Assenagon Asset Management S.A. Buys 30,074 Shares of Cummins Inc. $CMI

Key Points

• Assenagon Asset Management increased its Cummins position by 243.8% in the second quarter, purchasing 30,074 additional shares and bringing its holdings to 42,407 shares valued at approximately $30.25 million.
• Analysts maintain a generally positive view of Cummins, with 11 Buy ratings and four Holds producing a “Moderate Buy” consensus and an average price target of $745.64.
• Cummins reported quarterly revenue of $9.46 billion, up 9.4% year over year, though earnings of $6.73 per share fell short of estimates. The company also raised its quarterly dividend to $2.20 per share, equating to an annualized yield of about 1.4%.

Assenagon Asset Management S.A. grew its position in Cummins Inc. (NYSE:CMI - Free Report) by 243.8% in the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The firm owned 42,407 shares of the company's stock after buying an additional 30,074 shares during the quarter. Assenagon Asset Management S.A.'s holdings in Cummins were worth $30,245,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors have also made changes to their positions in CMI. Activest Wealth Management increased its holdings in Cummins by 537.5% during the fourth quarter. Activest Wealth Management now owns 51 shares of the company's stock valued at $26,000 after buying an additional 43 shares during the period. Cedar Mountain Advisors LLC lifted its holdings in Cummins by 1,500.0% during the first quarter. Cedar Mountain Advisors LLC now owns 48 shares of the company's stock worth $26,000 after buying an additional 45 shares during the period. Wellington Shields Capital Management LLC bought a new stake in Cummins during the 4th quarter valued at $27,000. Key Financial Inc raised its position in shares of Cummins by 62.5% in 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. Finally, Birchwood Financial Partners Inc. purchased a new stake in shares of Cummins during the 4th quarter worth $28,000. Institutional investors own 83.46% of the company's stock.

Wall Street Analyst Weigh In

A number of equities research analysts recently weighed in on CMI shares. Robert W. Baird set a $700.00 price objective on Cummins in a research report on Wednesday, May 6th. Zacks Research cut shares of Cummins from a "strong-buy" rating to a "hold" rating in a research report on Monday, July 13th. Truist Financial set a $894.00 target price on shares of Cummins in a research note on Wednesday. Raymond James Financial lifted their price target on shares of Cummins from $675.00 to $745.00 and gave the stock an "outperform" rating in a report on Tuesday, May 26th. Finally, Morgan Stanley upped their price target on Cummins from $752.00 to $761.00 and gave the stock an "overweight" rating in a research report on Friday, July 17th. Eleven investment analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $745.64.

Insider Activity at Cummins

In other Cummins news, VP Donald G. Jackson sold 730 shares of Cummins stock in a transaction on Thursday, May 14th. The shares were sold at an average price of $710.92, for a total transaction of $518,971.60. Following the sale, the vice president owned 8,316 shares of the company's stock, valued at $5,912,010.72. The trade was a 8.07% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, VP Jennifer Mary Bush sold 5,000 shares of the company's stock in a transaction on Tuesday, May 12th. The stock was sold at an average price of $696.21, for a total transaction of $3,481,050.00. Following the sale, the vice president directly owned 11,986 shares of the company's stock, valued at $8,344,773.06. The trade was a 29.44% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Corporate insiders own 0.30% of the company's stock.

Cummins Trading Down 0.0%

Shares of NYSE:CMI opened at $644.21 on Monday. Cummins Inc. has a 52-week low of $383.90 and a 52-week high of $737.76. The business has a 50-day moving average price of $668.83 and a 200-day moving average price of $625.48. The company has a quick ratio of 1.13, a current ratio of 1.73 and a debt-to-equity ratio of 0.48. The stock has a market cap of $88.68 billion, a price-to-earnings ratio of 32.92, a PEG ratio of 1.55 and a beta of 1.24.

Cummins (NYSE:CMI - Get Free Report) last posted its quarterly earnings results on Tuesday, August 4th. The company reported $6.73 EPS for the quarter, missing the consensus estimate of $7.21 by ($0.48). The business had revenue of $9.46 billion during the quarter, compared to analysts' expectations of $9.33 billion. Cummins had a net margin of 7.82% and a return on equity of 25.29%. Cummins's revenue for the quarter was up 9.4% compared to the same quarter last year. During the same period in the previous year, the company posted $6.43 earnings per share. Equities analysts predict that Cummins Inc. will post 29.73 EPS for the current year.

Cummins Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 3rd. Shareholders of record on Friday, August 21st will be issued a $2.20 dividend. The ex-dividend date of this dividend is Friday, August 21st. This is a boost from Cummins's previous quarterly dividend of $2.00. This represents a $8.80 dividend on an annualized basis and a yield of 1.4%. Cummins's dividend payout ratio is presently 40.88%.

Cummins Profile

Cummins Inc NYSE: CMI is a global power technology company that designs, manufactures, distributes and services a broad portfolio of diesel and natural gas engines, electrified powertrains, power generation systems and related components. Founded in 1919 and headquartered in Columbus, Indiana, Cummins has grown into one of the world's leading suppliers of internal combustion engines and a provider of technologies that reduce emissions and improve fuel efficiency.

The company's product lineup includes heavy-, medium- and light-duty engines for on-highway and off-highway applications, generator sets and power systems for commercial and industrial use, and key engine components such as turbochargers, fuel systems, air handling, filtration and aftertreatment solutions.

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