Cummins Inc. (CMI) to Issue Quarterly Dividend of $1.82 on December 5th

Cummins Inc. (NYSE:CMI) declared a quarterly dividend on Tuesday, October 15th, RTT News reports. Shareholders of record on Friday, November 22nd will be given a dividend of 1.82 per share on Thursday, December 5th. This represents a $7.28 dividend on an annualized basis and a yield of 2.18%. The ex-dividend date is Friday, November 22nd.

Cummins has raised its dividend by an average of 7.2% per year over the last three years and has increased its dividend annually for the last 19 consecutive years. Cummins has a dividend payout ratio of 33.3% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect Cummins to earn $21.97 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 33.1%.

Cummins Stock Performance

Shares of NYSE CMI opened at $333.88 on Thursday. The company has a 50-day simple moving average of $311.09 and a 200-day simple moving average of $294.29. The company has a debt-to-equity ratio of 0.51, a current ratio of 1.34 and a quick ratio of 0.82. The company has a market cap of $45.67 billion, a PE ratio of 24.44, a price-to-earnings-growth ratio of 1.92 and a beta of 0.98. Cummins has a 12 month low of $212.80 and a 12 month high of $339.78.

Cummins (NYSE:CMI) last released its 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 firm had revenue of $8.80 billion during the quarter, compared to analysts’ expectations of $8.33 billion. During the same period in the previous year, the company earned $5.18 EPS. Cummins’s revenue for the quarter was up 2.3% on a year-over-year basis. On average, equities analysts anticipate that Cummins will post 19.77 earnings per share for the current year.

Insider Activity

In related news, VP Sharon R. Barner sold 4,780 shares of Cummins stock in a transaction dated 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 transaction, the vice president now directly owns 20,873 shares in the company, valued at approximately $6,269,205.55. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. In other Cummins news, SVP Tony Satterthwaite sold 24,250 shares of the stock in a transaction on Friday, August 23rd. The shares were sold at an average price of $308.24, for a total transaction of $7,474,820.00. Following the sale, the senior vice president now directly owns 77,442 shares of the company’s stock, valued at approximately $23,870,722.08. This represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, VP Sharon R. Barner sold 4,780 shares of Cummins stock in a transaction dated Thursday, August 15th. The shares were sold at an average price of $300.35, for a total transaction of $1,435,673.00. Following the completion of the transaction, the vice president now directly owns 20,873 shares of the company’s stock, valued at $6,269,205.55. This trade represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Company insiders own 0.56% of the company’s stock.

Analysts Set New Price Targets

Several equities analysts recently weighed in on the company. Evercore ISI increased their target price on Cummins from $290.00 to $294.00 and gave the stock an “in-line” rating in a research report on Monday, August 19th. Barclays increased their price objective on shares of Cummins from $259.00 to $310.00 and gave the stock an “equal weight” rating in a report on Monday, August 5th. Citigroup boosted their target price on shares of Cummins from $345.00 to $375.00 and gave the company a “buy” rating in a report on Wednesday, October 9th. Raymond James started coverage on shares of Cummins in a research note on Friday, June 28th. They set a “market perform” rating on the stock. Finally, Truist Financial boosted their price objective on shares of Cummins from $349.00 to $371.00 and gave the company a “hold” rating in a research note on Wednesday, October 9th. Two research analysts have rated the stock with a sell rating, six have assigned a hold rating and five have assigned a buy rating to the company’s stock. According to MarketBeat, Cummins presently has a consensus rating of “Hold” and a consensus target price of $311.55.

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.