Vaughan Nelson Investment Management L.P. Sells 5,715 Shares of Cummins Inc. $CMI

Vaughan Nelson Investment Management L.P. cut its stake in Cummins Inc. (NYSE:CMI) by 66.2% in the 4th quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor owned 2,915 shares of the company’s stock after selling 5,715 shares during the quarter. Vaughan Nelson Investment Management L.P.’s holdings in Cummins were worth $1,488,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also recently modified their holdings of CMI. Gilbert & Cook Inc. raised its stake in Cummins by 1.0% in the fourth quarter. Gilbert & Cook Inc. now owns 1,856 shares of the company’s stock worth $947,000 after buying an additional 19 shares in the last quarter. Sound View Wealth Advisors Group LLC boosted its position in Cummins by 2.1% during the 4th quarter. Sound View Wealth Advisors Group LLC now owns 981 shares of the company’s stock valued at $501,000 after acquiring an additional 20 shares in the last quarter. United Capital Management of KS Inc. grew its holdings in shares of Cummins by 2.0% during the 3rd quarter. United Capital Management of KS Inc. now owns 1,149 shares of the company’s stock worth $485,000 after acquiring an additional 22 shares during the period. Betterment LLC raised its position in shares of Cummins by 3.5% in the 3rd quarter. Betterment LLC now owns 673 shares of the company’s stock worth $284,000 after acquiring an additional 23 shares in the last quarter. Finally, Stock Yards Bank & Trust Co. raised its position in shares of Cummins by 0.4% in the 3rd quarter. Stock Yards Bank & Trust Co. now owns 5,917 shares of the company’s stock worth $2,499,000 after acquiring an additional 24 shares in the last quarter. 83.46% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Several equities research analysts recently weighed in on the company. UBS Group set a $565.00 price target on Cummins and gave the stock a “neutral” rating in a research note on Friday, February 6th. Citigroup raised their price objective on Cummins from $580.00 to $630.00 and gave the company a “buy” rating in a research report on Tuesday, January 13th. Zacks Research downgraded shares of Cummins from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, January 28th. Raymond James Financial increased their price target on shares of Cummins from $585.00 to $675.00 and gave the stock an “outperform” rating in a research note on Monday, February 9th. Finally, Barclays lifted their price target on shares of Cummins from $546.00 to $610.00 and gave the company an “overweight” rating in a research report on Friday, January 23rd. Eleven research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $588.93.

Cummins Trading Up 5.0%

NYSE CMI opened at $537.21 on Wednesday. Cummins Inc. has a 12 month low of $260.02 and a 12 month high of $617.98. The company has a current ratio of 1.76, a quick ratio of 1.16 and a debt-to-equity ratio of 0.51. The stock’s fifty day moving average price is $569.08 and its 200-day moving average price is $508.23. The stock has a market cap of $74.22 billion, a P/E ratio of 26.18, a P/E/G ratio of 1.62 and a beta of 1.12.

Cummins (NYSE:CMI) last announced its quarterly earnings results on Thursday, February 5th. The company reported $5.81 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $5.17 by $0.64. Cummins had a net margin of 8.44% and a return on equity of 25.71%. The company had revenue of $8.54 billion for the quarter, compared to analysts’ expectations of $8.09 billion. During the same quarter in the previous year, the business posted $5.16 EPS. Cummins’s revenue was up 1.1% compared to the same quarter last year. As a group, equities analysts forecast that Cummins Inc. will post 22.54 EPS for the current fiscal year.

Cummins Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, March 5th. Investors of record on Friday, February 20th were given a dividend of $2.00 per share. The ex-dividend date of this dividend was Friday, February 20th. This represents a $8.00 annualized dividend and a dividend yield of 1.5%. Cummins’s dividend payout ratio (DPR) is 38.99%.

Insider Buying and Selling

In other news, VP Earl Newsome sold 1,300 shares of the company’s stock in a transaction on Monday, February 23rd. The stock was sold at an average price of $583.67, for a total transaction of $758,771.00. Following the transaction, the vice president directly owned 3,389 shares of the company’s stock, valued at $1,978,057.63. This represents a 27.72% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director William I. Miller sold 18,107 shares of the stock in a transaction on Wednesday, February 11th. The shares were sold at an average price of $597.10, for a total value of $10,811,689.70. Following the sale, the director directly owned 34,243 shares in the company, valued at $20,446,495.30. This trade represents a 34.59% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 31,195 shares of company stock worth $18,397,489 over the last 90 days. 0.41% of the stock is currently owned by company insiders.

Cummins Company Profile

Cummins Inc (NYSE: CMI) is a global power technology company that designs, manufactures, distributes and services a broad portfolio of diesel and natural gas engines, electrified powertrains, power generation systems and related components. Founded in 1919 and headquartered in Columbus, Indiana, Cummins has grown into one of the world’s leading suppliers of internal combustion engines and a provider of technologies that reduce emissions and improve fuel efficiency.

The company’s product lineup includes heavy-, medium- and light-duty engines for on-highway and off-highway applications, generator sets and power systems for commercial and industrial use, and key engine components such as turbochargers, fuel systems, air handling, filtration and aftertreatment solutions.