Meritage Portfolio Management Trims Stock Holdings in Cummins Inc. (NYSE:CMI)

Meritage Portfolio Management lessened its stake in shares of Cummins Inc. (NYSE:CMI) by 0.9% in the 4th quarter, HoldingsChannel reports. The institutional investor owned 14,116 shares of the company’s stock after selling 122 shares during the quarter. Meritage Portfolio Management’s holdings in Cummins were worth $3,382,000 at the end of the most recent quarter.

Other institutional investors have also made changes to their positions in the company. OFI Invest Asset Management purchased a new position in shares of Cummins during the 3rd quarter worth approximately $25,000. Silver Oak Securities Incorporated acquired a new position in Cummins during the third quarter worth $28,000. Global Wealth Strategies & Associates acquired a new position in Cummins during the third quarter worth $29,000. Annis Gardner Whiting Capital Advisors LLC purchased a new position in shares of Cummins during the third quarter worth $39,000. Finally, Peoples Bank KS acquired a new stake in shares of Cummins in the third quarter valued at $43,000. 83.46% of the stock is currently owned by institutional investors and hedge funds.

Cummins Stock Performance

Shares of Cummins stock traded down $0.73 on Thursday, reaching $291.61. 751,511 shares of the stock were exchanged, compared to its average volume of 2,715,673. The firm has a market capitalization of $39.88 billion, a PE ratio of 56.37, a PEG ratio of 1.99 and a beta of 1.04. Cummins Inc. has a 1-year low of $203.18 and a 1-year high of $304.24. The business has a fifty day moving average price of $282.33 and a two-hundred day moving average price of $249.89. The company has a current ratio of 1.18, a quick ratio of 0.74 and a debt-to-equity ratio of 0.48.

Cummins (NYSE:CMI) last released its earnings results on Tuesday, February 6th. The company reported $4.14 earnings per share (EPS) for the quarter, missing the consensus estimate of $4.41 by ($0.27). The business had revenue of $8.54 billion for the quarter, compared to analyst estimates of $8.10 billion. Cummins had a return on equity of 25.68% and a net margin of 2.16%. The business’s revenue for the quarter was up 9.9% on a year-over-year basis. During the same quarter in the previous year, the firm posted $4.52 EPS. As a group, research analysts anticipate that Cummins Inc. will post 18.34 earnings per share for the current fiscal year.

Cummins Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, March 7th. Shareholders of record on Friday, February 23rd were given a dividend of $1.68 per share. The ex-dividend date of this dividend was Thursday, February 22nd. This represents a $6.72 annualized dividend and a dividend yield of 2.30%. Cummins’s payout ratio is currently 129.73%.

Insider Transactions at Cummins

In related news, VP Sharon R. Barner sold 2,100 shares of the firm’s stock in a transaction dated Wednesday, February 28th. The shares were sold at an average price of $271.29, for a total value of $569,709.00. Following the completion of the sale, the vice president now owns 16,899 shares in the company, valued at $4,584,529.71. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. In other Cummins news, SVP Tony Satterthwaite sold 37,450 shares of the company’s stock in a transaction on Wednesday, February 21st. The stock was sold at an average price of $265.05, for a total value of $9,926,122.50. Following the sale, the senior vice president now owns 73,741 shares of the company’s stock, valued at $19,545,052.05. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, VP Sharon R. Barner sold 2,100 shares of Cummins stock in a transaction dated Wednesday, February 28th. The stock was sold at an average price of $271.29, for a total transaction of $569,709.00. Following the transaction, the vice president now owns 16,899 shares of the company’s stock, valued at approximately $4,584,529.71. The disclosure for this sale can be found here. Insiders have sold a total of 51,289 shares of company stock valued at $13,576,838 in the last ninety days. 0.56% of the stock is currently owned by company insiders.

Wall Street Analysts Forecast Growth

A number of equities analysts recently commented on the company. Citigroup raised their target price on Cummins from $265.00 to $285.00 and gave the company a “buy” rating in a report on Monday, February 12th. Evercore ISI upped their target price on shares of Cummins from $231.00 to $244.00 and gave the stock an “in-line” rating in a research note on Tuesday, February 20th. Morgan Stanley initiated coverage on shares of Cummins in a research report on Monday, January 8th. They issued an “overweight” rating and a $278.00 price target for the company. StockNews.com raised Cummins from a “hold” rating to a “buy” rating in a research report on Monday. Finally, UBS Group upgraded Cummins from a “neutral” rating to a “buy” rating and increased their price objective for the company from $254.00 to $321.00 in a research note on Friday, March 15th. Two research analysts have rated the stock with a sell rating, three have issued a hold rating and six have given a buy rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus price target of $279.70.

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.