2,918 Cummins Inc. $CMI Shares Sold by Sterling Capital Management LLC

Key Points

• Sterling Capital Management cut its Cummins stake by 19.5% in the third quarter, selling 2,918 shares and retaining 12,083 shares valued at approximately $6.24 million. Institutional investors and hedge funds collectively own 83.46% of the company.
• Analysts maintain a generally positive outlook, with 13 Buy ratings and five Holds, producing a consensus “Moderate Buy” rating and a $703.18 target price. However, several firms recently lowered their price targets.
• Cummins shares opened at $517.64, while the company reported quarterly revenue of $9.46 billion—above estimates—but earnings per share of $6.73 missed expectations. The company also announced a quarterly dividend of $2.20 per share, representing a 1.7% yield.

Sterling Capital Management LLC lowered its stake in shares of Cummins Inc. (NYSE:CMI - Free Report) by 19.5% during the third quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 12,083 shares of the company's stock after selling 2,918 shares during the period. Sterling Capital Management LLC's holdings in Cummins were worth $6,242,000 as of its most recent filing with the Securities and Exchange Commission.

Several other institutional investors and hedge funds also recently added to or reduced their stakes in the stock. Cedar Mountain Advisors LLC increased its holdings in Cummins by 1,500.0% in the first quarter. Cedar Mountain Advisors LLC now owns 48 shares of the company's stock valued at $26,000 after buying an additional 45 shares in the last quarter. Persistent Asset Partners Ltd acquired a new stake in shares of Cummins during the 2nd quarter valued at approximately $26,000. Key Financial Inc boosted its stake in shares of Cummins by 62.5% during the 1st quarter. Key Financial Inc now owns 52 shares of the company's stock worth $28,000 after acquiring an additional 20 shares in the last quarter. Elevation Wealth Partners LLC boosted its stake in shares of Cummins by 91.7% during the 2nd quarter. Elevation Wealth Partners LLC now owns 46 shares of the company's stock worth $33,000 after acquiring an additional 22 shares in the last quarter. Finally, Scarborough Advisors LLC purchased a new stake in shares of Cummins during the 1st quarter worth approximately $43,000. 83.46% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling

In other Cummins news, VP Earl Newsome sold 698 shares of the firm's stock in a transaction on Monday, August 24th. The stock was sold at an average price of $572.22, for a total transaction of $399,409.56. Following the completion of the transaction, the vice president owned 4,479 shares of the company's stock, valued at approximately $2,562,973.38. This trade represents a 13.48% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Company insiders own 0.30% of the company's stock.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently weighed in on the company. Bank of America lowered their price target on Cummins from $731.00 to $600.00 in a report on Thursday, September 24th. Citigroup reduced their price objective on Cummins from $790.00 to $630.00 and set a "buy" rating for the company in a report on Monday, October 12th. Barclays decreased their target price on Cummins from $760.00 to $675.00 and set an "overweight" rating on the stock in a research report on Monday, October 19th. UBS Group decreased their target price on Cummins from $835.00 to $741.00 and set a "buy" rating on the stock in a research report on Wednesday, September 30th. Finally, Truist Financial lowered their target price on Cummins from $894.00 to $779.00 and set a "buy" rating on the stock in a report on Monday, October 5th. Thirteen equities research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company. According to MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $703.18.

Cummins Stock Down 0.4%

CMI stock opened at $517.64 on Friday. The company's 50 day simple moving average is $545.26 and its 200-day simple moving average is $619.42. The firm has a market capitalization of $71.26 billion, a PE ratio of 26.45, a P/E/G ratio of 1.37 and a beta of 1.24. Cummins Inc. has a 12 month low of $413.98 and a 12 month high of $737.76. The company has a debt-to-equity ratio of 0.48, a current ratio of 1.73 and a quick ratio of 1.13.

Cummins (NYSE:CMI - Get Free Report) last issued its quarterly earnings data on Tuesday, August 4th. The company reported $6.73 earnings per share for the quarter, missing analysts' consensus estimates of $7.21 by ($0.48). Cummins had a return on equity of 25.29% and a net margin of 7.82%. The business had revenue of $9.46 billion for the quarter, compared to analysts' expectations of $9.33 billion. During the same period last year, the business earned $6.43 earnings per share. The company's revenue for the quarter was up 9.4% on a year-over-year basis. Equities analysts expect that Cummins Inc. will post 29.98 earnings per share for the current fiscal year.

Cummins Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, December 3rd. Shareholders of record on Friday, November 20th will be issued a dividend of $2.20 per share. This represents a $8.80 dividend on an annualized basis and a yield of 1.7%. The ex-dividend date is Friday, November 20th. Cummins's dividend payout ratio is 44.97%.

Cummins Profile

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

Cummins' product portfolio includes diesel and natural gas engines, generators and other power-generation equipment, as well as fuel systems, filtration products, emissions-control systems, turbochargers and drivetrain components.

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