Cummins Inc. $CMI Shares Sold by Hamlin Capital Management LLC

Key Points

• Hamlin Capital Management cut its Cummins stake by 8.8% in the second quarter, selling 37,217 shares. Despite the reduction, Cummins remains the firm’s largest holding at 6.2% of its portfolio.
• Cummins reported second-quarter revenue of $9.46 billion, up 9.4% year over year and above estimates, but adjusted EPS of $6.73 missed the $7.21 consensus as higher costs pressured earnings.
• The company raised its 2026 outlook, citing strong data-center generator demand and improving truck markets, and increased its quarterly dividend from $2.00 to $2.20 per share.

Hamlin Capital Management LLC lessened its stake in shares of Cummins Inc. (NYSE:CMI - Free Report) by 8.8% during the second quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 384,365 shares of the company's stock after selling 37,217 shares during the quarter. Cummins comprises about 6.2% of Hamlin Capital Management LLC's investment portfolio, making the stock its biggest holding. Hamlin Capital Management LLC owned 0.28% of Cummins worth $274,133,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently added to or reduced their stakes in the company. Cedar Mountain Advisors LLC increased its position in shares of Cummins by 1,500.0% during the 1st quarter. Cedar Mountain Advisors LLC now owns 48 shares of the company's stock valued at $26,000 after purchasing an additional 45 shares during the period. Activest Wealth Management boosted its stake in Cummins by 537.5% during the fourth quarter. Activest Wealth Management now owns 51 shares of the company's stock valued at $26,000 after buying an additional 43 shares in the last quarter. Wellington Shields Capital Management LLC bought a new position in Cummins during the fourth quarter valued at about $27,000. Key Financial Inc grew its holdings in Cummins by 62.5% during the first quarter. Key Financial Inc now owns 52 shares of the company's stock worth $28,000 after acquiring an additional 20 shares during the period. Finally, Birchwood Financial Partners Inc. acquired a new position in Cummins during the fourth quarter worth about $28,000. Institutional investors own 83.46% of the company's stock.

Key Stories Impacting Cummins

Here are the key news stories impacting Cummins this week:

• Positive Sentiment: Raised 2026 outlook: Cummins increased its full-year expectations and forecast revenue of approximately $37 billion to $38 billion, broadly in line with Wall Street expectations. Cummins Reports Strong Second Quarter 2026 Results; Raises Full-Year Outlook
• Positive Sentiment: Data-center power demand is a major growth driver: Robust orders for standby generators used by data centers, improving North American truck markets and stronger second-half demand are supporting the more optimistic outlook. CMI Q2 Earnings Call Points to Power Demand and Higher Outlook
• Positive Sentiment: Revenue exceeded expectations: Second-quarter revenue rose 9.4% year over year to $9.46 billion, ahead of the roughly $9.33 billion consensus estimate. Cummins misses quarterly profit estimates despite strong generator demand
• Neutral Sentiment: Strategic industry transition: Regulatory clarity and a phased emissions transition could influence customer buying patterns and the timing of engine demand during the rest of the year. CMI Q2 deep dive: Data center demand, regulatory clarity, and shifting engine transition
• Negative Sentiment: Profit missed estimates: Quarterly EPS of $6.73 increased from $6.43 a year earlier but fell short of the $7.21 consensus estimate. Higher compensation, research and development, freight and coverage costs pressured earnings and margins. Cummins Q2 Earnings Miss Estimates on High Costs, Revenues Beat

Cummins Stock Up 2.5%

CMI stock opened at $651.55 on Thursday. The company has a debt-to-equity ratio of 0.48, a current ratio of 1.73 and a quick ratio of 1.11. The firm has a market capitalization of $89.91 billion, a P/E ratio of 33.29, a P/E/G ratio of 1.55 and a beta of 1.24. Cummins Inc. has a 52-week low of $372.00 and a 52-week high of $737.76. The company's 50 day simple moving average is $669.35 and its 200-day simple moving average is $624.58.

Cummins (NYSE:CMI - Get Free Report) last posted its quarterly earnings data on Tuesday, August 4th. The company reported $6.73 earnings per share for the quarter, missing the consensus estimate of $7.21 by ($0.48). Cummins had a return on equity of 25.29% and a net margin of 7.82%.The firm had revenue of $9.46 billion for the quarter, compared to analysts' expectations of $9.33 billion. During the same quarter in the previous year, the firm posted $6.43 earnings per share. The company's revenue for the quarter was up 9.4% on a year-over-year basis. As a group, equities research analysts anticipate that Cummins Inc. will post 29.39 EPS for the current year.

Cummins Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 3rd. Investors of record on Friday, August 21st will be paid a $2.20 dividend. The ex-dividend date of this dividend is Friday, August 21st. This represents a $8.80 annualized dividend and a yield of 1.4%. This is an increase from Cummins's previous quarterly dividend of $2.00. Cummins's dividend payout ratio (DPR) is currently 41.52%.

Insider Activity

In other news, EVP Bonnie J. Fetch sold 652 shares of the stock in a transaction that occurred on Monday, May 11th. The shares were sold at an average price of $700.19, for a total value of $456,523.88. Following the completion of the sale, the executive vice president directly owned 11,679 shares of the company's stock, valued at $8,177,519.01. This represents a 5.29% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, VP Donald G. Jackson sold 730 shares of the firm's stock in a transaction that occurred on 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 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 SEC filing for this sale provides additional information. In the last three months, insiders sold 13,579 shares of company stock worth $9,377,684. Corporate insiders own 0.30% of the company's stock.

Wall Street Analysts Forecast Growth

CMI has been the subject of a number of research analyst reports. Morgan Stanley upped their price target on shares of Cummins from $752.00 to $761.00 and gave the company an "overweight" rating in a report on Friday, July 17th. Zacks Research downgraded shares of Cummins from a "strong-buy" rating to a "hold" rating in a report on Monday, July 13th. Citigroup increased their target price on shares of Cummins from $770.00 to $790.00 and gave the company a "buy" rating in a research note on Tuesday, July 14th. Weiss Ratings restated a "buy (b-)" rating on shares of Cummins in a report on Monday. Finally, UBS Group dropped their price target on Cummins from $850.00 to $835.00 and set a "buy" rating on the stock in a report on Wednesday. Eleven equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $745.64.

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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