IFP Advisors Inc Purchases 5,157 Shares of Cummins Inc. $CMI

Key Points

• IFP Advisors increased its Cummins stake by 141.8% in the third quarter, purchasing 5,157 additional shares for a total of 8,795 shares valued at approximately $4.54 million. Institutional investors own 83.46% of the company.
• Cummins shares opened at $522.38, well below their 52-week high of $737.76. The company reported quarterly EPS of $6.73, missing estimates of $7.21, although revenue rose 9.4% year over year to $9.46 billion.
• The company declared a quarterly dividend of $2.20 per share, equivalent to an annualized $8.80 payout and a 1.7% yield. Analysts maintain a “Moderate Buy” consensus rating with an average price target of $703.18.

IFP Advisors Inc lifted its holdings in shares of Cummins Inc. (NYSE:CMI - Free Report) by 141.8% during the 3rd quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 8,795 shares of the company's stock after purchasing an additional 5,157 shares during the period. IFP Advisors Inc's holdings in Cummins were worth $4,543,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also recently bought and sold shares of the company. BlackRock Inc. bought a new stake in Cummins during the second quarter worth $8,204,241,000. Bank of America Corp DE bought a new position in Cummins in the 2nd quarter valued at $1,408,353,000. Bank of New York Mellon Corp bought a new position in shares of Cummins in the second quarter worth $973,198,000. Legal & General Group Plc purchased a new position in Cummins in the second quarter worth $666,635,000. Finally, Vontobel Holding Ltd. raised its position in Cummins by 1,436.1% during the third quarter. Vontobel Holding Ltd. now owns 584,674 shares of the company's stock valued at $302,025,000 after purchasing an additional 546,613 shares in the last quarter. 83.46% of the stock is owned by institutional investors.

Cummins Stock Down 1.7%

Shares of CMI opened at $522.38 on Tuesday. Cummins Inc. has a 52-week low of $407.57 and a 52-week high of $737.76. The company has a market cap of $71.91 billion, a PE ratio of 21.70, a P/E/G ratio of 1.40 and a beta of 1.24. The company has a quick ratio of 1.13, a current ratio of 1.73 and a debt-to-equity ratio of 0.48. The business has a fifty day moving average of $553.66 and a 200 day moving average of $620.52.

Cummins (NYSE:CMI - Get Free Report) last posted its quarterly earnings results on Tuesday, August 4th. The company reported $6.73 EPS for the quarter, missing analysts' consensus estimates of $7.21 by ($0.48). The company had revenue of $9.46 billion during the quarter, compared to the consensus estimate of $9.33 billion. Cummins had a return on equity of 25.29% and a net margin of 7.82%. The company's revenue for the quarter was up 9.4% on a year-over-year basis. During the same quarter in the previous year, the company posted $6.43 earnings per share. On average, sell-side analysts expect that Cummins Inc. will post 29.98 EPS for the current year.

Cummins Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, December 3rd. Investors of record on Friday, November 20th will be given a dividend of $2.20 per share. The ex-dividend date of this dividend is Friday, November 20th. This represents a $8.80 dividend on an annualized basis and a yield of 1.7%. Cummins's dividend payout ratio is presently 44.97%.

Insider Transactions at Cummins

In other news, VP Earl Newsome sold 698 shares of the stock in a transaction on Monday, August 24th. The stock was sold at an average price of $572.22, for a total transaction of $399,409.56. Following the completion of the sale, the vice president owned 4,479 shares in the company, valued at approximately $2,562,973.38. This represents a 13.48% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Corporate insiders own 0.30% of the company's stock.

Analyst Upgrades and Downgrades

Several equities analysts have recently commented on CMI shares. Bank of America lowered their price objective on shares of Cummins from $731.00 to $600.00 in a research note on Thursday, September 24th. Truist Financial decreased their price target on Cummins from $894.00 to $779.00 and set a "buy" rating for the company in a research note on Monday, October 5th. CICC Research began coverage on shares of Cummins in a research note on Sunday, August 23rd. They set an "outperform" rating and a $781.00 target price on the stock. Morgan Stanley increased their price objective on shares of Cummins from $752.00 to $761.00 and gave the company an "overweight" rating in a research report on Friday, July 17th. Finally, UBS Group lowered their price objective on shares of Cummins from $835.00 to $741.00 and set a "buy" rating on the stock in a research note on Wednesday, September 30th. Thirteen equities research analysts have rated the stock with a Buy rating and five have given a Hold rating to the company's stock. According to data from MarketBeat.com, Cummins presently has an average rating of "Moderate Buy" and an average price target of $703.18.

Cummins Company Profile

Cummins Inc is a global power technology company headquartered in Columbus, Indiana. Founded in 1919, the company designs, manufactures, sells and services engines and power systems for commercial vehicles, industrial equipment, mining, construction, agriculture, marine applications and other markets.

Cummins' product portfolio includes diesel and natural gas engines, generators and other power-generation equipment, as well as fuel systems, filtration products, emissions-control systems, turbochargers and drivetrain components.

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