GC Wealth Management RIA LLC Invests $569,000 in Cummins Inc. $CMI

Key Points

• GC Wealth Management RIA LLC acquired 1,736 shares of Cummins Inc., investing approximately $569,000 in the company during the second quarter.
• Institutional investors own 83.46% of Cummins' stock, with notable increases from Vanguard Group and Raymond James Financial in recent quarters.
• Cummins recently raised its quarterly dividend from $1.82 to $2.00 per share, reflecting a 1.9% yield and a payout ratio of 37.61%.

GC Wealth Management RIA LLC acquired a new position in Cummins Inc. (NYSE:CMI - Free Report) during the second quarter, according to the company in its most recent Form 13F filing with the SEC. The fund acquired 1,736 shares of the company's stock, valued at approximately $569,000.

A number of other hedge funds and other institutional investors also recently modified their holdings of the company. Vanguard Group Inc. raised its stake in shares of Cummins by 1.9% in the 1st quarter. Vanguard Group Inc. now owns 17,283,469 shares of the company's stock worth $5,417,331,000 after buying an additional 321,823 shares in the last quarter. Northern Trust Corp raised its stake in shares of Cummins by 1.2% in the 1st quarter. Northern Trust Corp now owns 1,905,214 shares of the company's stock worth $597,170,000 after buying an additional 22,202 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its stake in shares of Cummins by 0.5% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 1,634,580 shares of the company's stock worth $512,343,000 after buying an additional 8,487 shares in the last quarter. Raymond James Financial Inc. raised its stake in shares of Cummins by 152.3% in the 1st quarter. Raymond James Financial Inc. now owns 1,354,052 shares of the company's stock worth $424,414,000 after buying an additional 817,384 shares in the last quarter. Finally, Invesco Ltd. raised its stake in shares of Cummins by 11.6% in the 1st quarter. Invesco Ltd. now owns 1,215,956 shares of the company's stock worth $381,129,000 after buying an additional 126,362 shares in the last quarter. Institutional investors own 83.46% of the company's stock.

Analyst Ratings Changes

Several equities research analysts have recently commented on the company. Robert W. Baird upped their target price on Cummins from $315.00 to $355.00 and gave the company a "neutral" rating in a report on Friday, July 11th. Barclays upped their target price on Cummins from $381.00 to $387.00 and gave the company an "equal weight" rating in a report on Monday, July 21st. Wolfe Research raised Cummins from a "hold" rating to an "outperform" rating in a report on Monday, August 11th. Melius Research raised Cummins from a "hold" rating to a "buy" rating and set a $500.00 target price for the company in a report on Wednesday, September 3rd. Finally, Truist Financial upped their target price on Cummins from $342.00 to $380.00 and gave the company a "hold" rating in a report on Thursday, August 7th. Nine investment 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. Based on data from MarketBeat.com, Cummins currently has an average rating of "Moderate Buy" and a consensus price target of $393.57.

Insider Activity at Cummins

In other news, Director Karen H. Quintos sold 1,307 shares of the company's stock in a transaction dated Tuesday, August 19th. The stock was sold at an average price of $405.33, for a total transaction of $529,766.31. Following the completion of the sale, the director owned 5,227 shares in the company, valued at approximately $2,118,659.91. This represents a 20.00% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, VP Amy Rochelle Davis sold 5,002 shares of the company's stock in a transaction dated Thursday, August 14th. The stock was sold at an average price of $402.88, for a total value of $2,015,205.76. Following the sale, the vice president owned 20,738 shares of the company's stock, valued at approximately $8,354,925.44. This trade represents a 19.43% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 35,119 shares of company stock worth $14,159,885 in the last 90 days. Insiders own 0.41% of the company's stock.

Cummins Stock Performance

Shares of CMI stock opened at $422.60 on Wednesday. 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 fifty-two week low of $260.02 and a fifty-two week high of $432.50. The stock's 50-day moving average is $396.86 and its two-hundred day moving average is $343.77. The firm has a market cap of $58.23 billion, a P/E ratio of 19.87, a PEG ratio of 2.03 and a beta of 1.02.

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

Cummins Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, September 4th. Stockholders of record on Friday, August 22nd were paid a dividend of $2.00 per share. This is a boost from Cummins's previous quarterly dividend of $1.82. The ex-dividend date was Friday, August 22nd. This represents a $8.00 annualized dividend and a dividend yield of 1.9%. Cummins's dividend payout ratio is currently 37.61%.

Cummins 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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