Cummins Inc. (NYSE:CMI) Short Interest Up 456.5% in March

Cummins Inc. (NYSE:CMI) was the target of a significant growth in short interest during the month of March. As of March 15th, there was short interest totalling 32,500,000 shares, a growth of 456.5% from the February 29th total of 5,840,000 shares. Based on an average daily volume of 3,080,000 shares, the days-to-cover ratio is currently 10.6 days. Approximately 23.3% of the company’s shares are short sold.

Cummins Trading Down 0.0 %

Cummins stock opened at $294.61 on Friday. The company has a debt-to-equity ratio of 0.48, a current ratio of 1.18 and a quick ratio of 0.74. The firm has a 50-day moving average of $261.54 and a 200-day moving average of $240.87. The company has a market cap of $41.79 billion, a price-to-earnings ratio of 56.87, a P/E/G ratio of 2.00 and a beta of 1.03. Cummins has a one year low of $203.18 and a one year high of $297.11.

Cummins (NYSE:CMI) last issued its quarterly earnings results on Tuesday, February 6th. The company reported $4.14 EPS for the quarter, missing the consensus estimate of $4.41 by ($0.27). The company had revenue of $8.54 billion for the quarter, compared to analyst estimates of $8.10 billion. Cummins had a net margin of 2.16% and a return on equity of 25.68%. The business’s revenue for the quarter was up 9.9% on a year-over-year basis. During the same period last year, the company posted $4.52 earnings per share. On average, equities analysts expect that Cummins will post 18.36 earnings per share for the current fiscal year.

Cummins Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, March 7th. Investors of record on Friday, February 23rd were issued a dividend of $1.68 per share. The ex-dividend date of this dividend was Thursday, February 22nd. This represents a $6.72 dividend on an annualized basis and a yield of 2.28%. Cummins’s payout ratio is 129.73%.

Wall Street Analysts Forecast Growth

Several equities analysts have recently weighed in on CMI shares. Truist Financial initiated coverage on Cummins in a report on Thursday, March 14th. They set a “hold” rating and a $303.00 price objective on the stock. Morgan Stanley started coverage on shares of Cummins in a research note on Monday, January 8th. They issued an “overweight” rating and a $278.00 price target on the stock. TheStreet downgraded shares of Cummins from an “a-” rating to a “c+” rating in a research report on Tuesday, February 6th. Bank of America cut shares of Cummins from a “neutral” rating to an “underperform” rating and cut their price objective for the company from $243.00 to $225.00 in a research report on Friday, January 19th. Finally, Evercore ISI increased their target price on Cummins from $231.00 to $244.00 and gave the stock an “in-line” rating in a report on Tuesday, February 20th. Two equities research analysts have rated the stock with a sell rating, five have issued a hold rating and five have assigned a buy rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and an average target price of $271.64.

Insider Activity at Cummins

In other Cummins news, SVP Tony Satterthwaite sold 37,450 shares of the firm’s stock in a transaction dated Wednesday, February 21st. The stock was sold at an average price of $265.05, for a total transaction of $9,926,122.50. Following the transaction, the senior vice president now owns 73,741 shares in the company, valued at $19,545,052.05. The sale was disclosed in a document filed with the SEC, which is available through this link. In other news, VP Sharon R. Barner sold 2,100 shares of the business’s stock in a transaction on 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 transaction, the vice president now owns 16,899 shares of the company’s stock, valued at approximately $4,584,529.71. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, SVP Tony Satterthwaite sold 37,450 shares of the firm’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 directly owns 73,741 shares in the company, valued at approximately $19,545,052.05. The disclosure for this sale can be found here. Over the last quarter, insiders sold 51,289 shares of company stock worth $13,576,838. 1.12% of the stock is owned by insiders.

Institutional Trading of Cummins

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Synovus Financial Corp increased its stake in shares of Cummins by 254.4% during the 1st quarter. Synovus Financial Corp now owns 6,099 shares of the company’s stock worth $1,242,000 after purchasing an additional 4,378 shares during the last quarter. Cibc World Market Inc. grew its holdings in Cummins by 65.4% during the first quarter. Cibc World Market Inc. now owns 18,194 shares of the company’s stock worth $3,732,000 after purchasing an additional 7,191 shares during the period. Sei Investments Co. increased its position in Cummins by 16.1% during the first quarter. Sei Investments Co. now owns 94,391 shares of the company’s stock worth $19,282,000 after buying an additional 13,058 shares during the last quarter. Prudential PLC bought a new stake in Cummins in the first quarter valued at approximately $711,000. Finally, Cetera Investment Advisers lifted its position in shares of Cummins by 43.0% in the first quarter. Cetera Investment Advisers now owns 6,403 shares of the company’s stock valued at $1,313,000 after buying an additional 1,925 shares during the last quarter. 83.46% of the stock is owned by institutional investors.

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.