Cummins Inc. $CMI Shares Bought by Quantitative Investment Management LLC

Key Points

• Quantitative Investment Management LLC increased its holdings in Cummins Inc. by 102.7%, now owning 8,552 shares valued at $2.68 million as of the latest SEC filing.
• The company recently announced a quarterly dividend of $2.00 per share, up from the previous $1.82, resulting in an annualized dividend yield of 2.0%.
• Analysts have raised price targets for Cummins, with Wells Fargo upgrading to an "overweight" rating, while the average price target now stands at $370.83, indicating strong market interest.

Quantitative Investment Management LLC lifted its position in Cummins Inc. (NYSE:CMI - Free Report) by 102.7% in the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 8,552 shares of the company's stock after purchasing an additional 4,333 shares during the quarter. Quantitative Investment Management LLC's holdings in Cummins were worth $2,680,000 at the end of the most recent reporting period.

A number of other institutional investors also recently bought and sold shares of CMI. Olde Wealth Management LLC purchased a new position in Cummins during the first quarter worth about $30,000. Accredited Wealth Management LLC purchased a new position in Cummins in the 1st quarter valued at approximately $31,000. Capital A Wealth Management LLC acquired a new position in shares of Cummins in the fourth quarter worth $32,000. Opal Wealth Advisors LLC purchased a new stake in shares of Cummins during the first quarter worth $37,000. Finally, Richardson Financial Services Inc. purchased a new position in Cummins in the first quarter valued at $39,000. 83.46% of the stock is owned by hedge funds and other institutional investors.

Analyst Ratings Changes

CMI has been the topic of a number of analyst reports. The Goldman Sachs Group raised Cummins from a "neutral" rating to a "buy" rating and increased their price target for the company from $410.00 to $431.00 in a research report on Tuesday, May 27th. Wolfe Research upgraded shares of Cummins from a "hold" rating to an "outperform" rating in a report on Monday, August 11th. Truist Financial increased 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. Barclays lifted their price objective on shares of Cummins from $381.00 to $387.00 and gave the stock an "equal weight" rating in a research report on Monday, July 21st. Finally, Morgan Stanley increased their target price on Cummins from $340.00 to $350.00 and gave the company an "overweight" rating in a report on Tuesday, May 6th. Seven equities research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, Cummins presently has an average rating of "Hold" and a consensus target price of $370.83.

Insider Buying and Selling

In related news, VP Luther E. Peters sold 4,850 shares of Cummins stock in a transaction on Friday, August 8th. The shares were sold at an average price of $389.19, for a total value of $1,887,571.50. Following the transaction, the vice president directly owned 7,693 shares in the company, valued at $2,994,038.67. This trade represents a 38.67% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Karen H. Quintos sold 1,307 shares of the company's 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 transaction, the director owned 5,227 shares of the company's stock, valued at approximately $2,118,659.91. The trade was a 20.00% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 26,039 shares of company stock worth $10,385,075. 0.41% of the stock is currently owned by insiders.

Cummins Stock Performance

CMI stock traded up $0.80 on Thursday, hitting $402.20. The company's stock had a trading volume of 450,919 shares, compared to its average volume of 876,694. The stock has a market cap of $55.42 billion, a price-to-earnings ratio of 18.91, a price-to-earnings-growth ratio of 1.93 and a beta of 1.02. The firm has a 50 day moving average of $359.93 and a two-hundred day moving average of $335.12. The company has a current ratio of 1.64, a quick ratio of 1.03 and a debt-to-equity ratio of 0.53. Cummins Inc. has a 1 year low of $260.02 and a 1 year high of $408.38.

Cummins (NYSE:CMI - Get Free Report) last issued its quarterly earnings data on Tuesday, August 5th. The company reported $6.43 earnings per share (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 company had revenue of $8.64 billion for the quarter, compared to the consensus estimate of $8.45 billion. During the same period last year, the firm posted $5.26 EPS. Cummins's revenue for the quarter was down 1.7% on a year-over-year basis. Equities analysts predict that Cummins Inc. will post 22.54 EPS for the current fiscal year.

Cummins Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, September 4th. Shareholders of record on Friday, August 22nd will be given a dividend of $2.00 per share. This represents a $8.00 dividend on an annualized basis and a yield of 2.0%. The ex-dividend date of this dividend is Friday, August 22nd. This is a positive change from Cummins's previous quarterly dividend of $1.82. Cummins's payout ratio is 37.61%.

About Cummins

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.