Citigroup Forecasts Strong Price Appreciation for Cummins (NYSE:CMI) Stock

Cummins (NYSE:CMI) had its price target hoisted by investment analysts at Citigroup from $320.00 to $350.00 in a research report issued to clients and investors on Monday,Benzinga reports. The firm currently has a “buy” rating on the stock. Citigroup’s target price would suggest a potential upside of 5.95% from the stock’s current price.

A number of other equities analysts have also recently weighed in on the stock. Robert W. Baird decreased their price objective on shares of Cummins from $407.00 to $315.00 and set a “neutral” rating for the company in a research report on Tuesday, April 15th. Truist Financial reduced their target price on Cummins from $420.00 to $338.00 and set a “hold” rating for the company in a research note on Tuesday, April 8th. UBS Group cut shares of Cummins from a “buy” rating to a “sell” rating and cut their price target for the company from $400.00 to $240.00 in a report on Monday, April 7th. JPMorgan Chase & Co. increased their price objective on shares of Cummins from $308.00 to $320.00 and gave the company a “neutral” rating in a research note on Tuesday, May 6th. Finally, Barclays boosted their target price on shares of Cummins from $310.00 to $381.00 and gave the stock an “equal weight” rating in a research report on Wednesday, February 5th. One equities research analyst has rated the stock with a sell rating, nine have given a hold rating and four have given a buy rating to the stock. According to MarketBeat, Cummins has a consensus rating of “Hold” and an average price target of $354.83.

Cummins Stock Up 7.7%

Shares of CMI traded up $23.63 during midday trading on Monday, reaching $330.34. 742,442 shares of the company were exchanged, compared to its average volume of 807,208. The company has a current ratio of 1.31, a quick ratio of 0.80 and a debt-to-equity ratio of 0.42. Cummins has a 1-year low of $260.02 and a 1-year high of $387.90. The company has a market cap of $45.51 billion, a price-to-earnings ratio of 11.72, a P/E/G ratio of 2.19 and a beta of 1.02. The stock has a 50-day moving average price of $304.66 and a 200-day moving average price of $341.45.

Cummins (NYSE:CMI) last released its quarterly earnings results on Monday, May 5th. The company reported $5.96 EPS for the quarter, topping the consensus estimate of $4.92 by $1.04. The firm had revenue of $8.17 billion for the quarter, compared to analyst estimates of $8.22 billion. Cummins had a return on equity of 27.12% and a net margin of 11.57%. Cummins’s revenue for the quarter was down 2.7% on a year-over-year basis. During the same period in the previous year, the company posted $5.08 EPS. Research analysts expect that Cummins will post 22.54 earnings per share for the current year.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Czech National Bank increased its holdings in shares of Cummins by 6.5% in the 4th quarter. Czech National Bank now owns 29,744 shares of the company’s stock worth $10,369,000 after acquiring an additional 1,826 shares during the period. Matrix Trust Co increased its stake in shares of Cummins by 520.5% in the fourth quarter. Matrix Trust Co now owns 273 shares of the company’s stock valued at $95,000 after purchasing an additional 229 shares during the period. Trust Co. of Toledo NA OH increased its stake in shares of Cummins by 14.3% in the fourth quarter. Trust Co. of Toledo NA OH now owns 1,218 shares of the company’s stock valued at $425,000 after purchasing an additional 152 shares during the period. Capital Investment Advisors LLC raised its holdings in shares of Cummins by 2.0% during the fourth quarter. Capital Investment Advisors LLC now owns 110,386 shares of the company’s stock valued at $38,481,000 after buying an additional 2,211 shares during the last quarter. Finally, Eastern Bank boosted its position in shares of Cummins by 17.5% during the fourth quarter. Eastern Bank now owns 1,325 shares of the company’s stock worth $462,000 after buying an additional 197 shares during the period. Institutional investors and hedge funds own 83.46% of the company’s stock.

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.