Illinois Municipal Retirement Fund Reduces Stake in Cummins Inc. $CMI

Illinois Municipal Retirement Fund cut its stake in Cummins Inc. (NYSE:CMI - Free Report) by 12.0% in the first quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund owned 39,076 shares of the company's stock after selling 5,329 shares during the quarter. Illinois Municipal Retirement Fund's holdings in Cummins were worth $21,024,000 as of its most recent SEC filing.

Several other institutional investors have also modified their holdings of CMI. Juno Financial Group LLC acquired a new stake in shares of Cummins during the fourth quarter valued at about $883,000. Truist Financial Corp lifted its holdings in shares of Cummins by 4.8% in the 4th quarter. Truist Financial Corp now owns 64,005 shares of the company's stock worth $32,671,000 after acquiring an additional 2,951 shares during the last quarter. Nordea Investment Management AB boosted its position in shares of Cummins by 103.8% during the 4th quarter. Nordea Investment Management AB now owns 546,540 shares of the company's stock worth $280,397,000 after purchasing an additional 278,350 shares during the period. Smith Salley Wealth Management boosted its position in shares of Cummins by 1,381.8% during the 4th quarter. Smith Salley Wealth Management now owns 21,768 shares of the company's stock worth $11,111,000 after purchasing an additional 20,299 shares during the period. Finally, Westfield Capital Management Co. LP acquired a new stake in Cummins in the 4th quarter valued at approximately $7,797,000. Hedge funds and other institutional investors own 83.46% of the company's stock.

Analysts Set New Price Targets

CMI has been the topic of a number of research analyst reports. Wells Fargo & Company boosted their target price on Cummins from $794.00 to $874.00 and gave the company an "overweight" rating in a research report on Wednesday, June 17th. UBS Group reaffirmed a "buy" rating on shares of Cummins in a research note on Wednesday, June 17th. Robert W. Baird set a $700.00 price objective on Cummins in a report on Wednesday, May 6th. Sanford C. Bernstein reissued a "market perform" rating on shares of Cummins in a research note on Friday, May 22nd. Finally, Morgan Stanley raised their target price on Cummins from $675.00 to $752.00 and gave the company an "overweight" rating in a report on Wednesday, May 6th. Eleven equities research analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. According to MarketBeat, Cummins presently has a consensus rating of "Moderate Buy" and a consensus price target of $739.43.

Cummins Price Performance

Cummins stock opened at $666.12 on Thursday. 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 $340.39 and a 52-week high of $737.76. The firm has a market cap of $91.92 billion, a PE ratio of 34.57, a price-to-earnings-growth ratio of 1.65 and a beta of 1.22. The company's 50 day moving average is $678.35 and its two-hundred day moving average is $613.12.

Cummins (NYSE:CMI - Get Free Report) last announced its quarterly earnings data on Tuesday, May 5th. The company reported $6.15 earnings per share (EPS) for the quarter, beating the consensus estimate of $5.63 by $0.52. The business had revenue of $8.40 billion for the quarter, compared to analysts' expectations of $8.37 billion. Cummins had a return on equity of 25.25% and a net margin of 7.89%.The company's revenue for the quarter was up 2.7% compared to the same quarter last year. During the same period last year, the firm earned $5.96 earnings per share. On average, research analysts expect that Cummins Inc. will post 29.35 EPS for the current fiscal year.

Cummins Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 3rd. Shareholders of record on Friday, August 21st will be issued a dividend of $2.20 per share. This is a positive change from Cummins's previous quarterly dividend of $2.00. The ex-dividend date is Friday, August 21st. This represents a $8.80 annualized dividend and a yield of 1.3%. Cummins's dividend payout ratio (DPR) is currently 41.52%.

Trending Headlines about Cummins

Here are the key news stories impacting Cummins this week:

• Positive Sentiment: Cummins was upgraded to Zacks Rank #2 (Buy), signaling improving earnings expectations and raising the odds that the stock could move higher if the company continues to deliver strong results. Article Title
• Positive Sentiment: Investors are also focused on Cummins’ 10% dividend hike, which supports the stock’s appeal as a cash-return story and may help sentiment around the shares. Article Title
• Positive Sentiment: Analysts say AI data center power demand could be an additional growth driver for Cummins, while raised 2030 targets reinforce the long-term earnings outlook. Article Title
• Neutral Sentiment: Several reports highlighted Cummins’ history of earnings beats and the possibility of another upside surprise in the next quarterly report, which could be a supportive near-term catalyst if management delivers again. Article Title
• Neutral Sentiment: One note said Cummins was downgraded from strong-buy to hold by Zacks Research, which is a mild headwind but does not change the broader positive tone around the name. Article Title
• Positive Sentiment: Cummins’ recently announced quarterly dividend increase and commentary that the stock may be undervalued are also helping support investor confidence in the shares. Article Title

Insider Buying and Selling

In related news, EVP Bonnie J. Fetch sold 652 shares of the business's stock in a transaction on Monday, May 11th. The shares were sold at an average price of $700.19, for a total transaction of $456,523.88. Following the completion of the transaction, the executive vice president owned 11,679 shares in the company, valued at approximately $8,177,519.01. The trade was a 5.29% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, VP Jennifer Mary Bush sold 5,000 shares of the company's stock in a transaction that occurred on Tuesday, May 12th. The shares were sold at an average price of $696.21, for a total value of $3,481,050.00. Following the completion of the transaction, the vice president directly owned 11,986 shares of the company's stock, valued at $8,344,773.06. This trade represents a 29.44% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 13,579 shares of company stock worth $9,377,684 over the last ninety days. Company insiders own 0.30% of the company's stock.

Cummins 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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