OLD Second National Bank of Aurora Grows Stock Holdings in Cummins Inc. $CMI

Key Points

• OLD Second National Bank of Aurora increased its stake in Cummins Inc. by 5.5%, now holding 16,568 shares valued at approximately $5.43 million.
• Cummins recently declared a quarterly dividend of $2.00 per share, a positive change from the previous $1.82, representing an annualized yield of 1.8%.
• Analysts have upgraded their ratings on Cummins, with nine analysts giving a Buy rating and setting an average price target of $393.57.

OLD Second National Bank of Aurora increased its stake in shares of Cummins Inc. (NYSE:CMI - Free Report) by 5.5% during the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 16,568 shares of the company's stock after buying an additional 865 shares during the period. Cummins comprises 1.2% of OLD Second National Bank of Aurora's portfolio, making the stock its 24th largest holding. OLD Second National Bank of Aurora's holdings in Cummins were worth $5,426,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other institutional investors have also recently added to or reduced their stakes in the stock. Mirae Asset Global Investments Co. Ltd. raised its position in Cummins by 33.3% during the second quarter. Mirae Asset Global Investments Co. Ltd. now owns 28,614 shares of the company's stock worth $9,371,000 after acquiring an additional 7,151 shares during the last quarter. J2 Capital Management Inc raised its position in Cummins by 40.6% during the second quarter. J2 Capital Management Inc now owns 945 shares of the company's stock worth $309,000 after acquiring an additional 273 shares during the last quarter. DMKC Advisory Services LLC raised its position in Cummins by 108.3% during the second quarter. DMKC Advisory Services LLC now owns 11,821 shares of the company's stock worth $4,116,000 after acquiring an additional 6,147 shares during the last quarter. McGuire Investment Group LLC raised its position in Cummins by 5.2% during the second quarter. McGuire Investment Group LLC now owns 19,109 shares of the company's stock worth $6,258,000 after acquiring an additional 945 shares during the last quarter. Finally, Pure Financial Advisors LLC acquired a new position in Cummins during the second quarter worth about $247,000. Hedge funds and other institutional investors own 83.46% of the company's stock.

Insider Activity

In related news, CFO Mark Andrew Smith sold 6,500 shares of the company's stock in a transaction that occurred on Wednesday, August 13th. The shares were sold at an average price of $405.00, for a total transaction of $2,632,500.00. Following the completion of the transaction, the chief financial officer owned 31,582 shares of the company's stock, valued at approximately $12,790,710. This represents a 17.07% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Karen H. Quintos sold 1,307 shares of the stock in a transaction on 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 directly owned 5,227 shares of the company's stock, valued at $2,118,659.91. The trade was a 20.00% 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 valued at $14,159,885 in the last ninety days. 0.41% of the stock is owned by company insiders.

Analyst Upgrades and Downgrades

A number of brokerages have issued reports on CMI. Robert W. Baird lifted their target price on shares of Cummins from $315.00 to $355.00 and gave the stock a "neutral" rating in a research report on Friday, July 11th. Evercore ISI restated an "outperform" rating on shares of Cummins in a research report on Tuesday, August 19th. Wolfe Research upgraded shares of Cummins from a "hold" rating to an "outperform" rating in a research report on Monday, August 11th. Truist Financial boosted their price objective on shares of Cummins from $342.00 to $380.00 and gave the company a "hold" rating in a research report on Thursday, August 7th. Finally, Melius Research raised shares of Cummins from a "hold" rating to a "buy" rating and set a $500.00 price objective for the company in a research report on Wednesday, September 3rd. Nine investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, Cummins presently has an average rating of "Moderate Buy" and an average price target of $393.57.

Cummins Stock Performance

Shares of CMI stock opened at $432.81 on Friday. Cummins Inc. has a one year low of $260.02 and a one year high of $433.00. The company has a debt-to-equity ratio of 0.53, a quick ratio of 1.03 and a current ratio of 1.64. The company has a 50 day moving average price of $399.47 and a 200 day moving average price of $345.06. The firm has a market capitalization of $59.64 billion, a price-to-earnings ratio of 20.35, a price-to-earnings-growth ratio of 2.05 and a beta of 1.04.

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

Cummins Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, September 4th. Investors of record on Friday, August 22nd were given a dividend of $2.00 per share. This represents a $8.00 annualized dividend and a yield of 1.8%. This is a positive change from Cummins's previous quarterly dividend of $1.82. The ex-dividend date of this dividend was Friday, August 22nd. Cummins's dividend payout ratio (DPR) is currently 37.61%.

Cummins Company 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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