Cummins (NYSE:CMI) Price Target Cut to $600.00 by Analysts at JPMorgan Chase & Co.

Key Points

• JPMorgan cut Cummins’ price target from $690 to $600 while maintaining a “neutral” rating, implying approximately 14% upside from the stock’s $526.38 opening price.
• Analyst sentiment remains broadly positive: Cummins has a “Moderate Buy” consensus rating and an average price target of $745.12, supported by 13 Buy ratings and five Holds.
• Cummins recently reported quarterly EPS of $6.73, below the $7.21 consensus estimate, while revenue of $9.46 billion exceeded expectations and rose 9.4% year over year.

Cummins (NYSE:CMI - Get Free Report) had its target price cut by research analysts at JPMorgan Chase & Co. from $690.00 to $600.00 in a note issued to investors on Wednesday, Benzinga reports. The brokerage currently has a "neutral" rating on the stock. JPMorgan Chase & Co.'s target price would indicate a potential upside of 13.99% from the stock's current price.

A number of other equities analysts also recently commented on CMI. DA Davidson upped their target price on Cummins from $605.00 to $750.00 and gave the company a "buy" rating in a report on Thursday, August 6th. Sanford C. Bernstein reissued a "market perform" rating and issued a $700.00 price target on shares of Cummins in a research note on Wednesday, August 5th. Raymond James Financial upped their target price on Cummins from $675.00 to $745.00 and gave the stock an "outperform" rating in a report on Tuesday, May 26th. Argus upped their price objective on shares of Cummins from $696.00 to $770.00 and gave the stock a "buy" rating in a report on Monday, June 1st. Finally, Citigroup lifted their price target on Cummins from $770.00 to $790.00 and gave the stock a "buy" rating in a research report on Tuesday, July 14th. Thirteen investment analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. According to MarketBeat, Cummins has an average rating of "Moderate Buy" and an average target price of $745.12.

Cummins Stock Performance

Shares of CMI stock opened at $526.38 on Wednesday. The company has a debt-to-equity ratio of 0.48, a quick ratio of 1.13 and a current ratio of 1.73. Cummins has a fifty-two week low of $400.72 and a fifty-two week high of $737.76. The company has a market capitalization of $72.46 billion, a P/E ratio of 26.90, a PEG ratio of 1.45 and a beta of 1.23. The stock has a 50 day moving average price of $600.29 and a two-hundred day moving average price of $622.88.

Cummins (NYSE:CMI - Get Free Report) last issued its quarterly earnings data on Tuesday, August 4th. The company reported $6.73 EPS for the quarter, missing the consensus estimate of $7.21 by ($0.48). The firm had revenue of $9.46 billion for the quarter, compared to the consensus estimate of $9.33 billion. Cummins had a net margin of 7.82% and a return on equity of 25.29%. The business's revenue was up 9.4% on a year-over-year basis. During the same period last year, the company posted $6.43 earnings per share. Analysts expect that Cummins will post 30.06 earnings per share for the current year.

Insider Activity

In other news, VP Earl Newsome sold 698 shares of the company's stock in a transaction dated Monday, August 24th. The shares were sold at an average price of $572.22, for a total transaction of $399,409.56. Following the completion of the sale, the vice president owned 4,479 shares of the company's stock, valued at $2,562,973.38. This represents a 13.48% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. 0.30% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Cummins

Institutional investors have recently bought and sold shares of the stock. Cedar Mountain Advisors LLC increased its stake in Cummins by 1,500.0% during the 1st quarter. Cedar Mountain Advisors LLC now owns 48 shares of the company's stock valued at $26,000 after purchasing an additional 45 shares in the last quarter. Persistent Asset Partners Ltd acquired a new stake in Cummins during the 2nd quarter worth about $26,000. Wellington Shields Capital Management LLC purchased a new stake in Cummins during the 4th quarter valued at about $27,000. Key Financial Inc raised its stake in shares of Cummins by 62.5% in the first quarter. Key Financial Inc now owns 52 shares of the company's stock worth $28,000 after purchasing an additional 20 shares during the last quarter. Finally, Elevation Wealth Partners LLC lifted its holdings in shares of Cummins by 91.7% during the second quarter. Elevation Wealth Partners LLC now owns 46 shares of the company's stock worth $33,000 after purchasing an additional 22 shares during the period. 83.46% of the stock is owned by institutional investors.

About Cummins

Cummins Inc is a global power and energy technology company headquartered in Columbus, Indiana. Founded in 1919, the company designs, manufactures, sells and services engines, powertrains and related technologies for commercial vehicles, industrial equipment, mining, construction, agriculture, marine and other applications.

Cummins' products and services include diesel and natural-gas engines, hybrid powertrains, fuel systems, filtration and emission-control technologies, turbochargers, generators and power-generation systems.

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