D.A. Davidson & CO. Sells 31,151 Shares of Cummins Inc. $CMI

D.A. Davidson & CO. lessened its holdings in Cummins Inc. (NYSE:CMI) by 10.3% in the 1st quarter, according to its most recent filing with the SEC. The firm owned 271,554 shares of the company’s stock after selling 31,151 shares during the period. Cummins comprises 0.9% of D.A. Davidson & CO.’s holdings, making the stock its 21st biggest position. D.A. Davidson & CO.’s holdings in Cummins were worth $146,102,000 as of its most recent SEC filing.

Several other institutional investors also recently bought and sold shares of CMI. Thompson Investment Management Inc. bought a new stake in Cummins during the 4th quarter valued at $26,000. Activest Wealth Management raised its position in shares of Cummins by 537.5% in the 4th quarter. Activest Wealth Management now owns 51 shares of the company’s stock worth $26,000 after acquiring an additional 43 shares in the last quarter. Cedar Mountain Advisors LLC lifted its stake in shares of Cummins by 1,500.0% during the 1st quarter. Cedar Mountain Advisors LLC now owns 48 shares of the company’s stock worth $26,000 after purchasing an additional 45 shares during the last quarter. Wellington Shields Capital Management LLC bought a new stake in Cummins during the fourth quarter valued at about $27,000. Finally, Key Financial Inc grew its stake in Cummins by 62.5% in the first quarter. Key Financial Inc now owns 52 shares of the company’s stock valued at $28,000 after purchasing an additional 20 shares during the last quarter. 83.46% of the stock is owned by hedge funds and other institutional investors.

Insider Buying and Selling at Cummins

In other Cummins news, VP Marvin Boakye sold 3,481 shares of the firm’s stock in a transaction on Friday, May 8th. The shares were sold at an average price of $679.90, for a total value of $2,366,731.90. Following the completion of the transaction, the vice president owned 8,508 shares of the company’s stock, valued at approximately $5,784,589.20. This trade represents a 29.03% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, insider Brett Michael Merritt sold 701 shares of Cummins stock in a transaction on Monday, May 11th. The stock was sold at an average price of $688.75, for a total transaction of $482,813.75. Following the sale, the insider owned 10,404 shares of the company’s stock, valued at $7,165,755. The trade was a 6.31% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 13,579 shares of company stock worth $9,377,684 in the last three months. 0.30% of the stock is owned by company insiders.

Wall Street Analyst Weigh In

A number of brokerages have commented on CMI. Weiss Ratings downgraded shares of Cummins from a “buy (b)” rating to a “buy (b-)” rating in a report on Wednesday, May 6th. Raymond James Financial lifted their price objective on shares of Cummins from $675.00 to $745.00 and gave the stock an “outperform” rating in a research report on Tuesday, May 26th. Argus increased their target price on shares of Cummins from $696.00 to $770.00 and gave the company a “buy” rating in a research report on Monday, June 1st. Truist Financial raised their target price on shares of Cummins from $815.00 to $901.00 and gave the company a “buy” rating in a research note on Thursday, July 2nd. Finally, Evercore reaffirmed an “outperform” rating and issued a $845.00 price target on shares of Cummins in a report on Monday, May 11th. Eleven research analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $739.43.

Cummins Price Performance

Shares of NYSE CMI opened at $666.12 on Thursday. Cummins Inc. has a fifty-two week low of $340.39 and a fifty-two week high of $737.76. The company has a market cap of $91.92 billion, a PE ratio of 34.57, a P/E/G ratio of 1.65 and a beta of 1.22. The company has a debt-to-equity ratio of 0.50, a quick ratio of 1.11 and a current ratio of 1.71. The business has a 50-day simple moving average of $678.35 and a two-hundred day simple moving average of $613.12.

Cummins (NYSE:CMI) last posted its quarterly earnings data on Tuesday, May 5th. The company reported $6.15 earnings per share (EPS) for the quarter, beating the consensus estimate of $5.63 by $0.52. The firm had revenue of $8.40 billion for the quarter, compared to the consensus estimate of $8.37 billion. Cummins had a net margin of 7.89% and a return on equity of 25.25%. The company’s revenue for the quarter was up 2.7% compared to the same quarter last year. During the same quarter in the prior year, the company posted $5.96 earnings per share. As a group, equities analysts expect that Cummins Inc. will post 29.35 EPS for the current fiscal year.

Cummins Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 3rd. Shareholders of record on Friday, August 21st will be paid a dividend of $2.20 per share. This represents a $8.80 dividend on an annualized basis and a yield of 1.3%. The ex-dividend date is Friday, August 21st. This is a positive change from Cummins’s previous quarterly dividend of $2.00. Cummins’s dividend payout ratio (DPR) is currently 41.52%.

Cummins News Summary

Here are the key news stories impacting Cummins this week:

• Positive Sentiment: Cummins was upgraded to Zacks Rank #2 (Buy), signaling improving earnings expectations and raising the odds that the stock could move higher if the company continues to deliver strong results. Article Title
• Positive Sentiment: Investors are also focused on Cummins’ 10% dividend hike, which supports the stock’s appeal as a cash-return story and may help sentiment around the shares. Article Title
• Positive Sentiment: Analysts say AI data center power demand could be an additional growth driver for Cummins, while raised 2030 targets reinforce the long-term earnings outlook. Article Title
• Neutral Sentiment: Several reports highlighted Cummins’ history of earnings beats and the possibility of another upside surprise in the next quarterly report, which could be a supportive near-term catalyst if management delivers again. Article Title
• Neutral Sentiment: One note said Cummins was downgraded from strong-buy to hold by Zacks Research, which is a mild headwind but does not change the broader positive tone around the name. Article Title
• Positive Sentiment: Cummins’ recently announced quarterly dividend increase and commentary that the stock may be undervalued are also helping support investor confidence in the shares. Article Title

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.