Cummins Inc. $CMI Shares Sold by Rafferty Asset Management LLC

Key Points

• Rafferty Asset Management LLC reduced its holdings in Cummins Inc. by 19.9%, selling 2,551 shares, resulting in a total of 10,265 shares worth approximately $3.2 million.
• Cummins announced a quarterly dividend increase from $1.82 to $2.00 per share, leading to an annualized dividend of $8.00 with a yield of 2.0%.
• The company reported an EPS of $6.43 for the last quarter, exceeding analysts' estimates by $1.22, despite a 1.7% decline in revenue year-over-year.

Rafferty Asset Management LLC reduced its position in Cummins Inc. (NYSE:CMI - Free Report) by 19.9% during the 1st quarter, according to its most recent filing with the SEC. The firm owned 10,265 shares of the company's stock after selling 2,551 shares during the quarter. Rafferty Asset Management LLC's holdings in Cummins were worth $3,217,000 as of its most recent filing with the SEC.

Several other institutional investors also recently bought and sold shares of the company. Brighton Jones LLC boosted its position in shares of Cummins by 4.1% during the 4th quarter. Brighton Jones LLC now owns 2,112 shares of the company's stock worth $736,000 after purchasing an additional 83 shares in the last quarter. Comerica Bank boosted its position in shares of Cummins by 1.7% during the 4th quarter. Comerica Bank now owns 33,689 shares of the company's stock worth $11,744,000 after purchasing an additional 566 shares in the last quarter. Freestone Grove Partners LP purchased a new stake in shares of Cummins during the 4th quarter worth $26,431,000. Wahed Invest LLC boosted its position in shares of Cummins by 5.8% during the 4th quarter. Wahed Invest LLC now owns 3,512 shares of the company's stock worth $1,224,000 after purchasing an additional 194 shares in the last quarter. Finally, Albar Capital Partners LLP purchased a new stake in shares of Cummins during the 4th quarter worth $4,801,000. 83.46% of the stock is owned by institutional investors and hedge funds.

Insider Buying and Selling

In other Cummins news, VP Amy Rochelle Davis sold 5,002 shares of the company's stock in a transaction dated Thursday, August 14th. The shares were sold at an average price of $402.88, for a total value of $2,015,205.76. Following the transaction, the vice president directly owned 20,738 shares in the company, valued at approximately $8,354,925.44. This represents a 19.43% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, VP Robert Enright sold 1,860 shares of the company's stock in a transaction dated Friday, August 22nd. The shares were sold at an average price of $402.26, for a total transaction of $748,203.60. Following the transaction, the vice president directly owned 955 shares of the company's stock, valued at approximately $384,158.30. This represents a 66.07% decrease in their position. The disclosure for this sale can be found here. Insiders sold 26,039 shares of company stock worth $10,385,075 in the last 90 days. 0.41% of the stock is currently owned by corporate insiders.

Cummins Trading Up 2.4%

NYSE:CMI traded up $9.25 on Thursday, reaching $401.38. The stock had a trading volume of 762,740 shares, compared to its average volume of 726,117. The company has a market cap of $55.31 billion, a price-to-earnings ratio of 18.87, a P/E/G ratio of 1.89 and a beta of 1.02. The company has a debt-to-equity ratio of 0.53, a current ratio of 1.64 and a quick ratio of 1.03. The firm's fifty day moving average is $369.39 and its two-hundred day moving average is $336.22. Cummins Inc. has a 12-month low of $260.02 and a 12-month high of $408.38.

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

Cummins Increases Dividend

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

Analyst Ratings Changes

Several brokerages have commented on CMI. Truist Financial boosted their target price on shares of Cummins from $342.00 to $380.00 and gave the stock a "hold" rating in a research report on Thursday, August 7th. Barclays boosted their target price 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. The Goldman Sachs Group upgraded shares of Cummins from a "neutral" rating to a "buy" rating and boosted their price objective for the stock from $410.00 to $431.00 in a research report on Tuesday, May 27th. Wells Fargo & Company upgraded shares of Cummins to an "overweight" rating in a research report on Monday, August 11th. Finally, Wolfe Research upgraded shares of Cummins from a "hold" rating to an "outperform" rating in a research report on Monday, August 11th. Nine equities research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, Cummins has an average rating of "Moderate Buy" and a consensus price target of $389.29.

Cummins 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.