Cummins Inc. (NYSE:CMI) Receives Consensus Rating of “Moderate Buy” from Analysts

Shares of Cummins Inc. (NYSE:CMI) have received a consensus rating of “Moderate Buy” from the fifteen ratings firms that are currently covering the stock, Marketbeat.com 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 price objective among analysts that have issued ratings on the stock in the last year is $740.0714.

A number of brokerages have recently issued reports on CMI. Raymond James Financial lifted their price target on Cummins from $675.00 to $745.00 and gave the stock an “outperform” rating in a research note on Tuesday, May 26th. Truist Financial raised their price objective on Cummins from $815.00 to $901.00 and gave the company a “buy” rating in a report on Thursday, July 2nd. Evercore reaffirmed an “outperform” rating and set a $845.00 target price on shares of Cummins in a report on Monday, May 11th. Citigroup increased their target price on shares of Cummins from $770.00 to $790.00 and gave the company a “buy” rating in a research report on Tuesday, July 14th. Finally, Zacks Research downgraded shares of Cummins from a “strong-buy” rating to a “hold” rating in a research note on Monday, July 13th.

Insiders Place Their Bets

In related news, VP Marvin Boakye sold 3,481 shares of the stock in a transaction that occurred on Friday, May 8th. The stock was sold at an average price of $679.90, for a total value of $2,366,731.90. Following the completion of the sale, the vice president owned 8,508 shares of the company’s stock, valued at approximately $5,784,589.20. This trade represents a 29.03% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Brett Michael Merritt sold 701 shares of Cummins stock in a transaction that occurred on Monday, May 11th. The stock was sold at an average price of $688.75, for a total value of $482,813.75. Following the transaction, the insider owned 10,404 shares in the company, valued at approximately $7,165,755. The trade was a 6.31% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 13,579 shares of company stock worth $9,377,684. 0.30% of the stock is currently owned by insiders.

Institutional Trading of Cummins

Hedge funds and other institutional investors have recently modified their holdings of the stock. Juno Financial Group LLC acquired a new stake in shares of Cummins during the 4th quarter worth about $883,000. Truist Financial Corp boosted its holdings in Cummins by 4.8% in the fourth quarter. Truist Financial Corp now owns 64,005 shares of the company’s stock valued at $32,671,000 after purchasing an additional 2,951 shares in the last quarter. Nordea Investment Management AB increased its stake in Cummins by 103.8% in the fourth quarter. Nordea Investment Management AB now owns 546,540 shares of the company’s stock valued at $280,397,000 after purchasing an additional 278,350 shares during the last quarter. California Public Employees Retirement System increased its stake in Cummins by 6.4% in the third quarter. California Public Employees Retirement System now owns 261,522 shares of the company’s stock valued at $110,459,000 after purchasing an additional 15,621 shares during the last quarter. Finally, Smith Salley Wealth Management raised its holdings in Cummins by 1,381.8% during the fourth quarter. Smith Salley Wealth Management now owns 21,768 shares of the company’s stock worth $11,111,000 after purchasing an additional 20,299 shares in the last quarter. 83.46% of the stock is owned by institutional investors and hedge funds.

Key Headlines Impacting Cummins

Here are the key news stories impacting Cummins this week:

• Positive Sentiment: Morgan Stanley boosted its price target on Cummins and kept an overweight rating, signaling confidence in further upside. Benzinga
• Neutral Sentiment: Zacks Research slightly raised its Q3 2027 EPS estimate for Cummins to $9.02 from $9.00, a small change that suggests stable longer-term expectations. Article
• Neutral Sentiment: Other Zacks revisions were mixed but generally small, with slight cuts to some FY2027/FY2028 estimates and a continued Hold rating, suggesting analysts are not seeing a major near-term change in fundamentals. Article

Cummins Trading Down 0.1%

CMI stock opened at $647.67 on Monday. The company has a current ratio of 1.71, a quick ratio of 1.11 and a debt-to-equity ratio of 0.50. Cummins has a 12-month low of $344.02 and a 12-month high of $737.76. The stock has a market cap of $89.37 billion, a price-to-earnings ratio of 33.61, a PEG ratio of 1.58 and a beta of 1.22. The business’s 50-day moving average is $677.02 and its 200 day moving average is $614.96.

Cummins (NYSE:CMI) last posted its quarterly earnings data on Tuesday, May 5th. The company reported $6.15 EPS for the quarter, topping the consensus estimate of $5.63 by $0.52. Cummins had a return on equity of 25.25% and a net margin of 7.89%.The company had revenue of $8.40 billion during the quarter, compared to analyst estimates of $8.37 billion. During the same period in the previous year, the business earned $5.96 EPS. Cummins’s quarterly revenue was up 2.7% on a year-over-year basis. On average, sell-side analysts anticipate that Cummins will post 29.34 EPS for the current fiscal year.

Cummins Increases Dividend

The firm also recently disclosed 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 represents a $8.80 dividend on an annualized basis and a yield of 1.4%. The ex-dividend date is Friday, August 21st. This is a positive change from Cummins’s previous quarterly dividend of $2.00. Cummins’s payout ratio is currently 41.52%.

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.