Vanguard Group Inc. Has $4.91 Billion Stake in Cummins Inc. (NYSE:CMI)

Vanguard Group Inc. reduced its stake in Cummins Inc. (NYSE:CMI) by 6.1% in the 1st quarter, according to the company in its most recent filing with the SEC. The fund owned 16,670,593 shares of the company’s stock after selling 1,084,920 shares during the quarter. Vanguard Group Inc. owned approximately 12.19% of Cummins worth $4,911,990,000 at the end of the most recent reporting period.

A number of other large investors have also recently added to or reduced their stakes in the stock. Price T Rowe Associates Inc. MD lifted its stake in shares of Cummins by 3.5% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 7,343,678 shares of the company’s stock worth $1,759,326,000 after buying an additional 246,025 shares during the last quarter. Fisher Asset Management LLC boosted its holdings in Cummins by 4.3% during the fourth quarter. Fisher Asset Management LLC now owns 2,590,894 shares of the company’s stock valued at $620,701,000 after acquiring an additional 106,017 shares during the period. Dimensional Fund Advisors LP grew its position in shares of Cummins by 6.1% in the fourth quarter. Dimensional Fund Advisors LP now owns 1,673,737 shares of the company’s stock valued at $400,990,000 after purchasing an additional 96,387 shares during the last quarter. Ontario Teachers Pension Plan Board increased its stake in shares of Cummins by 3.1% in the fourth quarter. Ontario Teachers Pension Plan Board now owns 1,430,966 shares of the company’s stock worth $342,817,000 after purchasing an additional 43,090 shares during the period. Finally, Hotchkis & Wiley Capital Management LLC lifted its position in shares of Cummins by 4.8% during the 4th quarter. Hotchkis & Wiley Capital Management LLC now owns 1,398,061 shares of the company’s stock worth $334,933,000 after purchasing an additional 64,365 shares during the last quarter. Institutional investors own 83.46% of the company’s stock.

Wall Street Analyst Weigh In

Several brokerages have commented on CMI. StockNews.com raised Cummins from a “hold” rating to a “buy” rating in a research report on Wednesday, May 8th. Raymond James started coverage on shares of Cummins in a research report on Friday, June 28th. They set a “market perform” rating on the stock. Truist Financial reduced their price target on shares of Cummins from $319.00 to $315.00 and set a “hold” rating for the company in a report on Tuesday, July 2nd. JPMorgan Chase & Co. boosted their price objective on shares of Cummins from $245.00 to $275.00 and gave the stock an “underweight” rating in a report on Monday, March 25th. Finally, Citigroup started coverage on shares of Cummins in a research note on Wednesday, June 26th. They issued a “buy” rating and a $320.00 target price for the company. Two research analysts have rated the stock with a sell rating, five have given a hold rating and six have assigned a buy rating to the company. Based on data from MarketBeat.com, Cummins currently has an average rating of “Hold” and a consensus target price of $287.18.

Insider Activity at Cummins

In other Cummins news, VP Sharon R. Barner sold 3,880 shares of the business’s stock in a transaction on Tuesday, May 7th. The stock was sold at an average price of $286.86, for a total value of $1,113,016.80. Following the transaction, the vice president now owns 20,873 shares of the company’s stock, valued at $5,987,628.78. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. In related news, VP Jeffrey T. Wiltrout purchased 282 shares of the firm’s stock in a transaction dated Friday, May 24th. The shares were acquired at an average cost of $285.11 per share, with a total value of $80,401.02. Following the completion of the purchase, the vice president now directly owns 1,262 shares of the company’s stock, valued at $359,808.82. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, VP Sharon R. Barner sold 3,880 shares of the business’s stock in a transaction that occurred on Tuesday, May 7th. The stock was sold at an average price of $286.86, for a total transaction of $1,113,016.80. Following the completion of the transaction, the vice president now owns 20,873 shares of the company’s stock, valued at approximately $5,987,628.78. The disclosure for this sale can be found here. Insiders own 0.56% of the company’s stock.

Cummins Price Performance

NYSE:CMI traded down $7.08 during trading hours on Friday, reaching $291.15. The company had a trading volume of 1,763,952 shares, compared to its average volume of 905,895. The firm has a market capitalization of $39.82 billion, a PE ratio of 21.31, a PEG ratio of 1.84 and a beta of 0.99. The stock has a 50-day moving average of $279.68 and a two-hundred day moving average of $273.01. Cummins Inc. has a one year low of $212.80 and a one year high of $304.24. The company has a quick ratio of 0.84, a current ratio of 1.34 and a debt-to-equity ratio of 0.57.

Cummins (NYSE:CMI) last announced its earnings results on Thursday, May 2nd. The company reported $5.10 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $5.11 by ($0.01). The firm had revenue of $8.40 billion for the quarter, compared to analyst estimates of $8.36 billion. Cummins had a return on equity of 25.38% and a net margin of 5.70%. Analysts forecast that Cummins Inc. will post 18.61 earnings per share for the current year.

Cummins Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 5th. Investors of record on Friday, August 23rd will be given a dividend of $1.82 per share. The ex-dividend date of this dividend is Friday, August 23rd. This is a positive change from Cummins’s previous quarterly dividend of $1.68. This represents a $7.28 dividend on an annualized basis and a yield of 2.50%. Cummins’s dividend payout ratio is 49.19%.

Cummins 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.