Algert Global LLC Makes New $323,000 Investment in Cummins Inc. $CMI

Key Points

• Algert Global LLC has made a new investment in Cummins Inc. by acquiring 1,030 shares valued at approximately $323,000.
• Several other institutional investors have also increased their holdings in Cummins, with Vanguard Group Inc. owning over 17 million shares worth approximately $5.4 billion after a recent purchase increase.
• Cummins announced a quarterly dividend of $2.00 per share, up from the previous dividend of $1.82, indicating a strong commitment to returning value to shareholders.

Algert Global LLC acquired a new stake in Cummins Inc. (NYSE:CMI - Free Report) in the first quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor acquired 1,030 shares of the company's stock, valued at approximately $323,000.

A number of other hedge funds also recently made changes to their positions in CMI. Fox Run Management L.L.C. acquired a new stake in shares of Cummins during the 1st quarter worth about $2,749,000. Alpha Cubed Investments LLC bought a new position in Cummins during the 1st quarter valued at about $440,000. Assenagon Asset Management S.A. increased its holdings in shares of Cummins by 8.9% during the first quarter. Assenagon Asset Management S.A. now owns 13,666 shares of the company's stock worth $4,283,000 after buying an additional 1,114 shares in the last quarter. Invesco Ltd. raised its stake in shares of Cummins by 11.6% in the first quarter. Invesco Ltd. now owns 1,215,956 shares of the company's stock valued at $381,129,000 after acquiring an additional 126,362 shares during the last quarter. Finally, Artemis Investment Management LLP raised its stake in shares of Cummins by 19.1% in the first quarter. Artemis Investment Management LLP now owns 7,747 shares of the company's stock valued at $2,428,000 after acquiring an additional 1,241 shares during the last quarter. Institutional investors and hedge funds own 83.46% of the company's stock.

Cummins Trading Down 0.9%

Shares of NYSE CMI traded down $3.49 during mid-day trading on Friday, hitting $398.43. The company's stock had a trading volume of 593,343 shares, compared to its average volume of 886,784. The stock has a market cap of $54.90 billion, a price-to-earnings ratio of 18.73, a price-to-earnings-growth ratio of 1.93 and a beta of 1.02. The company has a debt-to-equity ratio of 0.53, a current ratio of 1.64 and a quick ratio of 1.03. Cummins Inc. has a one year low of $260.02 and a one year high of $408.38. The company's fifty day simple moving average is $363.36 and its 200-day simple moving average is $335.29.

Cummins (NYSE:CMI - Get Free Report) last issued 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 net margin of 8.72% and a return on equity of 26.96%. The company had revenue of $8.64 billion for the quarter, compared to analyst estimates of $8.45 billion. During the same quarter last year, the firm earned $5.26 EPS. The company's revenue for the quarter was down 1.7% on a year-over-year basis. On average, sell-side analysts anticipate that Cummins Inc. will post 22.54 earnings per share for the current fiscal year.

Cummins Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 4th. Stockholders of record on Friday, August 22nd will be given a $2.00 dividend. The ex-dividend date is Friday, August 22nd. This represents a $8.00 annualized dividend and a dividend yield of 2.0%. This is an increase from Cummins's previous quarterly dividend of $1.82. Cummins's dividend payout ratio is 37.61%.

Insider Buying and Selling at Cummins

In related news, Director Karen H. Quintos sold 1,307 shares of the company's stock in a transaction dated Tuesday, August 19th. The stock was sold at an average price of $405.33, for a total value of $529,766.31. Following the completion of the sale, the director owned 5,227 shares in the company, valued at approximately $2,118,659.91. This represents a 20.00% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, CFO Mark Andrew Smith sold 6,500 shares of the firm's stock in a transaction dated Wednesday, August 13th. The stock was sold at an average price of $405.00, for a total value of $2,632,500.00. Following the transaction, the chief financial officer owned 31,582 shares in the company, valued at approximately $12,790,710. This trade represents a 17.07% decrease in their position. 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 quarter. 0.41% of the stock is owned by corporate insiders.

Wall Street Analysts Forecast Growth

Several research analysts have recently commented on CMI shares. Wolfe Research raised Cummins from a "hold" rating to an "outperform" rating in a report on Monday, August 11th. Evercore ISI reissued an "outperform" rating on shares of Cummins in a report on Tuesday, August 19th. The Goldman Sachs Group raised Cummins from a "neutral" rating to a "buy" rating and boosted their target price for the stock from $410.00 to $431.00 in a report on Tuesday, May 27th. Truist Financial boosted their target price on Cummins from $342.00 to $380.00 and gave the stock a "hold" rating in a report on Thursday, August 7th. Finally, Morgan Stanley increased their price objective on shares of Cummins from $340.00 to $350.00 and gave the stock an "overweight" rating in a report on Tuesday, May 6th. Seven equities research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, the company has a consensus rating of "Hold" and a consensus target price of $370.83.

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.