Ironwood Investment Counsel LLC Sells 5,969 Shares of Cummins Inc. $CMI

Key Points

• Ironwood Investment Counsel cut its Cummins stake by 31.9% in Q1, selling 5,969 shares and leaving it with 12,738 shares valued at about $6.85 million.
• Cummins continues to draw generally positive analyst attention, with firms like Morgan Stanley, Barclays, and Truist raising targets, though Zacks recently downgraded the stock to Hold; the consensus rating remains Moderate Buy.
• The company posted solid quarterly results, beating EPS and revenue estimates, and also raised its quarterly dividend to $2.20 per share from $2.00, implying an annualized yield of about 1.4%.

Ironwood Investment Counsel LLC lowered its position in shares of Cummins Inc. (NYSE:CMI - Free Report) by 31.9% in the first quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 12,738 shares of the company's stock after selling 5,969 shares during the quarter. Cummins makes up approximately 1.0% of Ironwood Investment Counsel LLC's holdings, making the stock its 27th biggest holding. Ironwood Investment Counsel LLC's holdings in Cummins were worth $6,853,000 at the end of the most recent reporting period.

Several other institutional investors have also recently added to or reduced their stakes in CMI. Thompson Investment Management Inc. bought a new stake in Cummins during the fourth quarter worth about $26,000. Activest Wealth Management increased its holdings in shares of Cummins by 537.5% during the fourth quarter. Activest Wealth Management now owns 51 shares of the company's stock worth $26,000 after buying an additional 43 shares in the last quarter. Cedar Mountain Advisors LLC raised its stake in shares of Cummins by 1,500.0% in the first quarter. Cedar Mountain Advisors LLC now owns 48 shares of the company's stock valued at $26,000 after acquiring an additional 45 shares during the last quarter. Wellington Shields Capital Management LLC acquired a new position in shares of Cummins in the 4th quarter worth approximately $27,000. Finally, Key Financial Inc boosted its holdings in shares of Cummins by 62.5% in the 1st quarter. Key Financial Inc now owns 52 shares of the company's stock worth $28,000 after acquiring an additional 20 shares in the last quarter. 83.46% of the stock is owned by institutional investors.

More Cummins News

Here are the key news stories impacting Cummins this week:

• Positive Sentiment: Morgan Stanley boosted its price target on Cummins and kept an overweight rating, signaling confidence in further upside. Benzinga
• Neutral Sentiment: Zacks Research slightly raised its Q3 2027 EPS estimate for Cummins to $9.02 from $9.00, a small change that suggests stable longer-term expectations. Article
• Neutral Sentiment: Other Zacks revisions were mixed but generally small, with slight cuts to some FY2027/FY2028 estimates and a continued Hold rating, suggesting analysts are not seeing a major near-term change in fundamentals. Article

Insiders Place Their Bets

In other Cummins news, insider Brett Michael Merritt sold 701 shares of the company's stock in a transaction dated Monday, May 11th. The shares were sold at an average price of $688.75, for a total transaction of $482,813.75. Following the transaction, the insider directly owned 10,404 shares in the company, valued at approximately $7,165,755. This represents a 6.31% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CAO Nicole Lamb-Hale sold 2,408 shares of the firm's stock in a transaction dated Friday, May 8th. The shares were sold at an average price of $685.34, for a total transaction of $1,650,298.72. Following the completion of the transaction, the chief accounting officer directly owned 14,084 shares in the company, valued at $9,652,328.56. This trade represents a 14.60% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 13,579 shares of company stock valued at $9,377,684 over the last 90 days. Corporate insiders own 0.30% of the company's stock.

Analyst Ratings Changes

A number of equities research analysts recently weighed in on the company. UBS Group reaffirmed a "buy" rating on shares of Cummins in a report on Wednesday, June 17th. Barclays increased their target price on Cummins from $610.00 to $760.00 and gave the stock an "overweight" rating in a report on Wednesday, May 6th. Zacks Research lowered Cummins from a "strong-buy" rating to a "hold" rating in a research note on Monday, July 13th. Morgan Stanley lifted their price target on Cummins from $752.00 to $761.00 and gave the company an "overweight" rating in a report on Friday. Finally, Truist Financial upped their price target on shares of Cummins from $815.00 to $901.00 and gave the stock a "buy" rating in a research report on Thursday, July 2nd. Eleven equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $740.07.

Cummins Stock Performance

CMI stock opened at $647.67 on Monday. The company has a 50 day moving average price of $677.02 and a 200 day moving average price of $614.96. Cummins Inc. has a fifty-two week low of $344.02 and a fifty-two week high of $737.76. The company has a debt-to-equity ratio of 0.50, a current ratio of 1.71 and a quick ratio of 1.11. The stock has a market capitalization of $89.37 billion, a PE ratio of 33.61, a price-to-earnings-growth ratio of 1.58 and a beta of 1.22.

Cummins (NYSE:CMI - Get Free Report) last announced its quarterly earnings data on Tuesday, May 5th. The company reported $6.15 EPS for the quarter, beating analysts' consensus estimates of $5.63 by $0.52. The firm had revenue of $8.40 billion for the quarter, compared to analyst estimates of $8.37 billion. Cummins had a return on equity of 25.25% and a net margin of 7.89%.The business's quarterly revenue was up 2.7% compared to the same quarter last year. During the same period last year, the company earned $5.96 EPS. Analysts forecast that Cummins Inc. will post 29.34 EPS for the current year.

Cummins Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 3rd. Stockholders of record on Friday, August 21st will be paid a dividend of $2.20 per share. This represents a $8.80 annualized dividend and a dividend yield of 1.4%. This is a boost from Cummins's previous quarterly dividend of $2.00. The ex-dividend date of this dividend is Friday, August 21st. Cummins's payout ratio is currently 41.52%.

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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