Assetmark Inc. Decreases Stock Position in Cummins Inc. $CMI

Key Points

• Assetmark Inc. trimmed its Cummins stake by 6.9% in Q4, selling 1,796 shares and retaining 24,261 shares valued at about $12.38 million.
• Company insiders have been net sellers — two VPs recently sold shares and insiders disposed of 31,195 shares worth roughly $18.4 million in the last 90 days, leaving insiders with just 0.30% ownership.
• Analysts remain mostly positive, with a consensus Moderate Buy and a $598.47 target; Cummins recently beat quarterly EPS estimates ($5.81 vs. $5.17) and the stock is trading near its 52‑week high.

Assetmark Inc. lowered its stake in Cummins Inc. (NYSE:CMI - Free Report) by 6.9% during the 4th quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 24,261 shares of the company's stock after selling 1,796 shares during the period. Assetmark Inc.'s holdings in Cummins were worth $12,384,000 as of its most recent SEC filing.

Several other large investors have also recently modified their holdings of CMI. Thompson Investment Management Inc. bought a new stake in shares of Cummins in the fourth quarter worth about $26,000. Holos Integrated Wealth LLC bought a new stake in shares of Cummins in the fourth quarter worth about $32,000. Palouse Capital Management Inc. bought a new stake in shares of Cummins in the fourth quarter worth about $33,000. Flagship Wealth Advisors LLC bought a new stake in shares of Cummins in the third quarter worth about $28,000. Finally, Olistico Wealth LLC bought a new stake in shares of Cummins in the fourth quarter worth about $39,000. Hedge funds and other institutional investors own 83.46% of the company's stock.

Insider Activity

In other news, VP Earl Newsome sold 1,300 shares of Cummins stock in a transaction that occurred on Monday, February 23rd. The shares were sold at an average price of $583.67, for a total transaction of $758,771.00. Following the completion of the transaction, the vice president directly owned 3,389 shares in the company, valued at approximately $1,978,057.63. This trade represents a 27.72% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, VP Amy Rochelle Davis sold 4,054 shares of the business's stock in a transaction that occurred on Tuesday, March 3rd. The stock was sold at an average price of $561.34, for a total transaction of $2,275,672.36. Following the completion of the transaction, the vice president owned 15,807 shares of the company's stock, valued at approximately $8,873,101.38. The trade was a 20.41% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 31,195 shares of company stock valued at $18,397,489. 0.30% of the stock is currently owned by insiders.

Analysts Set New Price Targets

CMI has been the topic of several recent analyst reports. Barclays raised their target price on Cummins from $546.00 to $610.00 and gave the stock an "overweight" rating in a research note on Friday, January 23rd. JPMorgan Chase & Co. lifted their price objective on Cummins from $485.00 to $580.00 and gave the company a "neutral" rating in a research report on Wednesday, January 14th. Robert W. Baird set a $580.00 price objective on Cummins in a research report on Friday, February 6th. Morgan Stanley reaffirmed an "overweight" rating and set a $675.00 price objective on shares of Cummins in a research report on Friday, February 6th. Finally, Zacks Research cut Cummins from a "strong-buy" rating to a "hold" rating in a research report on Wednesday, January 28th. Eleven equities research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $598.47.

Cummins Price Performance

CMI stock opened at $608.50 on Friday. The firm has a 50 day moving average price of $570.32 and a 200-day moving average price of $520.85. Cummins Inc. has a 52-week low of $269.24 and a 52-week high of $620.78. The firm has a market capitalization of $84.07 billion, a price-to-earnings ratio of 29.65, a PEG ratio of 1.90 and a beta of 1.14. The company has a debt-to-equity ratio of 0.51, a quick ratio of 1.16 and a current ratio of 1.76.

Cummins (NYSE:CMI - Get Free Report) last released its earnings results on Thursday, February 5th. The company reported $5.81 earnings per share (EPS) for the quarter, beating the consensus estimate of $5.17 by $0.64. Cummins had a net margin of 8.44% and a return on equity of 25.71%. The firm had revenue of $8.54 billion during the quarter, compared to analyst estimates of $8.09 billion. During the same period last year, the business earned $5.16 earnings per share. The business's revenue was up 1.1% on a year-over-year basis. Equities research analysts forecast that Cummins Inc. will post 22.54 EPS for the current fiscal year.

Cummins Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, March 5th. Stockholders of record on Friday, February 20th were issued a dividend of $2.00 per share. This represents a $8.00 annualized dividend and a dividend yield of 1.3%. The ex-dividend date was Friday, February 20th. Cummins's dividend payout ratio (DPR) is presently 38.99%.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.