Cummins Inc. (NYSE:CMI) Stock Has Average Target Price of $703.18

Cummins Inc. (NYSE:CMI) has received an average recommendation of “Moderate Buy” from the eighteen ratings firms that are currently covering the company, Marketbeat reports. Five analysts have rated the stock with a hold recommendation and thirteen have given a buy recommendation to the company. The average 1-year price objective among brokers that have issued ratings on the stock in the last year is $703.18.

Several research analysts recently commented on the stock. Truist Financial reduced their price objective on shares of Cummins from $894.00 to $779.00 and set a “buy” rating for the company in a research note on Monday, October 5th. UBS Group lowered their target price on shares of Cummins from $835.00 to $741.00 and set a “buy” rating for the company in a research note on Wednesday, September 30th. Wall Street Zen lowered shares of Cummins from a “buy” rating to a “hold” rating in a report on Saturday, October 17th. Citigroup reduced their price target on Cummins from $790.00 to $630.00 and set a “buy” rating on the stock in a research report on Monday, October 12th. Finally, CICC Research started coverage on Cummins in a report on Sunday, August 23rd. They set an “outperform” rating and a $781.00 price objective for the company.

Cummins Stock Down 0.4%

Cummins stock opened at $517.64 on Wednesday. The company has a quick ratio of 1.13, a current ratio of 1.73 and a debt-to-equity ratio of 0.48. The firm has a market cap of $71.26 billion, a P/E ratio of 26.45, a P/E/G ratio of 1.37 and a beta of 1.24. The business has a fifty day moving average of $545.26 and a two-hundred day moving average of $619.42. Cummins has a twelve month low of $413.98 and a twelve month high of $737.76.

Cummins (NYSE:CMI) last announced its quarterly earnings results on Tuesday, August 4th. The company reported $6.73 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $7.21 by ($0.48). Cummins had a net margin of 7.82% and a return on equity of 25.29%. The company had revenue of $9.46 billion during the quarter, compared to analysts’ expectations of $9.33 billion. During the same quarter in the prior year, the business posted $6.43 earnings per share. The company’s revenue was up 9.4% compared to the same quarter last year. On average, analysts forecast that Cummins will post 29.98 earnings per share for the current fiscal year.

Cummins Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, December 3rd. Investors of record on Friday, November 20th will be paid a dividend of $2.20 per share. This represents a $8.80 annualized dividend and a yield of 1.7%. The ex-dividend date is Friday, November 20th. Cummins’s payout ratio is 44.97%.

Insider Transactions at Cummins

In other Cummins news, VP Earl Newsome sold 698 shares of the stock in a transaction dated Monday, August 24th. The stock was sold at an average price of $572.22, for a total value of $399,409.56. Following the completion of the sale, the vice president directly owned 4,479 shares in the company, valued at approximately $2,562,973.38. This trade represents a 13.48% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. 0.30% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Cummins

A number of large investors have recently modified their holdings of the business. Persistent Asset Partners Ltd purchased a new stake in Cummins during the 2nd quarter valued at about $26,000. Elevation Wealth Partners LLC raised its stake in shares of Cummins by 91.7% in the second quarter. Elevation Wealth Partners LLC now owns 46 shares of the company’s stock worth $33,000 after purchasing an additional 22 shares during the last quarter. Cedar Mountain Advisors LLC raised its stake in shares of Cummins by 1,500.0% in the first quarter. Cedar Mountain Advisors LLC now owns 48 shares of the company’s stock worth $26,000 after purchasing an additional 45 shares during the last quarter. Key Financial Inc lifted its holdings in shares of Cummins by 62.5% during the first quarter. Key Financial Inc now owns 52 shares of the company’s stock worth $28,000 after purchasing an additional 20 shares during the period. Finally, Cornerstone Financial Management LLC lifted its holdings in shares of Cummins by 65.8% during the second quarter. Cornerstone Financial Management LLC now owns 63 shares of the company’s stock worth $45,000 after purchasing an additional 25 shares during the period. Hedge funds and other institutional investors own 83.46% of the company’s stock.

About Cummins

Cummins Inc is a global power technology company headquartered in Columbus, Indiana. Founded in 1919, the company designs, manufactures, sells and services engines and power systems for commercial vehicles, industrial equipment, mining, construction, agriculture, marine applications and other markets.

Cummins’ product portfolio includes diesel and natural gas engines, generators and other power-generation equipment, as well as fuel systems, filtration products, emissions-control systems, turbochargers and drivetrain components.