Analysts Set Cummins Inc. (NYSE:CMI) Target Price at $745.64

Cummins Inc. (NYSE:CMI) has been assigned a consensus recommendation of “Moderate Buy” from the fifteen ratings firms that are presently covering the firm, Marketbeat reports. Four equities research analysts have rated the stock with a hold recommendation and eleven have assigned a buy recommendation to the company. The average twelve-month target price among analysts that have covered the stock in the last year is $745.6429.

Several equities research analysts recently commented on CMI shares. Zacks Research lowered shares of Cummins from a “strong-buy” rating to a “hold” rating in a research report on Monday, July 13th. Morgan Stanley upped their price target on shares of Cummins from $752.00 to $761.00 and gave the company an “overweight” rating in a report on Friday, July 17th. Truist Financial set a $894.00 price target on shares of Cummins in a research report on Wednesday. Weiss Ratings restated a “buy (b-)” rating on shares of Cummins in a research report on Monday, August 3rd. Finally, Argus upped their target price on Cummins from $696.00 to $770.00 and gave the company a “buy” rating in a research note on Monday, June 1st.

Insider Activity

In related news, VP Jennifer Mary Bush sold 5,000 shares of the company’s stock in a transaction on Tuesday, May 12th. The stock was sold at an average price of $696.21, for a total value of $3,481,050.00. Following the completion of the transaction, the vice president directly owned 11,986 shares in the company, valued at approximately $8,344,773.06. This represents a 29.44% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, VP Donald G. Jackson sold 730 shares of the stock in a transaction dated Thursday, May 14th. The stock was sold at an average price of $710.92, for a total value of $518,971.60. Following the transaction, the vice president owned 8,316 shares in the company, valued at $5,912,010.72. This trade represents a 8.07% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 0.30% of the stock is owned by company insiders.

Institutional Trading of Cummins

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Juno Financial Group LLC purchased a new position in Cummins in the 4th quarter worth approximately $883,000. Truist Financial Corp raised its position in shares of Cummins by 4.8% during the 4th quarter. Truist Financial Corp now owns 64,005 shares of the company’s stock valued at $32,671,000 after buying an additional 2,951 shares in the last quarter. Smith Salley Wealth Management lifted its holdings in shares of Cummins by 1,381.8% during the 4th quarter. Smith Salley Wealth Management now owns 21,768 shares of the company’s stock worth $11,111,000 after acquiring an additional 20,299 shares during the last quarter. Westfield Capital Management Co. LP purchased a new position in Cummins in the fourth quarter worth $7,797,000. Finally, Kepler Cheuvreux Suisse SA bought a new position in Cummins in the fourth quarter valued at $7,869,000. Hedge funds and other institutional investors own 83.46% of the company’s stock.

Cummins Stock Down 0.0%

Shares of NYSE CMI opened at $644.21 on Friday. The company has a quick ratio of 1.13, a current ratio of 1.73 and a debt-to-equity ratio of 0.48. Cummins has a 52 week low of $383.90 and a 52 week high of $737.76. The firm has a 50-day moving average price of $668.83 and a 200 day moving average price of $625.48. The stock has a market capitalization of $88.68 billion, a price-to-earnings ratio of 32.92, a price-to-earnings-growth ratio of 1.55 and a beta of 1.24.

Cummins (NYSE:CMI) last posted its quarterly earnings results on Tuesday, August 4th. The company reported $6.73 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $7.21 by ($0.48). The company had revenue of $9.46 billion for the quarter, compared to analyst estimates of $9.33 billion. Cummins had a net margin of 7.82% and a return on equity of 25.29%. Cummins’s revenue was up 9.4% on a year-over-year basis. During the same quarter in the previous year, the business posted $6.43 earnings per share. Equities research analysts anticipate that Cummins will post 29.73 EPS for the current fiscal year.

Cummins Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, September 3rd. Shareholders of record on Friday, August 21st will be issued a $2.20 dividend. This is a positive change from Cummins’s previous quarterly dividend of $2.00. The ex-dividend date is Friday, August 21st. This represents a $8.80 dividend on an annualized basis and a yield of 1.4%. Cummins’s payout ratio is currently 40.88%.

About Cummins

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.