BI Asset Management Fondsmaeglerselskab A S Has $16.91 Million Holdings in Cummins Inc. $CMI

Key Points

• BI Asset Management reduced its Cummins stake by 63.3% in the first quarter, selling 54,163 shares and leaving it with 31,430 shares worth about $16.91 million.
• Several analysts remain upbeat on Cummins, with firms including Wells Fargo, UBS, and Morgan Stanley maintaining or raising positive ratings; the consensus view is “Moderate Buy” with an average target price of $731.86.
• Cummins recently reported better-than-expected earnings of $6.15 per share and revenue of $8.40 billion, and it also paid a quarterly dividend of $2.00 per share.

BI Asset Management Fondsmaeglerselskab A S cut its holdings in Cummins Inc. (NYSE:CMI - Free Report) by 63.3% in the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 31,430 shares of the company's stock after selling 54,163 shares during the period. BI Asset Management Fondsmaeglerselskab A S's holdings in Cummins were worth $16,910,000 at the end of the most recent reporting period.

Several other hedge funds have also recently bought and sold shares of CMI. Northwestern Mutual Wealth Management Co. boosted its position in Cummins by 10,317.7% during the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 2,458,475 shares of the company's stock worth $1,254,929,000 after purchasing an additional 2,434,876 shares during the period. Norges Bank acquired a new position in Cummins during the fourth quarter valued at approximately $863,441,000. Boston Partners bought a new position in shares of Cummins in the third quarter valued at approximately $473,471,000. London Co. of Virginia acquired a new stake in shares of Cummins in the third quarter worth $231,732,000. Finally, First Trust Advisors LP lifted its stake in shares of Cummins by 245.1% in the fourth quarter. First Trust Advisors LP now owns 542,796 shares of the company's stock worth $277,071,000 after buying an additional 385,525 shares during the last quarter. 83.46% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

A number of research firms recently issued reports on CMI. Robert W. Baird set a $700.00 target price on shares of Cummins in a research note on Wednesday, May 6th. Wells Fargo & Company boosted their target price on shares of Cummins from $794.00 to $874.00 and gave the stock an "overweight" rating in a research report on Wednesday. UBS Group reissued a "buy" rating on shares of Cummins in a research report on Wednesday. Morgan Stanley upped their price target on shares of Cummins from $675.00 to $752.00 and gave the company an "overweight" rating in a report on Wednesday, May 6th. Finally, Wall Street Zen downgraded Cummins from a "strong-buy" rating to a "buy" rating in a research report on Sunday, March 8th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and four have given a Hold rating to the company. According to MarketBeat, Cummins has an average rating of "Moderate Buy" and a consensus target price of $731.86.

Cummins Stock Down 0.1%

CMI opened at $716.50 on Friday. The business has a 50 day moving average of $663.00 and a 200-day moving average of $590.68. The stock has a market capitalization of $98.87 billion, a price-to-earnings ratio of 37.18, a P/E/G ratio of 1.75 and a beta of 1.23. The company has a current ratio of 1.71, a quick ratio of 1.11 and a debt-to-equity ratio of 0.50. Cummins Inc. has a 1-year low of $307.90 and a 1-year high of $737.76.

Cummins (NYSE:CMI - Get Free Report) last announced its earnings results on Tuesday, May 5th. The company reported $6.15 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $5.63 by $0.52. The business had revenue of $8.40 billion for the quarter, compared to analyst estimates of $8.37 billion. Cummins had a net margin of 7.89% and a return on equity of 25.25%. Cummins's revenue was up 2.7% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $5.96 earnings per share. As a group, sell-side analysts anticipate that Cummins Inc. will post 29.44 earnings per share for the current year.

Cummins Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, June 4th. Stockholders of record on Friday, May 22nd were issued a dividend of $2.00 per share. The ex-dividend date was Friday, May 22nd. This represents a $8.00 annualized dividend and a dividend yield of 1.1%. Cummins's payout ratio is presently 41.52%.

Insider Activity at Cummins

In related news, VP Donald G. Jackson sold 730 shares of Cummins stock in a transaction dated Thursday, May 14th. The stock was sold at an average price of $710.92, for a total transaction of $518,971.60. Following the sale, the vice president directly owned 8,316 shares of the company's stock, valued at $5,912,010.72. This trade represents a 8.07% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CAO Nicole Lamb-Hale sold 2,408 shares of the business's stock in a transaction dated Friday, May 8th. The shares were sold at an average price of $685.34, for a total value of $1,650,298.72. Following the transaction, the chief accounting officer owned 14,084 shares in the company, valued at $9,652,328.56. This represents a 14.60% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have sold 13,579 shares of company stock worth $9,377,684. Insiders own 0.30% of the company's stock.

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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