Cummins Inc. (NYSE:CMI) VP Amy Rochelle Davis Sells 5,002 Shares

Key Points

• Cummins Inc. VP Amy Rochelle Davis sold 5,002 shares of the company's stock for a total of $2,015,205.76, reducing her ownership by 19.43%.
• The company reported quarterly earnings of $6.43 EPS, surpassing estimates and generating $8.64 billion in revenue, though this was down 1.7% compared to the previous year.
• Cummins recently increased its quarterly dividend to $2.00 per share, raising the annual payout to $8.00 with a dividend yield of 2.0%.

Cummins Inc. (NYSE:CMI - Get Free Report) VP Amy Rochelle Davis sold 5,002 shares of the company's stock in a transaction dated Thursday, August 14th. The stock was sold at an average price of $402.88, for a total value of $2,015,205.76. Following the sale, the vice president owned 20,738 shares in the company, valued at $8,354,925.44. The trade was a 19.43% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink.

Cummins Stock Up 0.7%

CMI stock traded up $2.71 during mid-day trading on Monday, reaching $402.13. 485,724 shares of the company traded hands, compared to its average volume of 886,871. The stock has a market cap of $55.41 billion, a price-to-earnings ratio of 18.91, a P/E/G ratio of 1.95 and a beta of 1.02. The company has a quick ratio of 1.03, a current ratio of 1.64 and a debt-to-equity ratio of 0.53. Cummins Inc. has a fifty-two week low of $260.02 and a fifty-two week high of $408.38. The firm's 50 day moving average price is $347.51 and its 200 day moving average price is $332.72.

Cummins (NYSE:CMI - Get Free Report) last posted its earnings results on Tuesday, August 5th. The company reported $6.43 EPS for the quarter, topping 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 firm had revenue of $8.64 billion for the quarter, compared to analysts' expectations of $8.45 billion. During the same quarter last year, the firm earned $5.26 EPS. The company's quarterly revenue was down 1.7% compared to the same quarter last year. As a group, equities research analysts predict that Cummins Inc. will post 22.54 EPS for the current fiscal year.

Cummins Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 4th. Investors of record on Friday, August 22nd will be issued a $2.00 dividend. This is a boost from Cummins's previous quarterly dividend of $1.82. The ex-dividend date of this dividend is Friday, August 22nd. This represents a $8.00 dividend on an annualized basis and a dividend yield of 2.0%. Cummins's payout ratio is presently 34.23%.

Institutional Investors Weigh In On Cummins

A number of hedge funds have recently modified their holdings of CMI. Hudson Bay Capital Management LP raised its holdings in Cummins by 9.3% during the 2nd quarter. Hudson Bay Capital Management LP now owns 25,183 shares of the company's stock valued at $8,247,000 after acquiring an additional 2,143 shares during the period. Geneos Wealth Management Inc. raised its holdings in Cummins by 14.9% during the 2nd quarter. Geneos Wealth Management Inc. now owns 8,116 shares of the company's stock valued at $2,658,000 after acquiring an additional 1,051 shares during the period. Hollencrest Capital Management raised its holdings in Cummins by 515.3% during the 2nd quarter. Hollencrest Capital Management now owns 363 shares of the company's stock valued at $119,000 after acquiring an additional 304 shares during the period. Caxton Associates LLP raised its holdings in Cummins by 19.1% during the 2nd quarter. Caxton Associates LLP now owns 1,636 shares of the company's stock valued at $536,000 after acquiring an additional 262 shares during the period. Finally, CYBER HORNET ETFs LLC bought a new stake in Cummins during the 2nd quarter valued at $122,000. Institutional investors own 83.46% of the company's stock.

Analyst Upgrades and Downgrades

Several equities analysts have recently commented on CMI shares. Wolfe Research raised Cummins from a "peer perform" rating to an "outperform" rating in a research report on Monday, August 11th. Truist Financial boosted their price target on Cummins from $342.00 to $380.00 and gave the company a "hold" rating in a research note on Thursday, August 7th. Wells Fargo & Company upgraded Cummins to an "overweight" rating in a research note on Monday, August 11th. Barclays upped their target price on Cummins from $381.00 to $387.00 and gave the stock an "equal weight" rating in a research note on Monday, July 21st. Finally, The Goldman Sachs Group upgraded Cummins from a "neutral" rating to a "buy" rating and upped their target price for the stock from $410.00 to $431.00 in a research note on Tuesday, May 27th. One analyst has rated the stock with a sell rating, seven have assigned a hold rating and seven have issued a buy rating to the company's stock. According to MarketBeat.com, the stock has an average rating of "Hold" and a consensus price target of $370.83.

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.