Short Interest in Cummins Inc. (NYSE:CMI) Decreases By 6.9%

Cummins Inc. (NYSE:CMI) was the target of a significant decrease in short interest in July. As of July 31st, there was short interest totalling 2,310,000 shares, a decrease of 6.9% from the July 15th total of 2,480,000 shares. Currently, 1.7% of the company’s stock are short sold. Based on an average trading volume of 915,800 shares, the days-to-cover ratio is currently 2.5 days.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently weighed in on the stock. JPMorgan Chase & Co. upped their target price on shares of Cummins from $275.00 to $285.00 and gave the stock an “underweight” rating in a report on Friday, August 2nd. StockNews.com raised Cummins from a “hold” rating to a “buy” rating in a research report on Wednesday, May 8th. Citigroup initiated coverage on Cummins in a research report on Wednesday, June 26th. They issued a “buy” rating and a $320.00 price target for the company. TD Cowen lifted their price objective on shares of Cummins from $272.00 to $292.00 and gave the stock a “buy” rating in a report on Friday, May 10th. Finally, Robert W. Baird upped their target price on shares of Cummins from $295.00 to $315.00 and gave the stock a “neutral” rating in a research note on Friday, August 2nd. Two investment analysts have rated the stock with a sell rating, six have assigned a hold rating and five have issued a buy rating to the company’s stock. According to data from MarketBeat, Cummins currently has a consensus rating of “Hold” and an average target price of $299.55.

Cummins Stock Performance

NYSE CMI opened at $300.55 on Wednesday. The company has a debt-to-equity ratio of 0.51, a quick ratio of 0.84 and a current ratio of 1.34. The company has a market capitalization of $41.11 billion, a PE ratio of 22.00, a price-to-earnings-growth ratio of 1.93 and a beta of 0.99. Cummins has a 52-week low of $212.80 and a 52-week high of $322.83. The company has a 50-day simple moving average of $284.47 and a 200 day simple moving average of $281.73.

Cummins (NYSE:CMI) last issued its quarterly earnings results on Thursday, August 1st. The company reported $5.26 earnings per share (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 analyst estimates of $8.33 billion. During the same quarter last year, the business posted $5.18 EPS. Cummins’s quarterly revenue was up 2.3% compared to the same quarter last year. On average, research analysts predict that Cummins will post 18.61 EPS for the current year.

Cummins Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 5th. Stockholders of record on Friday, August 23rd will be given a dividend of $1.82 per share. This represents a $7.28 dividend on an annualized basis and a dividend 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’s dividend payout ratio is currently 53.29%.

Insider Buying and Selling

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

Institutional Investors Weigh In On Cummins

Large investors have recently added to or reduced their stakes in the company. Atlantic Edge Private Wealth Management LLC boosted its position in Cummins by 0.7% during the second quarter. Atlantic Edge Private Wealth Management LLC now owns 5,373 shares of the company’s stock worth $1,488,000 after purchasing an additional 35 shares during the period. EP Wealth Advisors LLC boosted its holdings in Cummins by 1.9% in the 2nd quarter. EP Wealth Advisors LLC now owns 1,876 shares of the company’s stock worth $520,000 after buying an additional 35 shares during the period. Albert D Mason Inc. grew its stake in Cummins by 0.4% in the 1st quarter. Albert D Mason Inc. now owns 9,257 shares of the company’s stock valued at $2,728,000 after buying an additional 37 shares in the last quarter. Fidelis Capital Partners LLC raised its holdings in Cummins by 3.4% during the 2nd quarter. Fidelis Capital Partners LLC now owns 1,166 shares of the company’s stock valued at $340,000 after acquiring an additional 38 shares during the period. Finally, Greenleaf Trust lifted its position in shares of Cummins by 0.5% during the first quarter. Greenleaf Trust now owns 7,720 shares of the company’s stock worth $2,275,000 after acquiring an additional 40 shares in the last quarter. Hedge funds and other institutional investors own 83.46% 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.