Insider Selling: Cummins (NYSE:CMI) Insider Sells 1,450 Shares of Stock

Cummins Inc. (NYSE:CMI) insider Brett Michael Merritt sold 1,450 shares of Cummins stock in a transaction on Tuesday, November 25th. The shares were sold at an average price of $489.32, for a total value of $709,514.00. Following the completion of the transaction, the insider directly owned 9,271 shares of the company’s stock, valued at $4,536,485.72. This represents a 13.52% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link.

Cummins Price Performance

Cummins stock traded up $8.46 during trading hours on Tuesday, reaching $494.08. 1,072,029 shares of the stock were exchanged, compared to its average volume of 892,267. The stock has a 50 day moving average of $436.12 and a two-hundred day moving average of $383.27. The company has a market cap of $68.20 billion, a P/E ratio of 23.23, a price-to-earnings-growth ratio of 2.05 and a beta of 1.07. The company has a current ratio of 1.64, a quick ratio of 1.03 and a debt-to-equity ratio of 0.53. Cummins Inc. has a twelve month low of $260.02 and a twelve month high of $495.11.

Cummins (NYSE:CMI) last posted 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. Cummins had a net margin of 8.72% and a return on equity of 26.96%. The business had revenue of $8.32 billion for the quarter, compared to analyst estimates of $7.97 billion. During the same quarter last year, the business posted $5.86 EPS. The firm’s revenue for the quarter was down 1.6% on a year-over-year basis. Equities analysts expect that Cummins Inc. will post 22.54 EPS for the current fiscal year.

Cummins Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, December 4th. Stockholders of record on Friday, November 21st will be paid a $2.00 dividend. This represents a $8.00 dividend on an annualized basis and a dividend yield of 1.6%. The ex-dividend date is Friday, November 21st. Cummins’s dividend payout ratio (DPR) is presently 41.52%.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the business. Motley Fool Asset Management LLC raised its stake in shares of Cummins by 9.7% during the 2nd quarter. Motley Fool Asset Management LLC now owns 7,018 shares of the company’s stock worth $2,298,000 after purchasing an additional 623 shares during the period. Applied Finance Capital Management LLC raised its position in Cummins by 14.4% in the second quarter. Applied Finance Capital Management LLC now owns 60,797 shares of the company’s stock worth $19,910,000 after acquiring an additional 7,656 shares during the period. Fox Run Management L.L.C. bought a new stake in Cummins in the first quarter worth about $2,749,000. Mitsubishi UFJ Asset Management Co. Ltd. boosted its stake in Cummins by 6.7% in the second quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 277,958 shares of the company’s stock valued at $91,054,000 after acquiring an additional 17,566 shares during the last quarter. Finally, Invesco Ltd. grew its position in shares of Cummins by 11.6% during the 1st quarter. Invesco Ltd. now owns 1,215,956 shares of the company’s stock valued at $381,129,000 after acquiring an additional 126,362 shares during the period. 83.46% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

Several brokerages recently commented on CMI. UBS Group raised shares of Cummins from a “sell” rating to a “neutral” rating in a research note on Tuesday. Truist Financial set a $628.00 price target on Cummins and gave the company a “buy” rating in a research note on Monday. Barclays upped their target price on Cummins from $430.00 to $515.00 and gave the stock an “equal weight” rating in a report on Tuesday, November 11th. Wolfe Research raised Cummins from a “hold” rating to an “outperform” rating in a research note on Monday, August 11th. Finally, JPMorgan Chase & Co. upped their price objective on Cummins from $400.00 to $460.00 and gave the company a “neutral” rating in a research note on Tuesday, October 14th. Twelve analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company. According to MarketBeat.com, Cummins presently has an average rating of “Moderate Buy” and an average price target of $476.75.

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.