Cummins Inc. $CMI Shares Sold by Swedbank AB

Key Points

• Swedbank AB trimmed its Cummins stake by 1.8% in the first quarter, selling 2,759 shares and ending with 147,013 shares valued at about $79.1 million.
• Cummins posted better-than-expected quarterly results, reporting EPS of $6.15 versus the $5.63 consensus and revenue of $8.40 billion, with revenue up 2.7% year over year.
• Analyst sentiment remains positive overall: the stock has a “Moderate Buy” consensus with an average target price of $738, while Morgan Stanley, Barclays, and JPMorgan recently raised price targets.

Swedbank AB lessened its position in shares of Cummins Inc. (NYSE:CMI - Free Report) by 1.8% during the 1st quarter, according to the company in its most recent 13F filing with the SEC. The firm owned 147,013 shares of the company's stock after selling 2,759 shares during the quarter. Swedbank AB owned about 0.11% of Cummins worth $79,096,000 at the end of the most recent reporting period.

Several other hedge funds also recently added to or reduced their stakes in the business. Collaborative Fund Advisors LLC acquired a new stake in Cummins during the first quarter worth $2,057,000. Abel Hall LLC lifted its stake in shares of Cummins by 15.4% in the 1st quarter. Abel Hall LLC now owns 606 shares of the company's stock valued at $326,000 after purchasing an additional 81 shares during the last quarter. Whittier Trust Co. grew its holdings in shares of Cummins by 3.6% during the 1st quarter. Whittier Trust Co. now owns 2,151 shares of the company's stock worth $1,187,000 after purchasing an additional 74 shares during the period. DGS Capital Management LLC increased its position in shares of Cummins by 8.2% during the 1st quarter. DGS Capital Management LLC now owns 2,063 shares of the company's stock worth $1,110,000 after purchasing an additional 157 shares during the last quarter. Finally, B.O.S.S. Retirement Advisors LLC increased its position in shares of Cummins by 50.6% during the 1st quarter. B.O.S.S. Retirement Advisors LLC now owns 2,347 shares of the company's stock worth $1,263,000 after purchasing an additional 789 shares during the last quarter. 83.46% of the stock is currently owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In related news, VP Donald G. Jackson sold 730 shares of the company's stock in a transaction that occurred on Thursday, May 14th. The shares were sold at an average price of $710.92, for a total transaction of $518,971.60. Following the sale, the vice president directly owned 8,316 shares in the company, 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 filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Brett Michael Merritt sold 701 shares of Cummins stock in a transaction that occurred on Monday, May 11th. The stock was sold at an average price of $688.75, for a total transaction of $482,813.75. Following the completion of the transaction, the insider owned 10,404 shares of the company's stock, valued at $7,165,755. This represents a 6.31% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders have sold 13,579 shares of company stock worth $9,377,684. Corporate insiders own 0.30% of the company's stock.

Cummins Price Performance

Cummins stock opened at $659.87 on Wednesday. The company has a quick ratio of 1.11, a current ratio of 1.71 and a debt-to-equity ratio of 0.50. Cummins Inc. has a 52-week low of $328.02 and a 52-week high of $737.76. The firm has a market cap of $91.06 billion, a PE ratio of 34.24, a price-to-earnings-growth ratio of 1.66 and a beta of 1.22. The company's 50 day moving average is $677.96 and its two-hundred day moving average is $606.51.

Cummins (NYSE:CMI - Get Free Report) last posted its quarterly earnings data on Tuesday, May 5th. The company reported $6.15 earnings per share for the quarter, topping analysts' consensus estimates of $5.63 by $0.52. The business had revenue of $8.40 billion for the quarter, compared to analyst estimates of $8.37 billion. Cummins had a return on equity of 25.25% and a net margin of 7.89%.The company's revenue was up 2.7% on a year-over-year basis. During the same quarter in the prior year, the company earned $5.96 earnings per share. On average, research analysts expect that Cummins Inc. will post 29.32 EPS for the current fiscal year.

Cummins Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, June 4th. Stockholders of record on Friday, May 22nd were paid a $2.00 dividend. This represents a $8.00 annualized dividend and a dividend yield of 1.2%. The ex-dividend date was Friday, May 22nd. Cummins's dividend payout ratio (DPR) is presently 41.52%.

Wall Street Analyst Weigh In

A number of research analysts have commented on CMI shares. Morgan Stanley upped their target price on shares of Cummins from $675.00 to $752.00 and gave the company an "overweight" rating in a research report on Wednesday, May 6th. Weiss Ratings downgraded shares of Cummins from a "buy (b)" rating to a "buy (b-)" rating in a research note on Wednesday, May 6th. Sanford C. Bernstein reaffirmed a "market perform" rating on shares of Cummins in a research report on Friday, May 22nd. Barclays boosted their target price on Cummins from $610.00 to $760.00 and gave the company an "overweight" rating in a research report on Wednesday, May 6th. Finally, JPMorgan Chase & Co. boosted their price objective on Cummins from $600.00 to $725.00 and gave the company a "neutral" rating in a report on Wednesday, May 6th. One analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and four have issued a Hold rating to the company's stock. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $738.00.

Cummins Company 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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