Cummins Inc. (NYSE:CMI) Receives Consensus Recommendation of "Hold" from Brokerages

Shares of Cummins Inc. (NYSE:CMI - Get Free Report) have earned an average rating of "Hold" from the thirteen analysts that are covering the company, Marketbeat Ratings reports. One research analyst has rated the stock with a sell recommendation, seven have assigned a hold recommendation and five have assigned a buy recommendation to the company. The average 1 year price target among brokerages that have covered the stock in the last year is $357.25.

A number of analysts recently commented on the company. Robert W. Baird dropped their price objective on Cummins from $407.00 to $315.00 and set a "neutral" rating for the company in a research report on Tuesday, April 15th. Wall Street Zen lowered Cummins from a "buy" rating to a "hold" rating in a research note on Tuesday, March 25th. The Goldman Sachs Group raised Cummins from a "neutral" rating to a "buy" rating and raised their price target for the stock from $410.00 to $431.00 in a research note on Tuesday, May 27th. Citigroup raised their price target on Cummins from $320.00 to $350.00 and gave the stock a "buy" rating in a research note on Monday, May 12th. Finally, Truist Financial decreased their price target on Cummins from $420.00 to $338.00 and set a "hold" rating on the stock in a research note on Tuesday, April 8th.

Cummins Trading Up 1.1%

Cummins stock opened at $326.74 on Friday. The stock has a market cap of $45.01 billion, a PE ratio of 11.60, a P/E/G ratio of 2.19 and a beta of 1.04. The stock has a 50-day moving average price of $304.31 and a 200 day moving average price of $338.38. Cummins has a 52 week low of $260.02 and a 52 week high of $387.90. The company has a current ratio of 1.31, a quick ratio of 0.80 and a debt-to-equity ratio of 0.42.

Cummins (NYSE:CMI - Get Free Report) last posted its quarterly earnings data on Monday, May 5th. The company reported $5.96 EPS for the quarter, topping analysts' consensus estimates of $4.92 by $1.04. The firm had revenue of $8.17 billion during the quarter, compared to analysts' expectations of $8.22 billion. Cummins had a return on equity of 27.12% and a net margin of 11.57%. The firm's quarterly revenue was down 2.7% compared to the same quarter last year. During the same quarter last year, the business posted $5.08 EPS. Equities research analysts predict that Cummins will post 22.54 earnings per share for the current fiscal year.

Cummins Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, June 5th. Stockholders of record on Friday, May 23rd were paid a $1.82 dividend. This represents a $7.28 annualized dividend and a dividend yield of 2.23%. The ex-dividend date of this dividend was Friday, May 23rd. Cummins's dividend payout ratio is currently 36.22%.

Insider Activity

In other news, Director John H. Stone acquired 1,000 shares of Cummins stock in a transaction dated Friday, May 16th. The shares were acquired at an average cost of $332.08 per share, with a total value of $332,080.00. Following the purchase, the director now directly owns 2,441 shares of the company's stock, valued at approximately $810,607.28. This trade represents a 69.40% increase in their position. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Corporate insiders own 0.41% of the company's stock.

Hedge Funds Weigh In On Cummins

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. eCIO Inc. purchased a new position in Cummins in the 1st quarter worth approximately $82,000. Cim LLC boosted its holdings in Cummins by 12.9% in the 1st quarter. Cim LLC now owns 4,962 shares of the company's stock worth $1,555,000 after acquiring an additional 567 shares during the period. Modern Wealth Management LLC boosted its holdings in Cummins by 308.5% in the 1st quarter. Modern Wealth Management LLC now owns 2,267 shares of the company's stock worth $711,000 after acquiring an additional 1,712 shares during the period. Strs Ohio purchased a new position in Cummins in the 1st quarter worth approximately $22,350,000. Finally, Jacobi Capital Management LLC boosted its holdings in Cummins by 2.5% in the 1st quarter. Jacobi Capital Management LLC now owns 10,751 shares of the company's stock worth $3,370,000 after acquiring an additional 260 shares during the period. Hedge funds and other institutional investors own 83.46% of the company's stock.

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.

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