Insider Selling: Cummins Inc. (NYSE:CMI) VP Sells 438 Shares of Stock

Cummins Inc. (NYSE:CMI) VP Mark J. Osowick sold 438 shares of the business’s stock in a transaction on Friday, February 14th. The stock was sold at an average price of $165.88, for a total value of $72,655.44. Following the transaction, the vice president now owns 7,392 shares in the company, valued at $1,226,184.96. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink.

Cummins stock traded up $0.68 during trading hours on Friday, hitting $166.78. 976,369 shares of the stock traded hands, compared to its average volume of 1,289,360. The company has a debt-to-equity ratio of 0.19, a current ratio of 1.50 and a quick ratio of 0.94. The firm’s 50 day moving average price is $170.59 and its 200-day moving average price is $168.05. The stock has a market capitalization of $24.85 billion, a price-to-earnings ratio of 11.57, a P/E/G ratio of 2.05 and a beta of 1.15. Cummins Inc. has a 1 year low of $141.14 and a 1 year high of $186.73.

Cummins (NYSE:CMI) last posted its quarterly earnings results on Tuesday, February 4th. The company reported $2.56 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $2.42 by $0.14. The business had revenue of $5.58 billion for the quarter, compared to the consensus estimate of $5.39 billion. Cummins had a return on equity of 26.49% and a net margin of 9.59%. The company’s quarterly revenue was down 8.9% compared to the same quarter last year. During the same quarter in the previous year, the business earned $3.48 EPS. Research analysts forecast that Cummins Inc. will post 12.18 earnings per share for the current fiscal year.

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, March 5th. Stockholders of record on Friday, February 21st will be issued a $1.311 dividend. The ex-dividend date is Thursday, February 20th. This represents a $5.24 annualized dividend and a dividend yield of 3.14%. Cummins’s dividend payout ratio (DPR) is presently 34.82%.

Cummins declared that its Board of Directors has initiated a stock buyback plan on Tuesday, December 10th that authorizes the company to repurchase $2.00 billion in shares. This repurchase authorization authorizes the company to buy up to 7.2% of its shares through open market purchases. Shares repurchase plans are often an indication that the company’s leadership believes its stock is undervalued.

Several research analysts recently weighed in on CMI shares. JPMorgan Chase & Co. boosted their target price on Cummins from $175.00 to $190.00 and gave the stock a “neutral” rating in a research note on Friday, December 20th. Raymond James started coverage on Cummins in a research note on Wednesday, November 27th. They set a “market perform” rating on the stock. Cowen started coverage on Cummins in a research note on Wednesday, February 5th. They set a “hold” rating and a $173.00 target price on the stock. Evercore ISI upgraded Cummins from an “in-line” rating to an “outperform” rating and set a $207.00 target price on the stock in a research note on Friday, November 8th. Finally, Morgan Stanley dropped their target price on Cummins from $180.00 to $170.00 and set an “equal weight” rating on the stock in a research note on Wednesday, February 5th. One research analyst has rated the stock with a sell rating, twelve have assigned a hold rating and eight have issued a buy rating to the company. The company currently has a consensus rating of “Hold” and a consensus target price of $183.19.

Hedge funds have recently modified their holdings of the company. TRUE Private Wealth Advisors acquired a new position in shares of Cummins in the 4th quarter valued at about $26,000. Aigen Investment Management LP acquired a new position in shares of Cummins in the 4th quarter valued at about $29,000. Allred Capital Management LLC acquired a new position in shares of Cummins in the 4th quarter valued at about $31,000. Simon Quick Advisors LLC acquired a new position in shares of Cummins in the 4th quarter valued at about $42,000. Finally, Steward Partners Investment Advisory LLC lifted its holdings in shares of Cummins by 31.0% in the 4th quarter. Steward Partners Investment Advisory LLC now owns 258 shares of the company’s stock valued at $46,000 after buying an additional 61 shares during the period. 82.98% of the stock is owned by institutional investors and hedge funds.

About Cummins

Cummins Inc designs, manufactures, distributes, and services diesel and natural gas engines, and engine-related component products worldwide. It operates through four segments: Engine, Distribution, Components, and Power Systems segments. The Engine segment manufactures and markets a range of 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.

Further Reading: What are the benefits of investing in REITs?

Receive News & Ratings for Cummins Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Cummins and related companies with MarketBeat.com's FREE daily email newsletter.