ProShare Advisors LLC Increases Holdings in Cummins Inc. $CMI

Key Points

• ProShare Advisors LLC increased its Cummins stake by 9.5% in the fourth quarter, bringing its holdings to 25,618 shares valued at about $13.1 million. Several other large institutional investors also boosted positions, and institutions now own 83.46% of the stock.
• Cummins reported strong quarterly results, posting EPS of $6.15 versus the $5.63 consensus estimate and revenue of $8.40 billion, which slightly topped expectations. Revenue rose 2.7% year over year, and analysts now expect full-year EPS of 28.39.
• The company also announced a quarterly dividend of $2.00 per share, payable June 4, which works out to an annualized dividend of $8.00 and a yield of about 1.2%. Meanwhile, insider selling has been active, with executives recently selling shares and total insider sales reaching $14.5 million over the past three months.

ProShare Advisors LLC lifted its holdings in shares of Cummins Inc. (NYSE:CMI - Free Report) by 9.5% during the fourth quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 25,618 shares of the company's stock after purchasing an additional 2,230 shares during the period. ProShare Advisors LLC's holdings in Cummins were worth $13,077,000 at the end of the most recent reporting period.

A number of other large investors have also added to or reduced their stakes in CMI. Mirae Asset Global Investments Co. Ltd. lifted its position in shares of Cummins by 8.4% during the 3rd quarter. Mirae Asset Global Investments Co. Ltd. now owns 31,031 shares of the company's stock valued at $13,107,000 after buying an additional 2,417 shares during the last quarter. Bailard Inc. increased its holdings in Cummins by 7.2% in the 3rd quarter. Bailard Inc. now owns 59,830 shares of the company's stock worth $25,270,000 after acquiring an additional 4,035 shares during the last quarter. Fisher Asset Management LLC raised its stake in Cummins by 2.8% in the 3rd quarter. Fisher Asset Management LLC now owns 3,367,001 shares of the company's stock valued at $1,422,121,000 after acquiring an additional 91,956 shares during the period. Accredited Wealth Management LLC lifted its holdings in Cummins by 3,100.0% during the third quarter. Accredited Wealth Management LLC now owns 3,200 shares of the company's stock valued at $1,352,000 after purchasing an additional 3,100 shares during the last quarter. Finally, Bank of New York Mellon Corp lifted its holdings in Cummins by 50.8% during the third quarter. Bank of New York Mellon Corp now owns 1,450,659 shares of the company's stock valued at $612,715,000 after purchasing an additional 488,430 shares during the last quarter. Hedge funds and other institutional investors own 83.46% of the company's stock.

Cummins Stock Performance

Cummins stock opened at $669.22 on Thursday. The firm has a fifty day simple moving average of $608.71 and a two-hundred day simple moving average of $560.58. 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 twelve month low of $307.90 and a twelve month high of $718.08. The company has a market capitalization of $92.35 billion, a PE ratio of 34.73, a P/E/G ratio of 1.66 and a beta of 1.27.

Cummins (NYSE:CMI - Get Free Report) last issued its earnings results on Tuesday, May 5th. The company reported $6.15 earnings per share for the quarter, beating the consensus estimate of $5.63 by $0.52. Cummins had a return on equity of 25.25% and a net margin of 7.89%.The company had revenue of $8.40 billion during the quarter, compared to analysts' expectations of $8.37 billion. During the same period in the prior year, the business posted $5.96 EPS. Cummins's quarterly revenue was up 2.7% compared to the same quarter last year. Research analysts expect that Cummins Inc. will post 28.39 EPS for the current year.

Cummins Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, June 4th. Investors of record on Friday, May 22nd will be issued a dividend of $2.00 per share. This represents a $8.00 dividend on an annualized basis and a yield of 1.2%. The ex-dividend date is Friday, May 22nd. Cummins's payout ratio is currently 41.52%.

Insider Buying and Selling at Cummins

In other news, CAO Nicole Lamb-Hale sold 2,408 shares of the business's stock in a transaction that occurred on Friday, May 8th. The stock was sold at an average price of $685.34, for a total transaction of $1,650,298.72. Following the transaction, the chief accounting officer directly owned 14,084 shares of the company's stock, valued at approximately $9,652,328.56. The trade was a 14.60% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, VP Marvin Boakye sold 3,481 shares of the firm's stock in a transaction on Friday, May 8th. The stock was sold at an average price of $679.90, for a total value of $2,366,731.90. Following the completion of the sale, the vice president directly owned 8,508 shares of the company's stock, valued at $5,784,589.20. The trade was a 29.03% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 22,397 shares of company stock worth $14,465,833 over the last three months. 0.30% of the stock is owned by corporate insiders.

Analysts Set New Price Targets

Several research firms have recently issued reports on CMI. Sanford C. Bernstein set a $600.00 price target on shares of Cummins and gave the company a "market perform" rating in a research report on Friday, February 6th. Wells Fargo & Company increased their price objective on Cummins from $693.00 to $794.00 and gave the stock an "overweight" rating in a report on Wednesday, May 6th. Robert W. Baird set a $700.00 target price on Cummins in a research note on Wednesday, May 6th. Morgan Stanley raised their price objective on shares of Cummins from $675.00 to $752.00 and gave the company an "overweight" rating in a research report on Wednesday, May 6th. Finally, JPMorgan Chase & Co. increased their target price on shares of Cummins from $600.00 to $725.00 and gave the stock a "neutral" rating in a research note on Wednesday, May 6th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and five have given a Hold rating to the company's stock. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $677.87.

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.

Want to see what other hedge funds are holding CMI? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Cummins Inc. (NYSE:CMI - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.