DekaBank Deutsche Girozentrale Decreases Holdings in Cummins Inc. $CMI

Key Points

• DekaBank Deutsche Girozentrale has reduced its stake in Cummins Inc. by 5.1%, now owning approximately 300,506 shares worth around $98.8 million.
• Cummins reported a quarterly earnings per share of $6.43, exceeding analysts' estimates of $5.21, alongside revenues of $8.64 billion.
• The company announced a quarterly dividend of $2.00 per share, reflecting an annualized yield of 1.9% and a payout ratio of 37.61%.

DekaBank Deutsche Girozentrale trimmed its position in shares of Cummins Inc. (NYSE:CMI - Free Report) by 5.1% during the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 300,506 shares of the company's stock after selling 16,140 shares during the period. DekaBank Deutsche Girozentrale owned about 0.22% of Cummins worth $98,809,000 as of its most recent SEC filing.

Other large investors also recently modified their holdings of the company. Olde Wealth Management LLC purchased a new position in shares of Cummins during the 1st quarter valued at about $30,000. Accredited Wealth Management LLC purchased a new position in Cummins in the 1st quarter worth approximately $31,000. Richardson Financial Services Inc. purchased a new position in Cummins in the 1st quarter worth approximately $39,000. Costello Asset Management INC purchased a new position in Cummins in the 1st quarter worth approximately $40,000. Finally, Wealth Preservation Advisors LLC purchased a new position in Cummins in the 1st quarter worth approximately $41,000. 83.46% of the stock is owned by hedge funds and other institutional investors.

Cummins Price Performance

Shares of CMI stock opened at $414.13 on Tuesday. The firm has a market cap of $57.06 billion, a P/E ratio of 19.47, a P/E/G ratio of 1.99 and a beta of 1.04. Cummins Inc. has a fifty-two week low of $260.02 and a fifty-two week high of $440.51. The business's 50 day moving average price is $411.61 and its 200-day moving average price is $354.33. The company has a debt-to-equity ratio of 0.53, a quick ratio of 1.03 and a current ratio of 1.64.

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

Cummins Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, December 4th. Investors of record on Friday, November 21st will be given a dividend of $2.00 per share. The ex-dividend date is Friday, November 21st. This represents a $8.00 annualized dividend and a dividend yield of 1.9%. Cummins's payout ratio is currently 37.61%.

Insider Activity at Cummins

In other Cummins news, CFO Mark Andrew Smith sold 8,000 shares of the business's stock in a transaction on Monday, October 6th. The stock was sold at an average price of $439.30, for a total value of $3,514,400.00. Following the sale, the chief financial officer directly owned 31,582 shares of the company's stock, valued at approximately $13,873,972.60. The trade was a 20.21% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, VP Robert Enright sold 1,860 shares of the business's stock in a transaction on Friday, August 22nd. The stock was sold at an average price of $402.26, for a total value of $748,203.60. Following the completion of the sale, the vice president directly owned 955 shares in the company, valued at $384,158.30. This trade represents a 66.07% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 43,119 shares of company stock valued at $17,674,285 over the last ninety days. Insiders own 0.41% of the company's stock.

Analyst Ratings Changes

A number of equities analysts have commented on CMI shares. Citigroup lifted their price target on Cummins from $425.00 to $485.00 and gave the stock a "buy" rating in a research note on Tuesday, September 23rd. Robert W. Baird lifted their price target on Cummins from $315.00 to $355.00 and gave the stock a "neutral" rating in a research note on Friday, July 11th. Wolfe Research raised Cummins from a "hold" rating to an "outperform" rating in a research note on Monday, August 11th. Melius raised Cummins from a "hold" rating to a "buy" rating and set a $500.00 price target on the stock in a research note on Wednesday, September 3rd. Finally, Truist Financial lifted their price target on Cummins from $380.00 to $434.00 and gave the stock a "hold" rating in a research note on Wednesday, October 8th. One equities research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, Cummins currently has a consensus rating of "Moderate Buy" and a consensus target price of $410.50.

Cummins Company Profile

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.

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