66,244 Cummins Inc. $CMI Shares Sold by AEGON ASSET MANAGEMENT UK Plc

Key Points

• AEGON Asset Management UK cut its Cummins stake by 35.2%, selling 66,244 shares in the third quarter and retaining 121,957 shares valued at about $63 million.
• Analyst views were mixed: JPMorgan lowered its price target to $465 and shifted to Neutral, while Truist cut its target to $637 but maintained Buy. The consensus rating remains Moderate Buy, with an average target of $662.18.
• Cummins beat quarterly EPS estimates with $8.25 per share, but revenue of $9.44 billion fell short of expectations. Revenue rose 13.5% year over year, and the company declared a quarterly dividend of $2.20 per share.

AEGON ASSET MANAGEMENT UK Plc lessened its holdings in shares of Cummins Inc. (NYSE:CMI - Free Report) by 35.2% in the third quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 121,957 shares of the company's stock after selling 66,244 shares during the quarter. AEGON ASSET MANAGEMENT UK Plc owned 0.09% of Cummins worth $62,999,000 as of its most recent SEC filing.

Several other institutional investors have also recently bought and sold shares of CMI. Persistent Asset Partners Ltd bought a new position in Cummins in the 2nd quarter valued at about $26,000. Elevation Wealth Partners LLC increased its holdings in 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 purchasing an additional 22 shares in the last quarter. Cornerstone Financial Management LLC increased its holdings in Cummins by 65.8% during the 2nd quarter. Cornerstone Financial Management LLC now owns 63 shares of the company's stock worth $45,000 after purchasing an additional 25 shares in the last quarter. Balance Wealth Partners LLC purchased a new stake in shares of Cummins in the third quarter worth approximately $32,000. Finally, Dunhill Financial LLC purchased a new stake in shares of Cummins in the second quarter worth approximately $46,000. Institutional investors and hedge funds own 83.46% of the company's stock.

Insiders Place Their Bets

In other Cummins news, VP Earl Newsome sold 698 shares of the 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 directly owned 4,479 shares of the company's stock, valued at approximately $2,562,973.38. This represents a 13.48% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Company insiders own 0.30% of the company's stock.

Cummins News Summary

Here are the key news stories impacting Cummins this week:

• Positive Sentiment: AI data-center power demand and a strong order backlog could support growth. However, supply constraints may limit the company’s ability to meet demand. Zacks article
• Neutral Sentiment: Barclays cut its price target to $600 from $675 but maintained an Overweight rating, indicating it still sees potential upside from the referenced share price. Barclays rating information
• Neutral Sentiment: Oppenheimer maintained its Hold rating, while Wells Fargo, Citigroup and Truist also reduced their price targets; the reports provided do not specify the new targets. Oppenheimer rating Wells Fargo target report Citigroup target report Truist target report
• Negative Sentiment: JPMorgan lowered its target sharply, from $600 to $465, and moved to a Neutral rating. The bank’s target is approximately in line with the referenced share price. JPMorgan rating information
• Negative Sentiment: An analysis cited cuts to fair value estimates as analysts trimmed growth and margin expectations. Truck-market weakness is another concern alongside supply constraints. Yahoo Finance article

Analyst Ratings Changes

Several research analysts recently issued reports on the company. JPMorgan Chase & Co. cut their target price on Cummins from $600.00 to $465.00 and set a "neutral" rating on the stock in a research report on Friday. Wall Street Zen raised Cummins from a "hold" rating to a "buy" rating in a research report on Tuesday. Truist Financial dropped their price objective on Cummins from $779.00 to $637.00 and set a "buy" rating on the stock in a research note on Friday. Sanford C. Bernstein reaffirmed a "market perform" rating and set a $700.00 price objective on shares of Cummins in a report on Wednesday, August 5th. Finally, Zacks Research lowered shares of Cummins from a "strong-buy" rating to a "hold" rating in a research note on Monday, July 13th. Thirteen investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. According to data from MarketBeat, Cummins currently has a consensus rating of "Moderate Buy" and an average target price of $662.18.

Cummins Price Performance

Shares of NYSE:CMI opened at $466.73 on Tuesday. The company has a market capitalization of $64.25 billion, a P/E ratio of 19.48, a price-to-earnings-growth ratio of 1.24 and a beta of 1.26. The company's 50-day moving average is $524.50 and its 200 day moving average is $599.03. 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 Inc. has a fifty-two week low of $443.62 and a fifty-two week high of $737.76.

Cummins (NYSE:CMI - Get Free Report) last posted its quarterly earnings data on Thursday, November 5th. The company reported $8.25 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $8.20 by $0.05. The business had revenue of $9.44 billion during the quarter, compared to the consensus estimate of $9.89 billion. Cummins had a net margin of 7.82% and a return on equity of 25.29%. The firm's quarterly revenue was up 13.5% compared to the same quarter last year. During the same quarter last year, the company posted $5.59 earnings per share. On average, equities research analysts forecast that Cummins Inc. will post 29.98 earnings per share for the current year.

Cummins Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, December 3rd. Investors of record on Friday, November 20th will be paid a $2.20 dividend. The ex-dividend date is Friday, November 20th. This represents a $8.80 annualized dividend and a yield of 1.9%. Cummins's dividend payout ratio is presently 36.73%.

About Cummins

Cummins Inc is a global power technology company founded in 1919 and headquartered in Columbus, Indiana. It designs, manufactures, distributes and services products used in commercial vehicles, industrial equipment, power generation and other applications.

The company's offerings include diesel and natural gas engines, power generation systems, and components such as filtration, turbochargers and emissions-control systems. Through its Accelera business, Cummins also develops technologies including batteries, fuel cells and electrolyzers for lower-emission power and transportation.

Cummins serves customers in markets around the world through manufacturing operations, distribution networks and service locations.

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