Retirement Planning Co of New England Inc. Makes New $313,000 Investment in Cummins Inc. $CMI

Key Points

• Retirement Planning Co of New England Inc. acquired a new stake in Cummins Inc. by purchasing 1,000 shares valued at approximately $313,000.
• Cummins reported $6.43 EPS for the latest quarter, exceeding estimates and showing year-over-year revenue decrease of 1.7%.
• The company announced an increase in its quarterly dividend from $1.82 to $2.00, reflecting a positive change as it maintains a payout ratio of 37.61%.

Retirement Planning Co of New England Inc. bought a new position in Cummins Inc. (NYSE:CMI - Free Report) in the first quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor bought 1,000 shares of the company's stock, valued at approximately $313,000.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Fox Run Management L.L.C. acquired a new position in shares of Cummins during the 1st quarter worth about $2,749,000. Alpha Cubed Investments LLC acquired a new position in shares of Cummins during the 1st quarter worth about $440,000. Assenagon Asset Management S.A. boosted its stake in shares of Cummins by 8.9% during the 1st quarter. Assenagon Asset Management S.A. now owns 13,666 shares of the company's stock worth $4,283,000 after buying an additional 1,114 shares during the last quarter. Invesco Ltd. boosted its stake in shares of Cummins by 11.6% during the 1st quarter. Invesco Ltd. now owns 1,215,956 shares of the company's stock worth $381,129,000 after buying an additional 126,362 shares during the last quarter. Finally, Artemis Investment Management LLP boosted its stake in shares of Cummins by 19.1% during the 1st quarter. Artemis Investment Management LLP now owns 7,747 shares of the company's stock worth $2,428,000 after buying an additional 1,241 shares during the last quarter. 83.46% of the stock is owned by institutional investors and hedge funds.

Insider Transactions at Cummins

In other Cummins news, VP Robert Enright sold 1,860 shares of Cummins stock in a transaction on Friday, August 22nd. The shares were sold at an average price of $402.26, for a total value of $748,203.60. Following the completion of the sale, the vice president directly owned 955 shares of the company's stock, valued at approximately $384,158.30. The trade was a 66.07% decrease in their ownership of the stock. The transaction 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 business's stock in a transaction dated Tuesday, August 19th. The stock was sold at an average price of $405.33, for a total transaction of $529,766.31. Following the sale, the director directly 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 ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 26,039 shares of company stock valued at $10,385,075. 0.41% of the stock is owned by insiders.

Wall Street Analysts Forecast Growth

CMI has been the subject of a number of recent research reports. Barclays increased their price objective on shares of Cummins from $381.00 to $387.00 and gave the stock an "equal weight" rating in a research note on Monday, July 21st. Robert W. Baird increased their price objective on shares of Cummins from $315.00 to $355.00 and gave the stock a "neutral" rating in a research note on Friday, July 11th. Truist Financial raised their target price on shares of Cummins from $342.00 to $380.00 and gave the company a "hold" rating in a research note on Thursday, August 7th. Melius upgraded shares of Cummins from a "hold" rating to a "buy" rating and set a $500.00 target price for the company in a research note on Wednesday. Finally, Evercore ISI reiterated an "outperform" rating on shares of Cummins in a research note on Tuesday, August 19th. Nine 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's stock. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and an average price target of $389.29.

Cummins Price Performance

CMI traded down $3.53 during trading on Wednesday, hitting $391.70. 680,509 shares of the stock traded hands, compared to its average volume of 824,873. Cummins Inc. has a twelve month low of $260.02 and a twelve month high of $408.38. The company has a market cap of $53.97 billion, a price-to-earnings ratio of 18.42, a PEG ratio of 1.93 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 business has a 50 day moving average price of $367.86 and a 200 day moving average price of $336.03.

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

Cummins Increases Dividend

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

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.