Vident Advisory LLC Purchases 4,474 Shares of Cummins Inc. $CMI

Key Points

• Vident Advisory LLC increased its holdings in Cummins Inc. by 64.1% in the first quarter, owning a total of 11,452 shares valued at approximately $3.59 million.
• Insider trading saw VP Robert Enright and CFO Mark Andrew Smith sell portions of their holdings, with total insider sales reaching $10.39 million in the last ninety days.
• Cummins declared a quarterly dividend of $2.00 per share, an increase from the previous dividend of $1.82, reflecting a positive cash return to shareholders.

Vident Advisory LLC boosted its stake in shares of Cummins Inc. (NYSE:CMI - Free Report) by 64.1% during the first quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund owned 11,452 shares of the company's stock after acquiring an additional 4,474 shares during the quarter. Vident Advisory LLC's holdings in Cummins were worth $3,590,000 as of its most recent SEC filing.

Other large investors have also made changes to their positions in the company. Brighton Jones LLC grew its holdings in shares of Cummins by 4.1% during the fourth quarter. Brighton Jones LLC now owns 2,112 shares of the company's stock worth $736,000 after buying an additional 83 shares in the last quarter. Comerica Bank grew its position in Cummins by 1.7% in the fourth quarter. Comerica Bank now owns 33,689 shares of the company's stock valued at $11,744,000 after acquiring an additional 566 shares during the last quarter. Aptus Capital Advisors LLC boosted its stake in shares of Cummins by 341.3% in the 4th quarter. Aptus Capital Advisors LLC now owns 5,071 shares of the company's stock valued at $1,768,000 after purchasing an additional 3,922 shares in the last quarter. BLI Banque de Luxembourg Investments bought a new stake in Cummins during the 4th quarter worth $32,393,000. Finally, Benjamin Edwards Inc. increased its stake in shares of Cummins by 2.6% in the fourth quarter. Benjamin Edwards Inc. now owns 34,584 shares of the company's stock valued at $12,080,000 after buying an additional 861 shares during the period. Institutional investors and hedge funds own 83.46% of the company's stock.

Cummins Stock Down 0.9%

NYSE CMI traded down $3.53 on Wednesday, hitting $391.70. The stock had a trading volume of 680,509 shares, compared to its average volume of 872,428. The business's fifty day moving average price is $366.41 and its 200 day moving average price is $335.64. The company has a debt-to-equity ratio of 0.53, a current ratio of 1.64 and a quick ratio of 1.03. Cummins Inc. has a 52-week low of $260.02 and a 52-week high of $408.38. The stock has a market cap of $53.97 billion, a price-to-earnings ratio of 18.42, a price-to-earnings-growth ratio of 1.93 and a beta of 1.02.

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

Cummins Increases Dividend

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

Insiders Place Their Bets

In other news, VP Robert Enright sold 1,860 shares of the firm's stock in a transaction that occurred on Friday, August 22nd. The shares were sold at an average price of $402.26, for a total transaction of $748,203.60. Following the transaction, the vice president directly owned 955 shares in the company, valued at approximately $384,158.30. This trade represents a 66.07% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, VP Amy Rochelle Davis sold 5,002 shares of Cummins stock in a transaction dated Thursday, August 14th. The shares were sold at an average price of $402.88, for a total transaction of $2,015,205.76. Following the completion of the sale, the vice president directly owned 20,738 shares in the company, valued at approximately $8,354,925.44. The trade was a 19.43% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 26,039 shares of company stock worth $10,385,075. 0.41% of the stock is currently owned by insiders.

Wall Street Analyst Weigh In

Several brokerages have recently commented on CMI. Robert W. Baird increased their price objective on Cummins from $315.00 to $355.00 and gave the stock a "neutral" rating in a research note on Friday, July 11th. The Goldman Sachs Group upgraded Cummins from a "neutral" rating to a "buy" rating and lifted their price objective for the stock from $410.00 to $431.00 in a report on Tuesday, May 27th. Evercore ISI reissued an "outperform" rating on shares of Cummins in a research report on Tuesday, August 19th. JPMorgan Chase & Co. upped their price objective on Cummins from $308.00 to $320.00 and gave the company a "neutral" rating in a research report on Tuesday, May 6th. Finally, Morgan Stanley boosted their target price on shares of Cummins from $340.00 to $350.00 and gave the company an "overweight" rating in a research note on Tuesday, May 6th. Nine equities research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat, Cummins currently has an average rating of "Moderate Buy" and an average target price of $389.29.

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.