ProShare Advisors LLC Raises Position in Cummins Inc. $CMI

ProShare Advisors LLC grew its position in shares of Cummins Inc. (NYSE:CMI) by 9.5% during the fourth quarter, according to its most recent filing with the SEC. The firm owned 25,618 shares of the company’s stock after acquiring an additional 2,230 shares during the period. ProShare Advisors LLC’s holdings in Cummins were worth $13,077,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds also recently made changes to their positions in the company. Thompson Investment Management Inc. purchased a new stake in Cummins in the fourth quarter worth $26,000. Activest Wealth Management lifted its position in Cummins by 537.5% during the fourth quarter. Activest Wealth Management now owns 51 shares of the company’s stock valued at $26,000 after buying an additional 43 shares during the period. Ares Financial Consulting LLC bought a new stake in shares of Cummins during the 4th quarter valued at $29,000. Holos Integrated Wealth LLC bought a new stake in shares of Cummins during the 4th quarter valued at $32,000. Finally, Palouse Capital Management Inc. purchased a new stake in shares of Cummins in the 4th quarter worth about $33,000. Hedge funds and other institutional investors own 83.46% of the company’s stock.

Insider Activity

In related news, VP Amy Rochelle Davis sold 4,054 shares of the stock in a transaction on Tuesday, March 3rd. The stock was sold at an average price of $561.34, for a total transaction of $2,275,672.36. Following the sale, the vice president directly owned 15,807 shares of the company’s stock, valued at $8,873,101.38. This trade represents a 20.41% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, VP Donald G. Jackson sold 1,600 shares of Cummins stock in a transaction dated Tuesday, February 24th. The stock was sold at an average price of $600.13, for a total value of $960,208.00. Following the completion of the sale, the vice president owned 7,214 shares of the company’s stock, valued at $4,329,337.82. The trade was a 18.15% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 22,397 shares of company stock valued at $14,465,833. Corporate insiders own 0.30% of the company’s stock.

Cummins Trading Up 1.5%

NYSE:CMI opened at $669.22 on Thursday. The stock has a market cap of $92.35 billion, a price-to-earnings ratio of 34.73, a PEG ratio of 1.66 and a beta of 1.27. The company has a quick ratio of 1.11, a current ratio of 1.71 and a debt-to-equity ratio of 0.50. The company’s 50 day moving average price is $608.71 and its 200-day moving average price is $560.58. Cummins Inc. has a 52 week low of $307.90 and a 52 week high of $718.08.

Cummins (NYSE:CMI) last announced its quarterly earnings data on Tuesday, May 5th. The company reported $6.15 earnings per share for the quarter, topping analysts’ consensus estimates of $5.63 by $0.52. The company had revenue of $8.40 billion during the quarter, compared to analyst estimates of $8.37 billion. Cummins had a net margin of 7.89% and a return on equity of 25.25%. The firm’s revenue for the quarter was up 2.7% on a year-over-year basis. During the same period in the previous year, the business earned $5.96 EPS. On average, equities research analysts forecast that Cummins Inc. will post 28.39 earnings per share for the current fiscal year.

Cummins Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, June 4th. Stockholders of record on Friday, May 22nd will be paid a $2.00 dividend. The ex-dividend date is Friday, May 22nd. This represents a $8.00 annualized dividend and a dividend yield of 1.2%. Cummins’s payout ratio is currently 41.52%.

Wall Street Analysts Forecast Growth

A number of brokerages recently issued reports on CMI. Wall Street Zen cut shares of Cummins from a “strong-buy” rating to a “buy” rating in a research report on Sunday, March 8th. JPMorgan Chase & Co. raised their target price on shares of Cummins from $600.00 to $725.00 and gave the company a “neutral” rating in a research note on Wednesday, May 6th. Citigroup lifted their target price on shares of Cummins from $710.00 to $770.00 and gave the company a “buy” rating in a report on Wednesday, May 6th. Argus set a $696.00 price target on Cummins in a research note on Tuesday, February 10th. Finally, Evercore reaffirmed an “outperform” rating and set a $845.00 price objective on shares of Cummins in a research report on Monday, May 11th. One investment analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and five have issued a Hold rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $677.87.

About Cummins

Cummins Inc (NYSE: CMI) is a global power technology company that designs, manufactures, distributes and services a broad portfolio of diesel and natural gas engines, electrified powertrains, power generation systems and related components. Founded in 1919 and headquartered in Columbus, Indiana, Cummins has grown into one of the world’s leading suppliers of internal combustion engines and a provider of technologies that reduce emissions and improve fuel efficiency.

The company’s product lineup includes heavy-, medium- and light-duty engines for on-highway and off-highway applications, generator sets and power systems for commercial and industrial use, and key engine components such as turbochargers, fuel systems, air handling, filtration and aftertreatment solutions.