Cummins (NYSE:CMI) Lowered to Hold Rating by Zacks Research

Cummins (NYSE:CMI) was downgraded by investment analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a note issued to investors on Thursday,Zacks.com reports.

Other analysts also recently issued reports about the company. Robert W. Baird lifted their target price on Cummins from $315.00 to $355.00 and gave the stock a “neutral” rating in a research report on Friday, July 11th. Truist Financial lifted their price objective on shares of Cummins from $434.00 to $522.00 and gave the company a “hold” rating in a report on Friday. Wells Fargo & Company raised shares of Cummins to an “overweight” rating in a research report on Monday, August 11th. Wolfe Research raised shares of Cummins from a “hold” rating to an “outperform” rating in a research report on Monday, August 11th. Finally, Weiss Ratings reiterated a “buy (b)” rating on shares of Cummins in a report on Wednesday. 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 stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $428.93.

Cummins Stock Up 2.4%

Shares of NYSE:CMI opened at $474.10 on Thursday. The firm has a market capitalization 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 50 day simple moving average of $420.80 and a two-hundred day simple moving average of $368.54. Cummins has a 1 year low of $260.02 and a 1 year high of $482.53. The company has a debt-to-equity ratio of 0.53, a current ratio of 1.64 and a quick ratio of 1.03.

Cummins (NYSE:CMI) last issued its quarterly earnings results on Thursday, November 6th. The company reported $5.59 earnings per share 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 for the quarter, compared to the consensus estimate of $7.97 billion. During the same period in the prior year, the business posted $5.86 earnings per share. The company’s revenue for the quarter was down 1.6% on a year-over-year basis. On average, equities analysts predict that Cummins will post 22.54 EPS for the current year.

Insider Buying and Selling

In other Cummins news, Director Karen H. Quintos sold 1,307 shares of the stock in a transaction dated Tuesday, August 19th. The shares were sold at an average price of $405.33, for a total transaction of $529,766.31. Following the completion of the sale, the director directly owned 5,227 shares of the company’s stock, valued at approximately $2,118,659.91. This represents a 20.00% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, VP Robert Enright sold 1,860 shares of Cummins 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 transaction, the vice president directly owned 955 shares in the company, valued at approximately $384,158.30. The trade was a 66.07% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 37,949 shares of company stock worth $15,674,705 over the last ninety days. 0.41% of the stock is currently owned by company insiders.

Institutional Trading of Cummins

Hedge funds and other institutional investors have recently made changes to their positions in the business. Flagship Wealth Advisors LLC acquired a new position in Cummins during the 3rd quarter valued at about $28,000. Accredited Wealth Management LLC purchased a new position in shares of Cummins in the 1st quarter valued at approximately $31,000. Osterweis Capital Management Inc. acquired a new stake in Cummins in the 2nd quarter worth approximately $31,000. Guerra Advisors Inc purchased a new stake in Cummins during the 3rd quarter worth approximately $36,000. Finally, Salomon & Ludwin LLC grew its position in Cummins by 1,333.3% during the 3rd quarter. Salomon & Ludwin LLC now owns 86 shares of the company’s stock worth $37,000 after purchasing an additional 80 shares during the last quarter. Hedge funds and other institutional investors own 83.46% of the company’s stock.

Cummins Company Profile

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.