Paradoxiom Capital L.P. Sells 15,132 Shares of Cummins Inc. $CMI

Key Points

• Paradoxiom Capital L.P. reduced its stake in Cummins Inc. by 56.4%, now owning 11,677 shares after selling 15,132 during the first quarter.
• Analysts have generally positive views on Cummins, with several upgrades including Wolfe Research moving it from a "hold" to an "outperform" rating.
• Cummins reported a quarterly earnings per share of $6.43, exceeding estimates and reflecting a 1.7% decline in revenue compared to the previous year.

Paradoxiom Capital L.P. lessened its stake in shares of Cummins Inc. (NYSE:CMI - Free Report) by 56.4% in the 1st quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund owned 11,677 shares of the company's stock after selling 15,132 shares during the period. Cummins accounts for approximately 2.4% of Paradoxiom Capital L.P.'s holdings, making the stock its 25th biggest position. Paradoxiom Capital L.P.'s holdings in Cummins were worth $3,660,000 at the end of the most recent reporting period.

Several other large investors have also recently made changes to their positions in CMI. GAMMA Investing LLC increased its stake in Cummins by 38,220.5% in the 1st quarter. GAMMA Investing LLC now owns 1,191,385 shares of the company's stock worth $373,428,000 after acquiring an additional 1,188,276 shares during the last quarter. Raymond James Financial Inc. raised its stake in Cummins by 152.3% during the first 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 in the last quarter. AQR Capital Management LLC grew its stake in shares of Cummins by 70.9% in the 1st quarter. AQR Capital Management LLC now owns 1,022,373 shares of the company's stock worth $314,942,000 after buying an additional 424,294 shares in the last quarter. Nuveen LLC bought a new stake in shares of Cummins in the 1st quarter worth about $109,120,000. Finally, Vanguard Group Inc. raised its position in shares of Cummins by 1.9% during the 1st quarter. Vanguard Group Inc. now owns 17,283,469 shares of the company's stock valued at $5,417,331,000 after buying an additional 321,823 shares in the last quarter. 83.46% of the stock is owned by institutional investors.

Insider Activity at Cummins

In other news, VP Amy Rochelle Davis sold 5,002 shares of the stock in a transaction that occurred on Thursday, August 14th. The shares were sold at an average price of $402.88, for a total transaction of $2,015,205.76. Following the transaction, the vice president directly owned 20,738 shares in the company, valued at approximately $8,354,925.44. This trade represents a 19.43% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, VP Robert Enright sold 1,860 shares of the business's stock in a transaction that occurred on Friday, August 22nd. The stock was sold at an average price of $402.26, for a total transaction of $748,203.60. Following the completion of the transaction, the vice president directly 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 sold 26,039 shares of company stock worth $10,385,075 over the last quarter. Corporate insiders own 0.41% of the company's stock.

Analyst Upgrades and Downgrades

Several research analysts recently commented on the company. Melius upgraded Cummins from a "hold" rating to a "buy" rating and set a $500.00 price target for the company in a research report on Wednesday, September 3rd. Wells Fargo & Company upgraded Cummins to an "overweight" rating in a report on Monday, August 11th. Wolfe Research upgraded Cummins from a "hold" rating to an "outperform" rating in a report on Monday, August 11th. Robert W. Baird raised their price target on Cummins from $315.00 to $355.00 and gave the stock a "neutral" rating in a research report on Friday, July 11th. Finally, Barclays boosted their price objective on shares of Cummins from $381.00 to $387.00 and gave the company an "equal weight" rating in a research report on Monday, July 21st. Nine research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $389.29.

Cummins Trading Down 0.6%

Shares of NYSE:CMI traded down $2.57 during trading on Tuesday, reaching $394.83. 514,194 shares of the company were exchanged, compared to its average volume of 691,450. The business's fifty day simple moving average is $373.56 and its 200-day simple moving average is $336.29. The company has a debt-to-equity ratio of 0.53, a current ratio of 1.64 and a quick ratio of 1.03. Cummins Inc. has a 12-month low of $260.02 and a 12-month high of $408.38. The firm has a market capitalization of $54.40 billion, a PE ratio of 18.56, a P/E/G ratio of 1.92 and a beta of 1.02.

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

Cummins Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, September 4th. Investors of record on Friday, August 22nd were issued a $2.00 dividend. The ex-dividend date was Friday, August 22nd. This is an increase from Cummins's previous quarterly dividend of $1.82. This represents a $8.00 annualized dividend and a dividend yield of 2.0%. Cummins's dividend payout ratio is presently 37.61%.

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.