Citigroup Has Lowered Expectations for Cummins (NYSE:CMI) Stock Price

Cummins (NYSE:CMI) had its target price cut by equities researchers at Citigroup from $790.00 to $630.00 in a research note issued on Monday, Benzinga reports. The brokerage currently has a “buy” rating on the stock. Citigroup’s price target would indicate a potential upside of 19.51% from the company’s previous close.

A number of other research firms have also issued reports on CMI. Morgan Stanley boosted their price objective on Cummins from $752.00 to $761.00 and gave the company an “overweight” rating in a research report on Friday, July 17th. CICC Research began coverage on Cummins in a research report on Sunday, August 23rd. They issued an “outperform” rating and a $781.00 target price on the stock. Sanford C. Bernstein reiterated a “market perform” rating and issued a $700.00 target price on shares of Cummins in a research note on Wednesday, August 5th. Wells Fargo & Company cut their target price on Cummins from $874.00 to $760.00 and set an “overweight” rating on the stock in a research note on Thursday. Finally, JPMorgan Chase & Co. reduced their price target on shares of Cummins from $690.00 to $600.00 and set a “neutral” rating for the company in a report on Wednesday, September 23rd. Thirteen equities research analysts have rated the stock with a Buy rating and five have given a Hold rating to the company’s stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $708.18.

Cummins Stock Performance

CMI traded up $3.75 on Monday, hitting $527.13. 972,969 shares of the company’s stock were exchanged, compared to its average volume of 985,479. The company has a current ratio of 1.73, a quick ratio of 1.13 and a debt-to-equity ratio of 0.48. The stock has a fifty day moving average of $567.50 and a two-hundred day moving average of $620.81. Cummins has a twelve month low of $400.72 and a twelve month high of $737.76. The firm has a market cap of $72.57 billion, a PE ratio of 26.94, a P/E/G ratio of 1.37 and a beta of 1.24.

Cummins (NYSE:CMI) last issued 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 company had revenue of $9.46 billion during 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%. The business’s revenue was up 9.4% on a year-over-year basis. During the same quarter in the previous year, the firm earned $6.43 earnings per share. On average, research analysts anticipate that Cummins will post 30.13 earnings per share for the current fiscal year.

Insider Transactions at Cummins

In related news, VP Earl Newsome sold 698 shares of Cummins stock in a transaction dated 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 directly owned 4,479 shares of the company’s stock, valued at $2,562,973.38. The trade was a 13.48% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 0.30% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Cummins

Several large investors have recently made changes to their positions in CMI. Dupree Financial Group LLC raised its stake in shares of Cummins by 0.8% during the third quarter. Dupree Financial Group LLC now owns 10,941 shares of the company’s stock valued at $5,652,000 after acquiring an additional 87 shares during the last quarter. Armstrong Advisory Group Inc. grew its stake in shares of Cummins by 93.8% in the third quarter. Armstrong Advisory Group Inc. now owns 994 shares of the company’s stock worth $513,000 after purchasing an additional 481 shares during the last quarter. Marquette Asset Management LLC grew its stake in shares of Cummins by 245.8% in the third quarter. Marquette Asset Management LLC now owns 83 shares of the company’s stock worth $43,000 after purchasing an additional 59 shares during the last quarter. Friday Financial bought a new stake in shares of Cummins in the third quarter worth $245,000. Finally, Stokes Capital Advisors LLC acquired a new stake in Cummins in the third quarter valued at $525,000. Institutional investors own 83.46% of the company’s stock.

About Cummins

Cummins Inc (NYSE: CMI) is a global power technology company headquartered in Columbus, Indiana. Founded in 1919, the company designs, manufactures, sells and services power solutions for commercial, industrial and infrastructure applications.

Its products include diesel and natural-gas engines, electrified powertrains, batteries, fuel cell systems, generators and other power-generation equipment. Cummins also produces components such as filtration systems, fuel systems, turbochargers and emission-control technologies.