Union Bancaire Privee UBP SA Lowers Stock Position in Cummins Inc. $CMI

Key Points

• Union Bancaire Privee UBP SA reduced its Cummins stake by 18.1% in the first quarter, selling 3,735 shares and leaving it with 16,864 shares valued at about $9.07 million.
• Several analysts remain constructive on Cummins, with recent targets as high as $874; the stock currently carries an average rating of “Moderate Buy” and an average price target of $731.86.
• Cummins posted a strong quarter, with EPS of $6.15 topping estimates and revenue of $8.40 billion slightly beating forecasts, while the company also paid a $2.00 quarterly dividend.

Union Bancaire Privee UBP SA cut its stake in shares of Cummins Inc. (NYSE:CMI - Free Report) by 18.1% in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 16,864 shares of the company's stock after selling 3,735 shares during the period. Union Bancaire Privee UBP SA's holdings in Cummins were worth $9,073,000 as of its most recent SEC filing.

Other large investors have also recently made changes to their positions in 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 during the period. Intech Investment Management LLC lifted its stake in Cummins by 40.8% during the first quarter. Intech Investment Management LLC now owns 3,956 shares of the company's stock worth $1,240,000 after purchasing an additional 1,146 shares in the last quarter. Treasurer of the State of North Carolina lifted its stake in Cummins by 2.8% during the second quarter. Treasurer of the State of North Carolina now owns 64,289 shares of the company's stock worth $21,055,000 after purchasing an additional 1,759 shares in the last quarter. ICW Investment Advisors LLC purchased a new position in shares of Cummins during the second quarter worth $225,000. Finally, Osterweis Capital Management Inc. acquired a new stake in shares of Cummins in the second quarter valued at $31,000. 83.46% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

CMI has been the topic of several research reports. Evercore reissued an "outperform" rating and set a $845.00 target price on shares of Cummins in a research note on Monday, May 11th. Wells Fargo & Company boosted their price target on shares of Cummins from $794.00 to $874.00 and gave the stock an "overweight" rating in a research note on Wednesday, June 17th. Robert W. Baird set a $700.00 price objective on shares of Cummins in a research note on Wednesday, May 6th. Sanford C. Bernstein reissued a "market perform" rating on shares of Cummins in a research note on Friday, May 22nd. Finally, Wall Street Zen cut shares of Cummins from a "strong-buy" rating to a "buy" rating in a report on Sunday, March 8th. One research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and four have issued a Hold rating to the company. Based on data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average price target of $731.86.

Insider Activity at Cummins

In other news, VP Donald G. Jackson sold 730 shares of Cummins stock in a transaction on Thursday, May 14th. The shares were sold at an average price of $710.92, for a total transaction of $518,971.60. Following the completion of the sale, the vice president directly owned 8,316 shares of the company's stock, valued at approximately $5,912,010.72. The trade was a 8.07% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, VP Marvin Boakye sold 3,481 shares of the business's stock in a transaction on Friday, May 8th. The stock was sold at an average price of $679.90, for a total transaction of $2,366,731.90. Following the transaction, the vice president owned 8,508 shares of the company's stock, valued at approximately $5,784,589.20. The trade was a 29.03% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 13,579 shares of company stock worth $9,377,684 over the last ninety days. 0.30% of the stock is currently owned by insiders.

Cummins Price Performance

Shares of NYSE CMI opened at $686.26 on Friday. The stock's 50-day moving average is $672.37 and its two-hundred day moving average is $597.71. The company has a debt-to-equity ratio of 0.50, a current ratio of 1.71 and a quick ratio of 1.11. Cummins Inc. has a 1-year low of $322.45 and a 1-year high of $737.76. The company has a market cap of $94.70 billion, a price-to-earnings ratio of 35.61, a price-to-earnings-growth ratio of 1.78 and a beta of 1.23.

Cummins (NYSE:CMI - Get Free Report) last announced its quarterly earnings data on Tuesday, May 5th. The company reported $6.15 earnings per share (EPS) for the quarter, beating the consensus estimate of $5.63 by $0.52. Cummins had a return on equity of 25.25% and a net margin of 7.89%.The business had revenue of $8.40 billion during the quarter, compared to analysts' expectations of $8.37 billion. During the same quarter last year, the business posted $5.96 EPS. The business's quarterly revenue was up 2.7% compared to the same quarter last year. Analysts forecast that Cummins Inc. will post 29.31 EPS for the current fiscal year.

Cummins Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, June 4th. Investors of record on Friday, May 22nd were paid a $2.00 dividend. The ex-dividend date was Friday, May 22nd. This represents a $8.00 dividend on an annualized basis and a yield of 1.2%. Cummins's payout ratio is currently 41.52%.

Cummins Company Profile

Cummins Inc NYSE: CMI is a global power technology company that designs, manufactures, distributes and services a broad portfolio of diesel and natural gas engines, electrified powertrains, power generation systems and related components. Founded in 1919 and headquartered in Columbus, Indiana, Cummins has grown into one of the world's leading suppliers of internal combustion engines and a provider of technologies that reduce emissions and improve fuel efficiency.

The company's product lineup includes heavy-, medium- and light-duty engines for on-highway and off-highway applications, generator sets and power systems for commercial and industrial use, and key engine components such as turbochargers, fuel systems, air handling, filtration and aftertreatment solutions.

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