Cummins Inc. (NYSE:CMI) Short Interest Up 6.9% in November

Cummins Inc. (NYSE:CMI) was the recipient of a significant growth in short interest during the month of November. As of November 30th, there was short interest totalling 1,710,000 shares, a growth of 6.9% from the November 15th total of 1,600,000 shares. Based on an average daily trading volume, of 628,100 shares, the days-to-cover ratio is presently 2.7 days. Currently, 1.3% of the company’s stock are short sold.

Insider Buying and Selling at Cummins

In other Cummins news, VP Sharon R. Barner sold 162 shares of Cummins stock in a transaction that occurred on Friday, November 8th. The stock was sold at an average price of $357.04, for a total transaction of $57,840.48. Following the transaction, the vice president now owns 20,803 shares of the company’s stock, valued at $7,427,503.12. The trade was a 0.77 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Insiders have sold a total of 6,489 shares of company stock worth $2,357,531 over the last ninety days. Corporate insiders own 0.56% of the company’s stock.

Institutional Trading of Cummins

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. CarsonAllaria Wealth Management Ltd. acquired a new position in Cummins in the second quarter valued at $28,000. Cultivar Capital Inc. acquired a new position in shares of Cummins in the 2nd quarter valued at about $28,000. Prospera Private Wealth LLC purchased a new stake in shares of Cummins during the 3rd quarter worth about $32,000. Kathleen S. Wright Associates Inc. acquired a new stake in Cummins during the 3rd quarter worth approximately $34,000. Finally, Gradient Investments LLC raised its holdings in Cummins by 290.0% in the second quarter. Gradient Investments LLC now owns 156 shares of the company’s stock valued at $43,000 after buying an additional 116 shares during the period. Hedge funds and other institutional investors own 83.46% of the company’s stock.

Cummins Price Performance

CMI traded down $5.72 during midday trading on Tuesday, reaching $361.25. 623,253 shares of the company’s stock were exchanged, compared to its average volume of 1,406,380. Cummins has a 1-year low of $226.52 and a 1-year high of $387.90. The stock has a market capitalization of $49.56 billion, a PE ratio of 23.86, a P/E/G ratio of 1.80 and a beta of 0.99. The company has a debt-to-equity ratio of 0.43, a current ratio of 1.32 and a quick ratio of 0.79. The business’s 50-day moving average price is $354.53 and its 200 day moving average price is $315.12.

Cummins (NYSE:CMI) last released its quarterly earnings results on Tuesday, November 5th. The company reported $5.86 earnings per share for the quarter, topping analysts’ consensus estimates of $4.89 by $0.97. The company had revenue of $8.46 billion during the quarter, compared to analysts’ expectations of $8.29 billion. Cummins had a return on equity of 26.86% and a net margin of 6.13%. The business’s revenue for the quarter was up .3% compared to the same quarter last year. During the same period in the previous year, the firm posted $4.73 earnings per share. As a group, equities analysts anticipate that Cummins will post 20.75 EPS for the current fiscal year.

Cummins Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, December 5th. Investors of record on Friday, November 22nd were paid a $1.82 dividend. The ex-dividend date was Friday, November 22nd. This represents a $7.28 annualized dividend and a yield of 2.02%. Cummins’s payout ratio is currently 48.08%.

Analysts Set New Price Targets

CMI has been the subject of several recent analyst reports. Robert W. Baird raised their target price on shares of Cummins from $330.00 to $372.00 and gave the stock a “neutral” rating in a research note on Wednesday, November 6th. JPMorgan Chase & Co. upgraded shares of Cummins from an “underweight” rating to a “neutral” rating and raised their price objective for the company from $355.00 to $420.00 in a research report on Monday, December 9th. Citigroup boosted their target price on Cummins from $415.00 to $435.00 and gave the stock a “buy” rating in a research report on Monday, December 9th. Jefferies Financial Group raised their price target on Cummins from $410.00 to $435.00 and gave the company a “buy” rating in a report on Friday, December 6th. Finally, Evercore ISI upgraded Cummins from an “in-line” rating to an “outperform” rating and lifted their price target for the company from $294.00 to $408.00 in a research note on Wednesday, November 13th. One research analyst has rated the stock with a sell rating, seven have issued a hold rating, six have issued a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus target price of $352.85.

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.