Cummins Inc. (CMI) To Go Ex-Dividend on August 23rd

Cummins Inc. (NYSE:CMI) declared a quarterly dividend on Tuesday, July 9th, RTT News reports. Investors of record on Friday, August 23rd will be given a dividend of 1.82 per share on Thursday, September 5th. This represents a $7.28 annualized dividend and a yield of 2.42%. The ex-dividend date is Friday, August 23rd. This is a boost from Cummins’s previous quarterly dividend of $1.68.

Cummins has increased its dividend by an average of 7.2% per year over the last three years and has raised its dividend annually for the last 19 consecutive years. Cummins has a dividend payout ratio of 33.0% indicating that its dividend is sufficiently covered by earnings. Analysts expect Cummins to earn $21.54 per share next year, which means the company should continue to be able to cover its $7.28 annual dividend with an expected future payout ratio of 33.8%.

Cummins Stock Performance

Shares of Cummins stock opened at $300.55 on Wednesday. The business has a 50-day simple moving average of $284.47 and a 200-day simple moving average of $281.73. The company has a market cap of $41.11 billion, a PE ratio of 22.00, a P/E/G ratio of 1.93 and a beta of 0.99. Cummins has a one year low of $212.80 and a one year high of $322.83. The company has a debt-to-equity ratio of 0.51, a quick ratio of 0.84 and a current ratio of 1.34.

Cummins (NYSE:CMI) last posted its quarterly earnings results on Thursday, August 1st. The company reported $5.26 EPS for the quarter, topping the consensus estimate of $4.85 by $0.41. Cummins had a net margin of 5.69% and a return on equity of 25.73%. The company had revenue of $8.80 billion during the quarter, compared to analysts’ expectations of $8.33 billion. The firm’s revenue was up 2.3% on a year-over-year basis. During the same quarter in the previous year, the business posted $5.18 EPS. On average, equities research analysts forecast that Cummins will post 18.61 EPS for the current fiscal year.

Wall Street Analyst Weigh In

A number of analysts have issued reports on the company. Raymond James started coverage on Cummins in a report on Friday, June 28th. They set a “market perform” rating for the company. Truist Financial upped their price target on Cummins from $315.00 to $349.00 and gave the company a “hold” rating in a report on Monday, August 5th. JPMorgan Chase & Co. increased their price target on shares of Cummins from $275.00 to $285.00 and gave the company an “underweight” rating in a research note on Friday, August 2nd. TD Cowen boosted their price objective on shares of Cummins from $272.00 to $292.00 and gave the stock a “buy” rating in a research report on Friday, May 10th. Finally, Citigroup initiated coverage on shares of Cummins in a research report on Wednesday, June 26th. They issued a “buy” rating and a $320.00 target price on the stock. Two analysts have rated the stock with a sell rating, six have given a hold rating and five have given a buy rating to the company’s stock. According to MarketBeat, the company has an average rating of “Hold” and an average price target of $299.55.

Insider Activity

In other news, VP Jeffrey T. Wiltrout acquired 282 shares of Cummins stock in a transaction that occurred on Friday, May 24th. The stock was purchased at an average price of $285.11 per share, for a total transaction of $80,401.02. Following the completion of the transaction, the vice president now directly owns 1,262 shares in the company, valued at $359,808.82. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. In other Cummins news, VP Jeffrey T. Wiltrout acquired 282 shares of the company’s stock in a transaction that occurred on Friday, May 24th. The shares were purchased at an average price of $285.11 per share, with a total value of $80,401.02. Following the completion of the acquisition, the vice president now directly owns 1,262 shares of the company’s stock, valued at approximately $359,808.82. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, VP Sharon R. Barner sold 4,780 shares of the firm’s stock in a transaction on Thursday, August 15th. The shares were sold at an average price of $300.35, for a total value of $1,435,673.00. Following the completion of the sale, the vice president now directly owns 20,873 shares of the company’s stock, valued at approximately $6,269,205.55. The disclosure for this sale can be found here. Insiders own 0.56% of the company’s stock.

Cummins Company Profile

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.