billion, a price-to-earnings ratio of 23.89, a PEG ratio of 1.77 and a beta of 0.97. The stock has a fifty day moving average of $331.59 and a 200 day moving average of $302.93. Cummins has a 52 week low of $220.02 and a 52 week high of $370.21. The company has a quick ratio of 0.79, a current ratio of 1.32 and a debt-to-equity ratio of 0.43.

Cummins (NYSE:CMI) last posted its earnings results on Tuesday, November 5th. The company reported $5.86 EPS for the quarter, topping the consensus estimate of $4.89 by $0.97. Cummins had a net margin of 6.13% and a return on equity of 26.86%. The firm had revenue of $8.46 billion during the quarter, compared to analysts’ expectations of $8.29 billion. During the same period last year, the company posted $4.73 EPS. The company’s quarterly revenue was up .3% compared to the same quarter last year. As a group, research analysts expect that Cummins will post 20.57 earnings per share for the current year.

Cummins Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, December 5th. Stockholders of record on Friday, November 22nd will be issued a dividend of $1.82 per share. This represents a $7.28 dividend on an annualized basis and a dividend yield of 2.01%. The ex-dividend date of this dividend is Friday, November 22nd. Cummins’s payout ratio is currently 48.08%.

About Cummins

Cummins Inc designs, manufactures, distributes, and services diesel and natural gas engines, electric and hybrid powertrains, and related components worldwide. It operates through five segments: Engine, Distribution, Components, Power Systems, and Accelera. The company offers diesel and natural gas-powered engines under the Cummins and other customer brands for the heavy and medium-duty truck, bus, recreational vehicle, light-duty automotive, construction, mining, marine, rail, oil and gas, defense, and agricultural markets; and offers parts and services, as well as remanufactured parts and engines.