Cummins (NYSE:CMI) Upgraded to “Strong-Buy” at StockNews.com

StockNews.com upgraded shares of Cummins (NYSE:CMI) from a buy rating to a strong-buy rating in a research report released on Wednesday.

A number of other research analysts have also weighed in on the company. Vertical Research lowered Cummins from a “buy” rating to a “hold” rating and set a $350.00 target price for the company. in a report on Wednesday. Barclays lifted their target price on Cummins from $259.00 to $310.00 and gave the company an “equal weight” rating in a report on Monday, August 5th. JPMorgan Chase & Co. lifted their target price on Cummins from $285.00 to $340.00 and gave the company an “underweight” rating in a report on Friday, October 11th. Citigroup lifted their target price on Cummins from $345.00 to $375.00 and gave the company a “buy” rating in a report on Wednesday, October 9th. Finally, Evercore ISI boosted their price objective on Cummins from $290.00 to $294.00 and gave the stock an “in-line” rating in a report on Monday, August 19th. Two analysts have rated the stock with a sell rating, seven have given a hold rating, four have assigned a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat.com, Cummins presently has a consensus rating of “Hold” and a consensus price target of $324.83.

Cummins Stock Performance

Cummins stock traded up $0.42 during midday trading on Wednesday, reaching $356.43. The stock had a trading volume of 19,605 shares, compared to its average volume of 1,501,466. Cummins has a 12 month low of $214.57 and a 12 month high of $370.21. The firm’s 50-day moving average price is $321.21 and its 200 day moving average price is $298.27. The firm has a market capitalization of $48.85 billion, a PE ratio of 25.67, a P/E/G ratio of 1.88 and a beta of 0.97. The company has a quick ratio of 0.82, a current ratio of 1.34 and a debt-to-equity ratio of 0.51.

Cummins (NYSE:CMI) last posted its earnings results on Tuesday, November 5th. The company reported $5.86 earnings per share for the quarter, beating analysts’ consensus estimates of $4.89 by $0.97. The business had revenue of $8.46 billion during the quarter, compared to analyst estimates of $8.29 billion. Cummins had a return on equity of 25.73% and a net margin of 5.69%. The company’s quarterly revenue was up .3% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $4.73 EPS. As a group, research analysts predict that Cummins will post 19.96 earnings per share for the current fiscal year.

Cummins Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, December 5th. Investors of record on Friday, November 22nd will be given a $1.82 dividend. The ex-dividend date of this dividend is Friday, November 22nd. This represents a $7.28 dividend on an annualized basis and a yield of 2.04%. Cummins’s payout ratio is 52.49%.

Insider Buying and Selling

In other Cummins news, SVP Tony Satterthwaite sold 24,250 shares of the business’s stock in a transaction that occurred on Friday, August 23rd. The stock was sold at an average price of $308.24, for a total value of $7,474,820.00. Following the completion of the sale, the senior vice president now owns 77,442 shares in the company, valued at approximately $23,870,722.08. The trade was a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. In other Cummins news, VP Sharon R. Barner sold 4,780 shares of the business’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 completion of the sale, the vice president now owns 20,873 shares in the company, valued at approximately $6,269,205.55. The trade was a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, SVP Tony Satterthwaite sold 24,250 shares of the business’s stock in a transaction that occurred on Friday, August 23rd. The shares were sold at an average price of $308.24, for a total value of $7,474,820.00. Following the completion of the sale, the senior vice president now owns 77,442 shares of the company’s stock, valued at $23,870,722.08. The trade was a 0.00 % decrease in their position. The disclosure for this sale can be found here. 0.56% of the stock is currently owned by corporate insiders.

Institutional Trading of Cummins

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Cultivar Capital Inc. bought a new position in shares of Cummins during the second quarter valued at approximately $28,000. CarsonAllaria Wealth Management Ltd. bought a new position in shares of Cummins during the second quarter valued at approximately $28,000. Lynx Investment Advisory bought a new position in shares of Cummins during the second quarter valued at approximately $29,000. LRI Investments LLC bought a new position in shares of Cummins during the first quarter valued at approximately $31,000. Finally, Kathleen S. Wright Associates Inc. bought a new position in shares of Cummins during the third quarter valued at approximately $34,000. Institutional investors own 83.46% of the company’s stock.

About Cummins

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.