Morgan Stanley Forecasts Strong Price Appreciation for Cummins (NYSE:CMI) Stock

Cummins (NYSE:CMI) had its price target lifted by investment analysts at Morgan Stanley from $752.00 to $761.00 in a research note issued on Friday,Benzinga reports. The brokerage presently has an “overweight” rating on the stock. Morgan Stanley’s target price suggests a potential upside of 16.79% from the stock’s previous close.

CMI has been the subject of a number of other research reports. JPMorgan Chase & Co. lifted their price target on Cummins from $600.00 to $725.00 and gave the stock a “neutral” rating in a report on Wednesday, May 6th. Barclays lifted their target price on Cummins from $610.00 to $760.00 and gave the stock an “overweight” rating in a research note on Wednesday, May 6th. Weiss Ratings cut Cummins from a “buy (b)” rating to a “buy (b-)” rating in a research note on Wednesday, May 6th. Evercore reiterated an “outperform” rating and issued a $845.00 price target on shares of Cummins in a research note on Monday, May 11th. Finally, Robert W. Baird set a $700.00 price objective on shares of Cummins in a research report on Wednesday, May 6th. Eleven research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $740.07.

Cummins Stock Up 0.6%

Shares of NYSE CMI traded up $3.74 during trading hours on Friday, hitting $651.57. The company had a trading volume of 468,643 shares, compared to its average volume of 959,511. Cummins has a 1-year low of $344.02 and a 1-year high of $737.76. The company has a quick ratio of 1.11, a current ratio of 1.71 and a debt-to-equity ratio of 0.50. The firm’s 50 day moving average is $677.66 and its 200-day moving average is $614.02. The stock has a market capitalization of $89.91 billion, a P/E ratio of 33.80, a price-to-earnings-growth ratio of 1.63 and a beta of 1.22.

Cummins (NYSE:CMI) last posted its quarterly earnings results on Tuesday, May 5th. The company reported $6.15 earnings per share (EPS) for the quarter, topping the consensus estimate of $5.63 by $0.52. Cummins had a net margin of 7.89% and a return on equity of 25.25%. The firm had revenue of $8.40 billion for the quarter, compared to analyst estimates of $8.37 billion. During the same period in the prior year, the firm posted $5.96 earnings per share. The company’s quarterly revenue was up 2.7% compared to the same quarter last year. On average, analysts expect that Cummins will post 29.35 earnings per share for the current fiscal year.

Insider Buying and Selling at Cummins

In other news, VP Jennifer Mary Bush sold 5,000 shares of the stock in a transaction on Tuesday, May 12th. The stock was sold at an average price of $696.21, for a total transaction of $3,481,050.00. Following the sale, the vice president directly owned 11,986 shares of the company’s stock, valued at approximately $8,344,773.06. This represents a 29.44% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, VP Donald G. Jackson sold 730 shares of the firm’s stock in a transaction on Thursday, May 14th. The stock was sold at an average price of $710.92, for a total value of $518,971.60. Following the completion of the transaction, the vice president owned 8,316 shares in the company, valued at $5,912,010.72. The trade was a 8.07% 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 valued at $9,377,684 over the last ninety days. 0.30% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Cummins

Several institutional investors and hedge funds have recently bought and sold shares of CMI. Thompson Investment Management Inc. bought a new stake in shares of Cummins during the 4th quarter worth approximately $26,000. Activest Wealth Management boosted its holdings in shares of Cummins by 537.5% in the 4th quarter. Activest Wealth Management now owns 51 shares of the company’s stock valued at $26,000 after purchasing an additional 43 shares in the last quarter. Cedar Mountain Advisors LLC increased its stake in shares of Cummins by 1,500.0% in the 1st quarter. Cedar Mountain Advisors LLC now owns 48 shares of the company’s stock valued at $26,000 after purchasing an additional 45 shares during the last quarter. Wellington Shields Capital Management LLC acquired a new position in shares of Cummins during the 4th quarter worth $27,000. Finally, Key Financial Inc boosted its stake in Cummins by 62.5% in the first quarter. Key Financial Inc now owns 52 shares of the company’s stock valued at $28,000 after buying an additional 20 shares in the last quarter. Institutional investors own 83.46% of the company’s stock.

Cummins News Summary

Here are the key news stories impacting Cummins this week:

• Positive Sentiment: Zacks Research lifted its Q3 2027 earnings estimate for Cummins (NYSE: CMI), reinforcing optimism around near-term profit trends.
• Positive Sentiment: Cummins was recently upgraded to Buy by Zacks, indicating improving analyst sentiment and potential upside from earnings strength. Article
• Neutral Sentiment: Several research notes made only small adjustments to longer-term earnings forecasts for Cummins (NYSE: CMI), suggesting analysts are still broadly comfortable with the company’s outlook. Article
• Neutral Sentiment: Commentary around Cummins’ upcoming earnings report points to a history of beating estimates, but no new operating update was provided. Article
• Negative Sentiment: Zacks trimmed its FY2027, Q4 2027, Q1 2028, Q2 2028 and FY2028 EPS estimates slightly, which may create some caution around longer-term earnings growth. Article

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.