ST Germain D J Co. Inc. Decreases Stock Position in Cummins Inc. $CMI

Key Points

• ST Germain D J Co. Inc. reduced its stake in Cummins Inc. by 1.7%, holding 52,219 shares valued at approximately $17.1 million at the end of the last quarter.
• Multiple research firms have recently upgraded Cummins' stock ratings, with an average price target set at $393.57 and a consensus rating of "Moderate Buy".
• Cummins declared a quarterly dividend of $2.00, an increase from the previous $1.82, representing an annual yield of 1.9%.

ST Germain D J Co. Inc. cut its stake in Cummins Inc. (NYSE:CMI - Free Report) by 1.7% in the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 52,219 shares of the company's stock after selling 923 shares during the period. ST Germain D J Co. Inc.'s holdings in Cummins were worth $17,102,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also recently bought and sold shares of the stock. FCG Investment Co purchased a new position in Cummins in the second quarter valued at $1,178,000. EdgeRock Capital LLC purchased a new position in Cummins in the second quarter valued at $455,000. Patron Partners LLC boosted its holdings in Cummins by 4.5% in the second quarter. Patron Partners LLC now owns 2,553 shares of the company's stock valued at $836,000 after purchasing an additional 109 shares during the period. MEAG MUNICH ERGO Kapitalanlagegesellschaft mbH purchased a new position in Cummins in the second quarter valued at $153,000. Finally, Sylvest Advisors LLC boosted its holdings in Cummins by 1.0% in the second quarter. Sylvest Advisors LLC now owns 3,342 shares of the company's stock valued at $1,095,000 after purchasing an additional 34 shares during the period. 83.46% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of research firms have weighed in on CMI. Evercore ISI restated an "outperform" rating on shares of Cummins in a research note on Tuesday, August 19th. Wolfe Research upgraded Cummins from a "hold" rating to an "outperform" rating in a research note on Monday, August 11th. Wells Fargo & Company upgraded Cummins to an "overweight" rating in a research note on Monday, August 11th. Truist Financial raised their price target on Cummins from $342.00 to $380.00 and gave the company a "hold" rating in a research note on Thursday, August 7th. Finally, Melius Research upgraded Cummins from a "hold" rating to a "buy" rating and set a $500.00 price target on the stock in a research note on Wednesday, September 3rd. Nine research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $393.57.

Insider Transactions at Cummins

In related news, CFO Mark Andrew Smith sold 6,500 shares of the business's stock in a transaction dated Wednesday, August 13th. The stock was sold at an average price of $405.00, for a total value of $2,632,500.00. Following the transaction, the chief financial officer owned 31,582 shares in the company, valued at $12,790,710. The trade was a 17.07% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, VP Robert Enright sold 1,860 shares of the business's stock in a transaction dated 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 transaction, the vice president owned 955 shares in the company, valued at $384,158.30. This trade represents a 66.07% 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 worth $14,159,885 over the last three months. 0.41% of the stock is currently owned by company insiders.

Cummins Stock Down 1.0%

CMI opened at $413.99 on Friday. The business's 50-day simple moving average is $392.70 and its 200-day simple moving average is $341.63. The company has a debt-to-equity ratio of 0.53, a quick ratio of 1.03 and a current ratio of 1.64. Cummins Inc. has a one year low of $260.02 and a one year high of $432.50. The stock has a market capitalization of $57.04 billion, a P/E ratio of 19.46, a price-to-earnings-growth ratio of 2.02 and a beta of 1.02.

Cummins (NYSE:CMI - Get Free Report) last posted its earnings results on Tuesday, August 5th. The company reported $6.43 EPS for the quarter, topping analysts' consensus estimates of $5.21 by $1.22. The business had revenue of $8.64 billion for the quarter, compared to analysts' expectations of $8.45 billion. Cummins had a return on equity of 26.96% and a net margin of 8.72%.The business's revenue was down 1.7% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $5.26 earnings per share. 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 $2.00 dividend. This is a boost from Cummins's previous quarterly dividend of $1.82. The ex-dividend date was Friday, August 22nd. This represents a $8.00 annualized dividend and a yield of 1.9%. Cummins's payout ratio 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.

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