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

Shares of Cummins Inc. (NYSE:CMI) have been assigned an average recommendation of “Hold” from the fourteen brokerages that are presently covering the firm, Marketbeat.com reports. One equities research analyst has rated the stock with a sell recommendation, seven have issued a hold recommendation and six have assigned a buy recommendation to the company. The average twelve-month price objective among brokerages that have covered the stock in the last year is $356.92.

A number of brokerages recently commented on CMI. Vertical Research cut shares of Cummins from a “buy” rating to a “hold” rating and set a $350.00 target price on the stock. in a research report on Wednesday, November 6th. StockNews.com upgraded Cummins from a “buy” rating to a “strong-buy” rating in a report on Wednesday, November 6th. Robert W. Baird increased their target price on Cummins from $330.00 to $372.00 and gave the company a “neutral” rating in a report on Wednesday, November 6th. Citigroup lifted their price target on Cummins from $415.00 to $435.00 and gave the stock a “buy” rating in a research note on Monday, December 9th. Finally, JPMorgan Chase & Co. upgraded Cummins from an “underweight” rating to a “neutral” rating and boosted their price objective for the company from $355.00 to $420.00 in a research report on Monday, December 9th.

Insider Buying and Selling

In other Cummins news, VP Sharon R. Barner sold 2,163 shares of the company’s stock in a transaction that occurred on Thursday, November 21st. The stock was sold at an average price of $369.12, for a total transaction of $798,406.56. Following the transaction, the vice president now owns 20,803 shares in the company, valued at approximately $7,678,803.36. This represents a 9.42 % decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders sold a total of 6,489 shares of company stock valued at $2,357,531 over the last three months. Corporate insiders own 0.56% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in the company. CarsonAllaria Wealth Management Ltd. bought a new stake in shares of Cummins during the 2nd quarter valued at $28,000. Cultivar Capital Inc. bought a new stake in Cummins during the second quarter worth about $28,000. Prospera Private Wealth LLC purchased a new stake in Cummins in the third quarter worth about $32,000. Kathleen S. Wright Associates Inc. bought a new position in shares of Cummins during the third quarter valued at approximately $34,000. Finally, Gradient Investments LLC lifted its holdings in shares of Cummins by 290.0% during the second quarter. Gradient Investments LLC now owns 156 shares of the company’s stock valued at $43,000 after purchasing an additional 116 shares during the last quarter. Hedge funds and other institutional investors own 83.46% of the company’s stock.

Cummins Price Performance

Shares of Cummins stock opened at $351.38 on Friday. The business’s 50-day moving average price is $355.53 and its 200-day moving average price is $316.44. The firm has a market capitalization of $48.20 billion, a PE ratio of 23.21, a price-to-earnings-growth ratio of 1.80 and a beta of 0.99. Cummins has a 12 month low of $226.52 and a 12 month high of $387.90. The company has a current ratio of 1.32, a quick ratio of 0.79 and a debt-to-equity ratio of 0.43.

Cummins (NYSE:CMI) last issued its quarterly earnings results on Tuesday, November 5th. The company reported $5.86 EPS for the quarter, beating analysts’ consensus estimates of $4.89 by $0.97. The business had revenue of $8.46 billion for the quarter, compared to analysts’ expectations of $8.29 billion. Cummins had a net margin of 6.13% and a return on equity of 26.86%. The business’s quarterly revenue was up .3% on a year-over-year basis. During the same period last year, the business earned $4.73 earnings per share. Sell-side analysts forecast that Cummins will post 20.75 EPS for the current fiscal year.

Cummins Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Thursday, December 5th. Investors of record on Friday, November 22nd were given a dividend of $1.82 per share. This represents a $7.28 annualized dividend and a dividend yield of 2.07%. The ex-dividend date of this dividend was Friday, November 22nd. Cummins’s dividend payout ratio is currently 48.08%.

Cummins Company Profile

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.