Adage Capital Partners GP L.L.C. Cuts Stake in Cummins Inc. $CMI

Adage Capital Partners GP L.L.C. lessened its holdings in shares of Cummins Inc. (NYSE:CMI - Free Report) by 86.5% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 17,287 shares of the company's stock after selling 110,879 shares during the quarter. Adage Capital Partners GP L.L.C.'s holdings in Cummins were worth $5,418,000 at the end of the most recent quarter.

A number of other large investors have also recently modified their holdings of CMI. Federation des caisses Desjardins du Quebec lifted its position in Cummins by 11.2% in the 1st quarter. Federation des caisses Desjardins du Quebec now owns 31,837 shares of the company's stock worth $9,980,000 after buying an additional 3,207 shares during the last quarter. Dark Forest Capital Management LP bought a new stake in Cummins in the 1st quarter worth approximately $4,356,000. 1248 Management LLC bought a new stake in Cummins in the 1st quarter worth approximately $83,000. Focus Partners Advisor Solutions LLC lifted its position in Cummins by 80.0% in the 1st quarter. Focus Partners Advisor Solutions LLC now owns 4,507 shares of the company's stock worth $1,413,000 after buying an additional 2,003 shares during the last quarter. Finally, Marshfield Associates lifted its position in Cummins by 0.3% in the 1st quarter. Marshfield Associates now owns 1,050,534 shares of the company's stock worth $329,279,000 after buying an additional 3,637 shares during the last quarter. Institutional investors own 83.46% of the company's stock.

Analyst Ratings Changes

A number of analysts recently weighed in on the company. Robert W. Baird boosted their target price on Cummins from $315.00 to $355.00 and gave the stock a "neutral" rating in a research report on Friday, July 11th. Barclays boosted their target price on Cummins from $381.00 to $387.00 and gave the stock an "equal weight" rating in a research report on Monday, July 21st. Evercore ISI reiterated an "outperform" rating on shares of Cummins in a research report on Tuesday, August 19th. Melius Research upgraded Cummins from a "hold" rating to a "buy" rating and set a $500.00 price objective for the company in a research report on Wednesday, September 3rd. Finally, Wolfe Research upgraded Cummins from a "hold" rating to an "outperform" rating in a research report on Monday, August 11th. Nine equities research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat.com, Cummins has an average rating of "Moderate Buy" and an average price target of $389.29.

Insider Buying and Selling

In related news, VP Luther E. Peters sold 4,850 shares of the company's stock in a transaction on Friday, August 8th. The stock was sold at an average price of $389.19, for a total value of $1,887,571.50. Following the sale, the vice president directly owned 7,693 shares of the company's stock, valued at $2,994,038.67. This represents a 38.67% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, VP Amy Rochelle Davis sold 5,002 shares of the company's stock in a transaction on 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 completion of the sale, the vice president directly owned 20,738 shares in the company, valued at approximately $8,354,925.44. The trade was a 19.43% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 26,039 shares of company stock valued at $10,385,075 over the last 90 days. 0.41% of the stock is currently owned by company insiders.

Cummins Trading Up 1.4%

Shares of CMI traded up $5.56 during mid-day trading on Thursday, hitting $410.83. 396,084 shares of the company's stock traded hands, compared to its average volume of 865,799. 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 1 year low of $260.02 and a 1 year high of $413.66. The firm has a market capitalization of $56.61 billion, a P/E ratio of 19.32, a PEG ratio of 1.91 and a beta of 1.02. The business's 50-day moving average price is $375.00 and its 200-day moving average price is $336.77.

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

Cummins Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, September 4th. Stockholders of record on Friday, August 22nd were paid a dividend of $2.00 per share. This represents a $8.00 annualized dividend and a dividend yield of 1.9%. This is a boost from Cummins's previous quarterly dividend of $1.82. The ex-dividend date of this dividend was Friday, August 22nd. Cummins's payout ratio is presently 37.61%.

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.