Cummins Inc. (NYSE:CMI) VP Sells $201,827.60 in Stock

Key Points

• VP Jennifer Mary Bush of Cummins Inc. sold 520 shares of the company's stock for approximately $201,827.60, reducing her ownership stake by 3.32%.
• Cummins Inc. reported $6.43 earnings per share (EPS) for the latest quarter, exceeding analyst expectations of $5.21, despite a 1.7% decline in revenue from the previous year.
• The company has increased its quarterly dividend to $2.00 per share, up from $1.82, reflecting a 2.0% dividend yield and a payout ratio of 34.23%.

Cummins Inc. (NYSE:CMI - Get Free Report) VP Jennifer Mary Bush sold 520 shares of the business's stock in a transaction that occurred on Friday, August 8th. The shares were sold at an average price of $388.13, for a total transaction of $201,827.60. Following the completion of the sale, the vice president owned 15,130 shares of the company's stock, valued at approximately $5,872,406.90. The trade was a 3.32% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink.

Cummins Price Performance

Cummins stock traded down $6.35 during trading hours on Friday, hitting $398.45. 701,253 shares of the company traded hands, compared to its average volume of 1,050,250. Cummins Inc. has a 1-year low of $260.02 and a 1-year high of $408.38. The company has a quick ratio of 1.03, a current ratio of 1.64 and a debt-to-equity ratio of 0.53. The firm's 50-day simple moving average is $347.51 and its two-hundred day simple moving average is $332.91. The firm has a market cap of $54.90 billion, a P/E ratio of 18.73, a P/E/G ratio of 1.95 and a beta of 1.02.

Cummins (NYSE:CMI - Get Free Report) last posted its quarterly earnings data on Tuesday, August 5th. The company reported $6.43 earnings per share for the quarter, beating the consensus estimate of $5.21 by $1.22. Cummins had a net margin of 8.72% and a return on equity of 26.96%. The company had revenue of $8.64 billion during the quarter, compared to analyst estimates of $8.45 billion. During the same quarter last year, the firm posted $5.26 EPS. The business's revenue for the quarter was down 1.7% on a year-over-year basis. As a group, analysts forecast that Cummins Inc. will post 22.54 earnings per share for the current fiscal year.

Cummins Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, September 4th. Shareholders of record on Friday, August 22nd will be issued a $2.00 dividend. The ex-dividend date is Friday, August 22nd. This is a positive change from Cummins's previous quarterly dividend of $1.82. This represents a $8.00 annualized dividend and a dividend yield of 2.0%. Cummins's dividend payout ratio is 34.23%.

Analyst Ratings Changes

CMI has been the topic of a number of research analyst reports. Morgan Stanley increased their price objective on shares of Cummins from $340.00 to $350.00 and gave the company an "overweight" rating in a research note on Tuesday, May 6th. Truist Financial increased their target price on shares of Cummins from $342.00 to $380.00 and gave the stock a "hold" rating in a report on Thursday, August 7th. Wolfe Research raised shares of Cummins from a "hold" rating to an "outperform" rating in a report on Monday, August 11th. The Goldman Sachs Group raised shares of Cummins from a "neutral" rating to a "buy" rating and increased their price objective for the stock from $410.00 to $431.00 in a report on Tuesday, May 27th. Finally, Robert W. Baird increased their price objective on shares of Cummins from $315.00 to $355.00 and gave the stock a "neutral" rating in a report on Friday, July 11th. One equities research analyst has rated the stock with a sell rating, seven have given a hold rating and seven have assigned a buy rating to the company. According to MarketBeat.com, Cummins currently has an average rating of "Hold" and an average target price of $370.83.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the company. Evergreen Capital Management LLC boosted its holdings in shares of Cummins by 3.4% during the second quarter. Evergreen Capital Management LLC now owns 23,913 shares of the company's stock worth $7,831,000 after purchasing an additional 796 shares during the period. 44 Wealth Management LLC boosted its holdings in shares of Cummins by 0.8% during the second quarter. 44 Wealth Management LLC now owns 4,338 shares of the company's stock worth $1,421,000 after purchasing an additional 36 shares during the period. Tower Research Capital LLC TRC raised its position in Cummins by 3.4% during the second quarter. Tower Research Capital LLC TRC now owns 6,022 shares of the company's stock valued at $1,972,000 after acquiring an additional 200 shares in the last quarter. MUFG Securities EMEA plc lifted its stake in Cummins by 1.4% in the second quarter. MUFG Securities EMEA plc now owns 28,404 shares of the company's stock valued at $9,303,000 after acquiring an additional 405 shares during the last quarter. Finally, Resources Management Corp CT ADV lifted its stake in Cummins by 2.3% in the second quarter. Resources Management Corp CT ADV now owns 3,177 shares of the company's stock valued at $1,040,000 after acquiring an additional 72 shares during the last quarter. 83.46% of the stock is currently owned by institutional investors and hedge funds.

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.