Guggenheim Capital LLC Sells 5,146 Shares of Cummins Inc. $CMI

Key Points

• Guggenheim Capital LLC reduced its stake in Cummins Inc. by 5.1% during Q1, selling 5,146 shares, and now owns 95,072 shares, valued at approximately $29.8 million.
• Multiple large investors, including CreativeOne Wealth LLC and Ieq Capital LLC, have increased their holdings in Cummins, reflecting a continuing interest from institutional investors who now own 83.46% of the stock.
• Cummins recently announced a quarterly dividend increase to $2.00 per share, up from the previous $1.82, indicating confidence in its financial performance, with a current dividend yield of 2.0%.

Guggenheim Capital LLC cut its stake in shares of Cummins Inc. (NYSE:CMI - Free Report) by 5.1% in the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 95,072 shares of the company's stock after selling 5,146 shares during the quarter. Guggenheim Capital LLC owned about 0.07% of Cummins worth $29,799,000 as of its most recent SEC filing.

Several other large investors also recently bought and sold shares of the business. CreativeOne Wealth LLC increased its holdings in Cummins by 31.3% in the 1st quarter. CreativeOne Wealth LLC now owns 1,268 shares of the company's stock worth $397,000 after buying an additional 302 shares in the last quarter. Ieq Capital LLC increased its holdings in Cummins by 174.7% in the 1st quarter. Ieq Capital LLC now owns 33,370 shares of the company's stock worth $10,460,000 after buying an additional 21,220 shares in the last quarter. FORA Capital LLC bought a new stake in Cummins in the 1st quarter worth about $2,844,000. PKS Advisory Services LLC increased its holdings in Cummins by 2.4% in the 1st quarter. PKS Advisory Services LLC now owns 1,497 shares of the company's stock worth $469,000 after buying an additional 35 shares in the last quarter. Finally, Caisse DE Depot ET Placement DU Quebec increased its holdings in Cummins by 31.7% in the 1st quarter. Caisse DE Depot ET Placement DU Quebec now owns 32,159 shares of the company's stock worth $10,080,000 after buying an additional 7,741 shares in the last quarter. 83.46% of the stock is currently owned by institutional investors.

Insider Activity

In related news, Director Karen H. Quintos sold 1,307 shares of Cummins 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 of the company's stock, valued at $2,118,659.91. The trade was a 20.00% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CFO Mark Andrew Smith sold 6,500 shares of Cummins stock in a transaction dated Wednesday, August 13th. The stock was sold at an average price of $405.00, for a total value of $2,632,500.00. Following the sale, the chief financial officer directly owned 31,582 shares of the company's stock, valued at $12,790,710. This trade represents a 17.07% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 26,039 shares of company stock valued at $10,385,075. 0.41% of the stock is owned by insiders.

Wall Street Analysts Forecast Growth

CMI has been the subject of a number of recent research reports. Evercore ISI restated an "outperform" rating on shares of Cummins in a research note on Tuesday, August 19th. Morgan Stanley boosted their price target on Cummins from $340.00 to $350.00 and gave the stock an "overweight" rating in a report on Tuesday, May 6th. Barclays increased their target price on Cummins from $381.00 to $387.00 and gave the company an "equal weight" rating in a research report on Monday, July 21st. Truist Financial increased their target price on Cummins from $342.00 to $380.00 and gave the company a "hold" rating in a research report on Thursday, August 7th. Finally, Robert W. Baird increased their price target on Cummins from $315.00 to $355.00 and gave the company a "neutral" rating in a report on Friday, July 11th. Seven investment analysts have rated the stock with a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company currently has an average rating of "Hold" and a consensus target price of $370.83.

Cummins Price Performance

Shares of CMI stock opened at $398.65 on Wednesday. Cummins Inc. has a 1-year low of $260.02 and a 1-year high of $408.38. The stock's 50-day moving average is $358.19 and its 200 day moving average is $334.66. The company has a market cap of $54.93 billion, a P/E ratio of 18.74, a PEG ratio of 1.91 and a beta of 1.02. 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 (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, beating analysts' consensus estimates 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 the consensus estimate of $8.45 billion. During the same quarter last year, the company earned $5.26 earnings per share. The firm's revenue for the quarter was down 1.7% compared to the same quarter last year. Research analysts predict that Cummins Inc. will post 22.54 earnings per share for the current fiscal year.

Cummins Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, September 4th. Investors of record on Friday, August 22nd will be issued a dividend of $2.00 per share. This represents a $8.00 dividend on an annualized basis and a dividend yield of 2.0%. This is a positive change from Cummins's previous quarterly dividend of $1.82. The ex-dividend date of this dividend is Friday, August 22nd. 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.

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