Cummins (NYSE:CMI) Stock Rating Lowered by Zacks Research

Cummins (NYSE:CMI) was downgraded by research analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a report released on Thursday,Zacks.com reports.

Several other analysts have also issued reports on CMI. Melius raised Cummins from a “hold” rating to a “buy” rating and set a $500.00 target price for the company in a research note on Wednesday, September 3rd. Melius Research raised shares of Cummins from a “hold” rating to a “buy” rating and set a $500.00 price objective for the company in a research note on Wednesday, September 3rd. Robert W. Baird increased their target price on shares of Cummins from $315.00 to $355.00 and gave the company a “neutral” rating in a report on Friday, July 11th. Wells Fargo & Company raised shares of Cummins to an “overweight” rating in a research note on Monday, August 11th. Finally, Sanford C. Bernstein restated a “market perform” rating and set a $475.00 price target on shares of Cummins in a research report on Friday. Ten research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, Cummins has a consensus rating of “Moderate Buy” and an average target price of $428.93.

Cummins Price Performance

CMI traded up $11.30 during trading on Thursday, reaching $474.10. The stock had a trading volume of 1,372,869 shares, compared to its average volume of 880,308. The business has a 50-day moving average of $420.80 and a 200-day moving average of $368.54. Cummins has a one year low of $260.02 and a one year high of $482.53. The company has a debt-to-equity ratio of 0.53, a quick ratio of 1.03 and a current ratio of 1.64. The stock has a market cap of $65.32 billion, a PE ratio of 22.29, a PEG ratio of 2.05 and a beta of 1.07.

Cummins (NYSE:CMI) last issued its quarterly earnings results on Thursday, November 6th. The company reported $5.59 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.83 by $0.76. The firm had revenue of $8.32 billion during the quarter, compared to analyst estimates of $7.97 billion. Cummins had a return on equity of 26.96% and a net margin of 8.72%.The company’s revenue was down 1.6% compared to the same quarter last year. During the same quarter in the previous year, the company posted $5.86 earnings per share. As a group, equities research analysts anticipate that Cummins will post 22.54 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, VP Robert Enright sold 1,860 shares of the business’s stock in a transaction dated Friday, August 22nd. The stock was sold at an average price of $402.26, for a total transaction of $748,203.60. Following the transaction, the vice president owned 955 shares in the company, valued at $384,158.30. The trade was a 66.07% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO Mark Andrew Smith sold 200 shares of the company’s stock in a transaction that occurred on Thursday, October 30th. The shares were sold at an average price of $449.10, for a total value of $89,820.00. Following the transaction, the chief financial officer directly owned 31,582 shares of the company’s stock, valued at $14,183,476.20. The trade was a 0.63% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 37,949 shares of company stock valued at $15,674,705 over the last three months. Company insiders own 0.41% of the company’s stock.

Institutional Trading of Cummins

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Brighton Jones LLC boosted its stake in shares of Cummins by 4.1% during the 4th quarter. Brighton Jones LLC now owns 2,112 shares of the company’s stock valued at $736,000 after purchasing an additional 83 shares in the last quarter. Stratos Wealth Partners LTD. lifted its holdings in Cummins by 16.7% in the first quarter. Stratos Wealth Partners LTD. now owns 2,136 shares of the company’s stock worth $670,000 after buying an additional 306 shares during the period. Alps Advisors Inc. boosted its position in Cummins by 32.4% during the 1st quarter. Alps Advisors Inc. now owns 4,662 shares of the company’s stock valued at $1,461,000 after acquiring an additional 1,140 shares in the last quarter. Cerity Partners LLC grew its holdings in shares of Cummins by 7.1% during the 1st quarter. Cerity Partners LLC now owns 124,990 shares of the company’s stock worth $39,177,000 after acquiring an additional 8,327 shares during the period. Finally, Xponance Inc. raised its position in shares of Cummins by 1.3% in the 1st quarter. Xponance Inc. now owns 22,868 shares of the company’s stock worth $7,168,000 after acquiring an additional 298 shares in the last quarter. Hedge funds and other institutional investors own 83.46% of the company’s stock.

Cummins Company Profile

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.