Valtrion Capital Management LLC Takes Position in Cummins Inc. $CMI

Key Points

• Valtrion Capital Management initiated a position in Cummins, purchasing 2,439 shares valued at approximately $1.74 million. Cummins now represents about 1.3% of the firm’s portfolio.
• Analysts maintain a generally positive outlook, with 12 Buy ratings and four Holds contributing to a “Moderate Buy” consensus and an average price target of $745.64.
• Cummins reported quarterly revenue of $9.46 billion, up 9.4% year over year, though earnings per share of $6.73 fell short of estimates. The company also raised its quarterly dividend to $2.20 per share, or $8.80 annually.

Valtrion Capital Management LLC bought a new position in Cummins Inc. (NYSE:CMI - Free Report) during the 2nd quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm bought 2,439 shares of the company's stock, valued at approximately $1,740,000. Cummins comprises approximately 1.3% of Valtrion Capital Management LLC's investment portfolio, making the stock its 11th biggest position.

A number of other large investors have also added to or reduced their stakes in CMI. Activest Wealth Management boosted its stake in shares of Cummins by 537.5% in the 4th quarter. Activest Wealth Management now owns 51 shares of the company's stock worth $26,000 after buying an additional 43 shares during the last quarter. Cedar Mountain Advisors LLC increased its position in Cummins by 1,500.0% during the first quarter. Cedar Mountain Advisors LLC now owns 48 shares of the company's stock valued at $26,000 after acquiring an additional 45 shares during the last quarter. Persistent Asset Partners Ltd bought a new position in Cummins in the second quarter valued at about $26,000. Wellington Shields Capital Management LLC purchased a new position in Cummins in the fourth quarter worth about $27,000. Finally, Key Financial Inc grew its stake in shares of Cummins by 62.5% during the 1st quarter. Key Financial Inc now owns 52 shares of the company's stock valued at $28,000 after purchasing an additional 20 shares during the period. Institutional investors own 83.46% of the company's stock.

Analysts Set New Price Targets

CMI has been the topic of several recent research reports. Weiss Ratings upgraded shares of Cummins from a "buy (b-)" rating to a "buy (b)" rating in a research note on Monday, August 17th. Robert W. Baird set a $700.00 target price on shares of Cummins in a report on Wednesday, May 6th. Evercore reiterated an "outperform" rating and issued a $845.00 price target on shares of Cummins in a research report on Monday, May 11th. Citigroup lifted their price target on shares of Cummins from $770.00 to $790.00 and gave the stock a "buy" rating in a research note on Tuesday, July 14th. Finally, CICC Research initiated coverage on shares of Cummins in a research report on Sunday. They set an "outperform" rating for the company. Twelve equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat.com, Cummins currently has a consensus rating of "Moderate Buy" and an average price target of $745.64.

Insiders Place Their Bets

In other news, VP Earl Newsome sold 698 shares of the firm's stock in a transaction on Monday, August 24th. The stock was sold at an average price of $572.22, for a total transaction of $399,409.56. Following the transaction, the vice president owned 4,479 shares in the company, valued at approximately $2,562,973.38. This trade represents a 13.48% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. 0.30% of the stock is currently owned by company insiders.

Cummins Price Performance

CMI stock opened at $573.19 on Wednesday. The company has a market capitalization of $78.91 billion, a PE ratio of 29.29, a price-to-earnings-growth ratio of 1.36 and a beta of 1.24. Cummins Inc. has a one year low of $389.52 and a one year high of $737.76. The company has a debt-to-equity ratio of 0.48, a quick ratio of 1.13 and a current ratio of 1.73. The company's fifty day moving average price is $656.14 and its 200-day moving average price is $628.10.

Cummins (NYSE:CMI - Get Free Report) last posted its earnings results on Tuesday, August 4th. The company reported $6.73 EPS for the quarter, missing analysts' consensus estimates of $7.21 by ($0.48). The firm had revenue of $9.46 billion for the quarter, compared to the consensus estimate of $9.33 billion. Cummins had a net margin of 7.82% and a return on equity of 25.29%. The firm's revenue was up 9.4% compared to the same quarter last year. During the same quarter in the prior year, the company posted $6.43 earnings per share. On average, equities analysts anticipate that Cummins Inc. will post 30.06 EPS for the current fiscal year.

Cummins Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, September 3rd. Stockholders of record on Friday, August 21st will be given a dividend of $2.20 per share. This represents a $8.80 dividend on an annualized basis and a dividend yield of 1.5%. This is a boost from Cummins's previous quarterly dividend of $2.00. The ex-dividend date of this dividend is Friday, August 21st. Cummins's dividend payout ratio is 44.97%.

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.

Want to see what other hedge funds are holding CMI? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Cummins Inc. (NYSE:CMI - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source