Directional Asset Management Takes $777,000 Position in Cummins Inc. $CMI

Directional Asset Management purchased a new stake in shares of Cummins Inc. (NYSE:CMI) in the fourth quarter, Holdings Channel.com reports. The firm purchased 1,523 shares of the company’s stock, valued at approximately $777,000.

A number of other hedge funds have also recently made changes to their positions in CMI. Thompson Investment Management Inc. purchased a new position in shares of Cummins during the 4th quarter valued at $26,000. Flagship Wealth Advisors LLC bought a new stake in shares of Cummins during the 3rd quarter worth $28,000. Osterweis Capital Management Inc. bought a new stake in shares of Cummins during the 2nd quarter worth $31,000. Holos Integrated Wealth LLC purchased a new position in Cummins in the fourth quarter worth $32,000. Finally, Palouse Capital Management Inc. purchased a new position in Cummins in the fourth quarter worth $33,000. 83.46% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

Several brokerages recently issued reports on CMI. Morgan Stanley reiterated an “overweight” rating and issued a $675.00 target price on shares of Cummins in a research report on Friday, February 6th. Sanford C. Bernstein set a $600.00 target price on shares of Cummins and gave the stock a “market perform” rating in a research report on Friday, February 6th. Robert W. Baird set a $580.00 target price on shares of Cummins in a research report on Friday, February 6th. Weiss Ratings reiterated a “buy (b)” rating on shares of Cummins in a research report on Friday, April 10th. Finally, Wells Fargo & Company upped their target price on shares of Cummins from $630.00 to $693.00 and gave the stock an “overweight” rating in a research report on Monday, April 13th. Eleven equities research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $600.27.

Cummins Stock Performance

Cummins stock opened at $657.49 on Friday. The company has a quick ratio of 1.16, a current ratio of 1.76 and a debt-to-equity ratio of 0.51. The company has a market capitalization of $90.84 billion, a PE ratio of 32.04, a P/E/G ratio of 2.02 and a beta of 1.14. The firm has a fifty day simple moving average of $575.23 and a two-hundred day simple moving average of $528.25. Cummins Inc. has a twelve month low of $282.77 and a twelve month high of $663.01.

Cummins (NYSE:CMI) last posted its quarterly earnings results on Thursday, February 5th. The company reported $5.81 earnings per share for the quarter, topping the consensus estimate of $5.17 by $0.64. The business had revenue of $8.54 billion during the quarter, compared to the consensus estimate of $8.09 billion. Cummins had a net margin of 8.44% and a return on equity of 25.71%. The firm’s revenue for the quarter was up 1.1% on a year-over-year basis. During the same period in the previous year, the firm posted $5.16 earnings per share. Research analysts expect that Cummins Inc. will post 26.03 EPS for the current year.

Cummins Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Thursday, March 5th. Shareholders of record on Friday, February 20th were paid a $2.00 dividend. The ex-dividend date of this dividend was Friday, February 20th. This represents a $8.00 annualized dividend and a yield of 1.2%. Cummins’s payout ratio is currently 38.99%.

Insiders Place Their Bets

In other Cummins news, Director William I. Miller sold 18,107 shares of the business’s stock in a transaction on Wednesday, February 11th. The shares were sold at an average price of $597.10, for a total value of $10,811,689.70. Following the completion of the sale, the director directly owned 34,243 shares of the company’s stock, valued at $20,446,495.30. The trade was a 34.59% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, VP Jennifer Mary Bush sold 4,270 shares of the business’s stock in a transaction on Tuesday, February 10th. The stock was sold at an average price of $584.93, for a total transaction of $2,497,651.10. Following the completion of the sale, the vice president directly owned 15,130 shares of the company’s stock, valued at $8,849,990.90. This represents a 22.01% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 31,195 shares of company stock valued at $18,397,489 over the last three months. 0.30% of the stock is currently owned by company insiders.

Cummins Profile

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.