Cummins Inc. (NYSE:CMI) Receives $361.92 Average Target Price from Analysts

Cummins Inc. (NYSE:CMI) has earned an average rating of “Hold” from the twelve analysts that are covering the firm, MarketBeat Ratings reports. One analyst has rated the stock with a sell recommendation, six have issued a hold recommendation and five have issued a buy recommendation on the company. The average 1-year price objective among brokerages that have covered the stock in the last year is $361.92.

A number of research firms recently issued reports on CMI. UBS Group downgraded Cummins from a “buy” rating to a “sell” rating and decreased their price objective for the stock from $400.00 to $240.00 in a report on Monday, April 7th. Barclays raised their price target on shares of Cummins from $381.00 to $387.00 and gave the stock an “equal weight” rating in a research note on Monday, July 21st. Robert W. Baird boosted their price objective on shares of Cummins from $315.00 to $355.00 and gave the stock a “neutral” rating in a research report on Friday, July 11th. Citigroup restated a “buy” rating and set a $360.00 target price (up previously from $350.00) on shares of Cummins in a report on Tuesday, June 24th. Finally, Truist Financial lowered their price target on shares of Cummins from $420.00 to $338.00 and set a “hold” rating on the stock in a research note on Tuesday, April 8th.

Cummins Stock Down 0.2%

Shares of CMI stock opened at $365.78 on Monday. Cummins has a 12-month low of $260.02 and a 12-month high of $387.90. The company has a quick ratio of 0.81, a current ratio of 1.34 and a debt-to-equity ratio of 0.40. The firm has a fifty day moving average of $332.61 and a 200-day moving average of $331.28. The company has a market capitalization of $50.39 billion, a price-to-earnings ratio of 18.20, a P/E/G ratio of 2.04 and a beta of 1.03.

Cummins (NYSE:CMI) last released its earnings results on Monday, May 5th. The company reported $5.96 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $4.92 by $1.04. Cummins had a return on equity of 26.88% and a net margin of 8.20%. The firm had revenue of $8.17 billion during the quarter, compared to analysts’ expectations of $8.22 billion. During the same quarter in the prior year, the company earned $5.08 EPS. The company’s revenue was down 2.7% on a year-over-year basis. As a group, equities research analysts predict that Cummins will post 22.54 earnings per share for the current fiscal year.

Cummins Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 4th. Stockholders of record on Friday, August 22nd will be given a $2.00 dividend. This represents a $8.00 dividend on an annualized basis and a dividend yield of 2.19%. The ex-dividend date is Friday, August 22nd. This is an increase from Cummins’s previous quarterly dividend of $1.82. Cummins’s dividend payout ratio (DPR) is 36.22%.

Insider Buying and Selling at Cummins

In other news, Director John H. Stone bought 1,000 shares of the business’s stock in a transaction that occurred on Friday, May 16th. The stock was acquired at an average cost of $332.08 per share, for a total transaction of $332,080.00. Following the purchase, the director owned 2,441 shares of the company’s stock, valued at approximately $810,607.28. This trade represents a 69.40% increase in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. 0.41% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Cummins

A number of institutional investors have recently bought and sold shares of CMI. KPP Advisory Services LLC raised its position in shares of Cummins by 35.9% in the second quarter. KPP Advisory Services LLC now owns 1,868 shares of the company’s stock valued at $612,000 after purchasing an additional 493 shares during the period. Forum Financial Management LP boosted its holdings in shares of Cummins by 6.0% during the 2nd quarter. Forum Financial Management LP now owns 1,702 shares of the company’s stock worth $557,000 after buying an additional 96 shares during the period. Ethic Inc. grew its stake in Cummins by 9.5% in the 2nd quarter. Ethic Inc. now owns 12,724 shares of the company’s stock valued at $4,144,000 after buying an additional 1,109 shares during the last quarter. Caliber Wealth Management LLC KS bought a new position in Cummins in the 2nd quarter valued at about $2,263,000. Finally, Brookstone Capital Management raised its holdings in Cummins by 32.0% in the 2nd quarter. Brookstone Capital Management now owns 2,461 shares of the company’s stock valued at $806,000 after acquiring an additional 597 shares during the period. Institutional investors and hedge funds 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.