Cummins Inc. $CMI Stake Boosted by Wealth Enhancement Advisory Services LLC

Key Points

• Wealth Enhancement Advisory Services LLC increased its stake in Cummins Inc. by 45.8%, owning 46,145 shares worth approximately $15.31 million as of the end of the last reporting period.
• Cummins reported $6.43 earnings per share for the last quarter, exceeding analysts' expectations, although quarterly revenue was down 1.7% year-over-year.
• The company has recently raised its quarterly dividend to $2.00 per share from $1.82, reflecting an annualized basis yield of 1.9%.

Wealth Enhancement Advisory Services LLC raised its position in Cummins Inc. (NYSE:CMI - Free Report) by 45.8% in the second quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 46,145 shares of the company's stock after buying an additional 14,487 shares during the period. Wealth Enhancement Advisory Services LLC's holdings in Cummins were worth $15,312,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also added to or reduced their stakes in the stock. GAMMA Investing LLC grew its holdings in shares of Cummins by 38,220.5% during the first quarter. GAMMA Investing LLC now owns 1,191,385 shares of the company's stock worth $373,428,000 after buying an additional 1,188,276 shares in the last quarter. Raymond James Financial Inc. increased its holdings in Cummins by 152.3% in the 1st quarter. Raymond James Financial Inc. now owns 1,354,052 shares of the company's stock valued at $424,414,000 after purchasing an additional 817,384 shares during the last quarter. AQR Capital Management LLC lifted its stake in Cummins by 70.9% during the 1st quarter. AQR Capital Management LLC now owns 1,022,373 shares of the company's stock worth $314,942,000 after acquiring an additional 424,294 shares in the last quarter. Nuveen LLC purchased a new position in shares of Cummins in the first quarter valued at approximately $109,120,000. Finally, Vanguard Group Inc. raised its stake in shares of Cummins by 1.9% in the first quarter. Vanguard Group Inc. now owns 17,283,469 shares of the company's stock valued at $5,417,331,000 after acquiring an additional 321,823 shares in the last quarter. 83.46% of the stock is owned by hedge funds and other institutional investors.

Cummins Stock Up 0.4%

Shares of NYSE:CMI traded up $1.69 during midday trading on Monday, hitting $425.33. 749,309 shares of the company's stock traded hands, compared to its average volume of 775,283. Cummins Inc. has a twelve month low of $260.02 and a twelve month high of $428.96. The company has a market cap of $58.61 billion, a PE ratio of 20.00, a P/E/G ratio of 2.05 and a beta of 1.02. The company has a debt-to-equity ratio of 0.53, a quick ratio of 1.03 and a current ratio of 1.64. The firm's fifty day moving average price is $386.60 and its two-hundred day moving average price is $339.37.

Cummins (NYSE:CMI - Get Free Report) last issued its earnings results on Tuesday, August 5th. The company reported $6.43 earnings per share for the quarter, topping the consensus estimate of $5.21 by $1.22. The company had revenue of $8.64 billion during the quarter, compared to the consensus estimate of $8.45 billion. Cummins had a return on equity of 26.96% and a net margin of 8.72%.The company's revenue was down 1.7% compared to the same quarter last year. During the same quarter in the prior year, the business earned $5.26 earnings per share. On average, equities research analysts anticipate that Cummins Inc. will post 22.54 EPS for the current fiscal year.

Cummins Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, September 4th. Stockholders of record on Friday, August 22nd were given a dividend of $2.00 per share. The ex-dividend date of this dividend was Friday, August 22nd. This is an increase from Cummins's previous quarterly dividend of $1.82. This represents a $8.00 dividend on an annualized basis and a dividend yield of 1.9%. Cummins's dividend payout ratio is presently 37.61%.

Analyst Ratings Changes

CMI has been the subject of a number of research analyst reports. Wolfe Research raised Cummins from a "hold" rating to an "outperform" rating in a report on Monday, August 11th. Citigroup lifted their price objective on shares of Cummins from $380.00 to $425.00 and gave the company a "buy" rating in a research note on Wednesday, August 6th. Truist Financial increased their price objective on Cummins from $342.00 to $380.00 and gave the stock a "hold" rating in a research report on Thursday, August 7th. Barclays lifted their target price on Cummins from $381.00 to $387.00 and gave the company an "equal weight" rating in a research note on Monday, July 21st. Finally, Wells Fargo & Company upgraded Cummins to an "overweight" rating in a research note on Monday, August 11th. Nine analysts have rated the stock with a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $389.29.

Insiders Place Their Bets

In other Cummins news, VP Amy Rochelle Davis sold 5,002 shares of the firm's stock in a transaction that occurred on Thursday, August 14th. The stock was sold at an average price of $402.88, for a total transaction of $2,015,205.76. Following the completion of the sale, the vice president owned 20,738 shares in the company, valued at $8,354,925.44. This trade represents a 19.43% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, VP Luther E. Peters sold 4,850 shares of the company's stock in a transaction dated Friday, August 8th. The shares were sold at an average price of $389.19, for a total transaction of $1,887,571.50. Following the completion of the sale, the vice president owned 7,693 shares in the company, valued at approximately $2,994,038.67. This trade represents a 38.67% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 35,119 shares of company stock valued at $14,159,885. Corporate insiders own 0.41% of the company's stock.

About Cummins

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.