Cullen Frost Bankers Inc. Acquires 679 Shares of Cummins Inc. $CMI

Key Points

• Cullen Frost Bankers Inc. increased its stake in Cummins Inc. by 1.0% in Q2, acquiring an additional 679 shares to now hold 69,940 shares worth approximately $22.9 million.
• Analysts are positive on Cummins, with upgrades from various firms, including a new buy rating from Melius and a price target raised to $500.00.
• Cummins has announced a quarterly dividend of $2.00 per share, representing an annualized amount of $8.00 and a dividend yield of 1.9%.

Cullen Frost Bankers Inc. grew its holdings in shares of Cummins Inc. (NYSE:CMI - Free Report) by 1.0% in the 2nd quarter, according to its most recent disclosure with the SEC. The fund owned 69,940 shares of the company's stock after acquiring an additional 679 shares during the period. Cullen Frost Bankers Inc. owned about 0.05% of Cummins worth $22,905,000 as of its most recent SEC filing.

Other hedge funds also recently modified their holdings of the company. Olde Wealth Management LLC acquired a new position in Cummins during the 1st quarter worth about $30,000. Accredited Wealth Management LLC bought a new stake in shares of Cummins in the 1st quarter valued at about $31,000. Richardson Financial Services Inc. bought a new stake in shares of Cummins in the 1st quarter valued at about $39,000. Costello Asset Management INC bought a new stake in shares of Cummins in the 1st quarter valued at about $40,000. Finally, Wealth Preservation Advisors LLC bought a new stake in Cummins in the first quarter valued at approximately $41,000. Institutional investors and hedge funds own 83.46% of the company's stock.

Analyst Upgrades and Downgrades

CMI has been the topic of a number of recent analyst reports. Melius upgraded shares of Cummins from a "hold" rating to a "buy" rating and set a $500.00 price target on the stock in a research report on Wednesday, September 3rd. Evercore ISI reaffirmed an "outperform" rating on shares of Cummins in a research note on Tuesday, August 19th. Robert W. Baird upped their price objective on shares of Cummins from $315.00 to $355.00 and gave the company a "neutral" rating in a research note on Friday, July 11th. Weiss Ratings reaffirmed a "buy (b-)" rating on shares of Cummins in a research note on Tuesday, October 14th. Finally, Citigroup upped their price objective on shares of Cummins from $425.00 to $485.00 and gave the company a "buy" rating in a research note on Tuesday, September 23rd. One equities research analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus price target of $410.50.

Cummins Stock Performance

NYSE:CMI opened at $418.33 on Wednesday. The company has a fifty day moving average of $412.01 and a 200-day moving average of $354.77. The firm has a market capitalization of $57.64 billion, a P/E ratio of 19.67, a P/E/G ratio of 2.00 and a beta of 1.04. 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 twelve month low of $260.02 and a twelve month high of $440.51.

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

Cummins Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, December 4th. Stockholders of record on Friday, November 21st will be paid a $2.00 dividend. The ex-dividend date is Friday, November 21st. This represents a $8.00 annualized dividend and a dividend yield of 1.9%. Cummins's payout ratio is currently 37.61%.

Insider Buying and Selling

In other news, Director Karen H. Quintos sold 1,307 shares of Cummins stock in a transaction on Tuesday, August 19th. The shares were 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 $2,118,659.91. The trade was a 20.00% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, VP Robert Enright sold 1,860 shares of the business's stock in a transaction on Friday, August 22nd. The shares were sold at an average price of $402.26, for a total transaction of $748,203.60. Following the sale, the vice president owned 955 shares of the company's stock, valued at $384,158.30. This trade represents a 66.07% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 43,119 shares of company stock worth $17,674,285 over the last ninety days. 0.41% of the stock is owned by company insiders.

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.

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