Cummins Inc. $CMI Shares Purchased by The Manufacturers Life Insurance Company

Key Points

• The Manufacturers Life Insurance Company increased its stake in Cummins Inc. by 1.4%, acquiring an additional 3,991 shares to hold a total of 286,359 shares valued at approximately $89.76 million.
• Several institutional investors, including Brighton Jones LLC and Comerica Bank, have also recently increased their stakes in Cummins, indicating strong interest among hedge funds, which own over 83% of the company’s stock.
• Cummins recently declared a quarterly dividend of $2.00 per share, an increase from the previous $1.82, representing an annualized dividend of $8.00 and a yield of 2.0%.

The Manufacturers Life Insurance Company lifted its position in Cummins Inc. (NYSE:CMI - Free Report) by 1.4% during the 1st quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 286,359 shares of the company's stock after purchasing an additional 3,991 shares during the quarter. The Manufacturers Life Insurance Company owned about 0.21% of Cummins worth $89,757,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds have also bought and sold shares of the business. GAMMA Investing LLC grew its stake in shares of Cummins by 38,220.5% during the first quarter. GAMMA Investing LLC now owns 1,191,385 shares of the company's stock valued at $373,428,000 after buying an additional 1,188,276 shares during the last quarter. Raymond James Financial Inc. increased its stake in shares of Cummins by 152.3% in the first quarter. Raymond James Financial Inc. now owns 1,354,052 shares of the company's stock worth $424,414,000 after buying an additional 817,384 shares during the period. Nuveen LLC purchased a new position in shares of Cummins in the first quarter valued at about $109,120,000. Vanguard Group Inc. increased its holdings in Cummins by 1.9% during the 1st quarter. Vanguard Group Inc. now owns 17,283,469 shares of the company's stock valued at $5,417,331,000 after purchasing an additional 321,823 shares during the period. Finally, Balyasny Asset Management L.P. increased its stake in shares of Cummins by 5,553.8% during the fourth quarter. Balyasny Asset Management L.P. now owns 134,052 shares of the company's stock valued at $46,731,000 after buying an additional 131,681 shares during the period. 83.46% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

Several equities analysts recently issued reports on the stock. Citigroup boosted their price target on shares of Cummins from $380.00 to $425.00 and gave the company a "buy" rating in a research report on Wednesday, August 6th. Wolfe Research raised Cummins from a "hold" rating to an "outperform" rating in a research note on Monday, August 11th. Morgan Stanley increased their target price on Cummins from $340.00 to $350.00 and gave the stock an "overweight" rating in a research note on Tuesday, May 6th. Wells Fargo & Company raised shares of Cummins to an "overweight" rating in a research report on Monday, August 11th. Finally, Robert W. Baird increased their price objective on shares of Cummins from $315.00 to $355.00 and gave the company a "neutral" rating in a research report on Friday, July 11th. Seven analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the stock has a consensus rating of "Hold" and an average price target of $370.83.

Insider Buying and Selling

In other news, CFO Mark Andrew Smith sold 6,500 shares of the firm's stock in a transaction on Wednesday, August 13th. The stock was sold at an average price of $405.00, for a total transaction of $2,632,500.00. Following the transaction, the chief financial officer owned 31,582 shares in the company, valued at approximately $12,790,710. This trade represents a 17.07% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, VP Luther E. Peters sold 4,850 shares of Cummins stock in a transaction dated 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 completion of the transaction, the vice president owned 7,693 shares in the company, valued at $2,994,038.67. This trade represents a 38.67% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 26,039 shares of company stock worth $10,385,075 over the last ninety days. 0.41% of the stock is owned by insiders.

Cummins Stock Performance

Shares of CMI stock traded down $3.82 on Tuesday, reaching $394.62. The stock had a trading volume of 636,066 shares, compared to its average volume of 873,582. The stock has a market cap of $54.37 billion, a P/E ratio of 18.55, a price-to-earnings-growth ratio of 1.93 and a beta of 1.02. The company has a debt-to-equity ratio of 0.53, a quick ratio of 1.03 and a current ratio of 1.64. The company has a 50 day simple moving average of $364.99 and a 200 day simple moving average of $335.23. 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 released its earnings results on Tuesday, August 5th. The company reported $6.43 earnings per share for the quarter, beating analysts' consensus estimates 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 analysts' expectations of $8.45 billion. During the same quarter in the previous year, the company earned $5.26 EPS. Cummins's revenue for the quarter was down 1.7% on a year-over-year basis. Equities research analysts expect that Cummins Inc. will post 22.54 EPS for the current year.

Cummins Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 4th. Investors of record on Friday, August 22nd will be paid a $2.00 dividend. The ex-dividend date of this dividend is Friday, August 22nd. This represents a $8.00 annualized dividend and a yield of 2.0%. This is a boost 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.