Cummins Inc. $CMI Shares Purchased by Meiji Yasuda Asset Management Co Ltd.

Key Points

• Meiji Yasuda Asset Management increased its Cummins stake by 301.4% in the fourth quarter, ending with 14,351 shares valued at about $7.33 million. Institutional ownership remains very high, at 83.46% of the stock.
• Cummins reported better-than-expected quarterly results, with EPS of $6.15 versus the $5.63 estimate and revenue of $8.40 billion slightly ahead of forecasts. Revenue rose 2.7% from a year earlier, and analysts expect full-year EPS of 28.39.
• The company also lifted its shareholder returns and long-term outlook by announcing a $2.00 quarterly dividend and highlighting raised 2030 financial targets along with new investment in large-engine capacity and product development. Despite these positives, some insider selling and a Delaware jury ruling over C3 AI trade secrets add risk.

Meiji Yasuda Asset Management Co Ltd. boosted its position in Cummins Inc. (NYSE:CMI - Free Report) by 301.4% during the fourth quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 14,351 shares of the company's stock after buying an additional 10,776 shares during the period. Meiji Yasuda Asset Management Co Ltd.'s holdings in Cummins were worth $7,325,000 as of its most recent SEC filing.

Other institutional investors also recently bought and sold shares of the company. Thompson Investment Management Inc. purchased a new stake in shares of Cummins in the fourth quarter valued at about $26,000. Activest Wealth Management increased its stake in shares of Cummins by 537.5% during the fourth quarter. Activest Wealth Management now owns 51 shares of the company's stock worth $26,000 after acquiring an additional 43 shares during the period. Flagship Wealth Advisors LLC acquired a new position in shares of Cummins during the third quarter worth about $28,000. Ares Financial Consulting LLC acquired a new position in shares of Cummins during the fourth quarter worth about $29,000. Finally, Osterweis Capital Management Inc. acquired a new position in shares of Cummins during the second quarter worth about $31,000. 83.46% of the stock is owned by institutional investors and hedge funds.

Cummins Trading Down 4.7%

NYSE:CMI opened at $638.16 on Friday. The stock has a fifty day moving average price of $610.34 and a two-hundred day moving average price of $561.99. The stock has a market capitalization of $88.06 billion, a price-to-earnings ratio of 33.12, a PEG ratio of 1.69 and a beta of 1.27. The company has a debt-to-equity ratio of 0.50, a quick ratio of 1.11 and a current ratio of 1.71. Cummins Inc. has a 1 year low of $307.90 and a 1 year high of $718.08.

Cummins (NYSE:CMI - Get Free Report) last released its quarterly earnings data on Tuesday, May 5th. The company reported $6.15 earnings per share (EPS) for the quarter, topping the consensus estimate of $5.63 by $0.52. The firm had revenue of $8.40 billion during the quarter, compared to analysts' expectations of $8.37 billion. Cummins had a return on equity of 25.25% and a net margin of 7.89%.Cummins's revenue was up 2.7% compared to the same quarter last year. During the same quarter in the prior year, the business posted $5.96 earnings per share. As a group, sell-side analysts anticipate that Cummins Inc. will post 28.39 earnings per share for the current fiscal year.

Cummins Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, June 4th. Shareholders of record on Friday, May 22nd will be issued a $2.00 dividend. The ex-dividend date of this dividend is Friday, May 22nd. This represents a $8.00 annualized dividend and a yield of 1.3%. Cummins's dividend payout ratio is 41.52%.

Analyst Upgrades and Downgrades

CMI has been the topic of a number of recent analyst reports. Zacks Research upgraded shares of Cummins from a "hold" rating to a "strong-buy" rating in a research note on Thursday, May 7th. Wells Fargo & Company upped their price objective on Cummins from $693.00 to $794.00 and gave the stock an "overweight" rating in a report on Wednesday, May 6th. Argus set a $696.00 price objective on Cummins in a research report on Tuesday, February 10th. Raymond James Financial increased their price objective on Cummins from $585.00 to $675.00 and gave the stock an "outperform" rating in a research report on Monday, February 9th. Finally, Sanford C. Bernstein set a $600.00 price objective on Cummins and gave the stock a "market perform" rating in a research report on Friday, February 6th. One investment analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and five have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average target price of $677.87.

Insider Buying and Selling

In other Cummins news, VP Donald G. Jackson sold 730 shares of the company's stock in a transaction on Thursday, May 14th. The stock was sold at an average price of $710.92, for a total value of $518,971.60. Following the sale, the vice president owned 8,316 shares of the company's stock, valued at approximately $5,912,010.72. This represents a 8.07% 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 Jennifer Mary Bush sold 5,000 shares of the company's stock in a transaction on Tuesday, May 12th. The shares were sold at an average price of $696.21, for a total value of $3,481,050.00. Following the completion of the sale, the vice president directly owned 11,986 shares in the company, valued at $8,344,773.06. This trade represents a 29.44% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 22,397 shares of company stock valued at $14,465,833 in the last three months. 0.30% of the stock is owned by insiders.

Key Headlines Impacting Cummins

Here are the key news stories impacting Cummins this week:

• Positive Sentiment: Zacks Research raised earnings estimates across multiple future periods for Cummins, including FY2026 to $29.28 per share, FY2027 to $31.73, and FY2028 to $35.32, while keeping a Strong-Buy rating. Higher profit forecasts typically support a stronger valuation. Article
• Positive Sentiment: Cummins also said at its investor day that it is raising 2030 financial targets and investing in large-engine capacity and product development, signaling confidence in longer-term growth and profitability. Article
• Positive Sentiment: A Barron’s report highlighted that CEO Jennifer Rumsey is positioning Cummins to benefit from the AI/datacenter buildout, which may improve investor sentiment around future demand. Article
• Neutral Sentiment: Seeking Alpha posted an Analyst/Investor Day slideshow, which mainly reiterates the company’s strategy and is less likely to be a direct stock-moving catalyst. Article
• Negative Sentiment: A separate Business Wire item said a Delaware jury found Cummins liable for misappropriating C3 AI trade secrets. While the market appears more focused on the bullish growth updates, the legal ruling could still create risk or headline pressure. Article

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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