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

Cummins (NYSE:CMI) had its price target raised by investment analysts at Citigroup from $500.00 to $530.00 in a research report issued on Friday,Benzinga reports. The brokerage presently has a “buy” rating on the stock. Citigroup’s target price indicates a potential upside of 11.79% from the stock’s current price.

CMI has been the topic of a number of other reports. JPMorgan Chase & Co. boosted their price objective on shares of Cummins from $400.00 to $460.00 and gave the company a “neutral” rating in a research report on Tuesday, October 14th. Sanford C. Bernstein restated a “market perform” rating and set a $475.00 price target on shares of Cummins in a report on Friday. Truist Financial upped their price target on shares of Cummins from $434.00 to $522.00 and gave the stock a “hold” rating in a research note on Friday. Wolfe Research raised Cummins from a “hold” rating to an “outperform” rating in a research report on Monday, August 11th. Finally, Evercore ISI reaffirmed an “outperform” rating on shares of Cummins in a research report on Tuesday, August 19th. Ten research analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $428.93.

Cummins Stock Performance

Shares of Cummins stock opened at $474.10 on Friday. Cummins has a 12 month low of $260.02 and a 12 month high of $482.53. The company has a quick ratio of 1.03, a current ratio of 1.64 and a debt-to-equity ratio of 0.53. The stock has a market cap of $65.32 billion, a PE ratio of 22.29, a price-to-earnings-growth ratio of 2.05 and a beta of 1.07. The business has a fifty day simple moving average of $420.80 and a 200-day simple moving average of $369.17.

Cummins (NYSE:CMI) last announced its quarterly earnings data 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 return on equity of 26.96% and a net margin of 8.72%.The firm had revenue of $8.32 billion during the quarter, compared to the consensus estimate of $7.97 billion. During the same period in the prior year, the business earned $5.86 EPS. The business’s revenue for the quarter was down 1.6% on a year-over-year basis. On average, sell-side analysts anticipate that Cummins will post 22.54 EPS for the current fiscal year.

Insider Buying and Selling

In other Cummins news, VP Robert Enright sold 1,860 shares of the company’s stock in a transaction that occurred on Friday, August 22nd. The stock was sold at an average price of $402.26, for a total transaction of $748,203.60. Following the completion of the sale, the vice president owned 955 shares of the company’s stock, valued at $384,158.30. This represents a 66.07% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, VP Amy Rochelle Davis sold 5,002 shares of Cummins stock in a transaction that occurred on Thursday, August 14th. The shares were sold at an average price of $402.88, for a total transaction of $2,015,205.76. Following the completion of the transaction, the vice president directly owned 20,738 shares in the company, valued at approximately $8,354,925.44. This represents a 19.43% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders sold 37,949 shares of company stock worth $15,674,705. Insiders own 0.41% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Flagship Wealth Advisors LLC bought a new stake in Cummins during the third quarter valued at about $28,000. Accredited Wealth Management LLC bought a new stake in Cummins during the 1st quarter valued at approximately $31,000. Osterweis Capital Management Inc. acquired a new stake in Cummins in the 2nd quarter valued at approximately $31,000. Guerra Advisors Inc acquired a new stake in Cummins in the 3rd quarter valued at approximately $36,000. Finally, Salomon & Ludwin LLC increased its position in Cummins by 1,333.3% in the 3rd quarter. Salomon & Ludwin LLC now owns 86 shares of the company’s stock worth $37,000 after buying an additional 80 shares during the period. 83.46% of the stock is currently owned by institutional investors and hedge funds.

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.