Cummins (NYSE:CMI) Downgraded by Zacks Research to “Hold”

Zacks Research lowered shares of Cummins (NYSE:CMI) from a strong-buy rating to a hold rating in a report published on Wednesday morning,Zacks.com reports.

A number of other equities research analysts also recently weighed in on CMI. Barclays lifted their target price on Cummins from $546.00 to $610.00 and gave the stock an “overweight” rating in a research report on Friday, January 23rd. Raymond James Financial raised Cummins from a “market perform” rating to an “outperform” rating and set a $585.00 target price for the company in a research report on Monday, December 22nd. Citigroup boosted their price target on shares of Cummins from $580.00 to $630.00 and gave the company a “buy” rating in a report on Tuesday, January 13th. UBS Group upgraded shares of Cummins from a “sell” rating to a “neutral” rating in a research note on Tuesday, November 25th. Finally, Weiss Ratings reiterated a “buy (b-)” rating on shares of Cummins in a research report on Monday, December 29th. Eleven investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, Cummins currently has an average rating of “Moderate Buy” and a consensus price target of $522.07.

Cummins Trading Up 1.0%

Shares of Cummins stock opened at $583.51 on Wednesday. Cummins has a 1 year low of $260.02 and a 1 year high of $592.53. The company’s fifty day simple moving average is $529.91 and its 200-day simple moving average is $451.36. The company has a market cap of $80.54 billion, a price-to-earnings ratio of 30.28, a PEG ratio of 2.03 and a beta of 1.12. The company has a current ratio of 1.77, a quick ratio of 1.11 and a debt-to-equity ratio of 0.52.

Cummins (NYSE:CMI) last issued its quarterly earnings results on Thursday, November 6th. The company reported $5.59 earnings per share for the quarter, beating analysts’ consensus estimates of $4.83 by $0.76. Cummins had a net margin of 7.95% and a return on equity of 26.02%. 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 firm earned $5.86 EPS. The business’s revenue was down 1.6% on a year-over-year basis. As a group, sell-side analysts expect that Cummins will post 22.54 EPS for the current year.

Insider Activity at Cummins

In related news, CFO Mark Andrew Smith sold 13,110 shares of Cummins stock in a transaction dated Thursday, November 6th. The shares were sold at an average price of $470.66, for a total transaction of $6,170,352.60. Following the completion of the transaction, the chief financial officer directly owned 31,582 shares of the company’s stock, valued at $14,864,384.12. This trade represents a 29.33% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Brett Michael Merritt sold 1,450 shares of the company’s stock in a transaction dated Tuesday, November 25th. The stock was sold at an average price of $489.32, for a total transaction of $709,514.00. Following the sale, the insider directly owned 9,271 shares in the company, valued at $4,536,485.72. This represents a 13.52% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 19,130 shares of company stock valued at $9,045,544 in the last ninety days. Insiders own 0.41% of the company’s stock.

Hedge Funds Weigh In On Cummins

A number of institutional investors and hedge funds have recently bought and sold shares of the business. Thompson Investment Management Inc. bought a new position in shares of Cummins in the fourth quarter valued at about $26,000. Flagship Wealth Advisors LLC acquired a new stake in Cummins in the 3rd quarter valued at about $28,000. Ares Financial Consulting LLC bought a new position in shares of Cummins in the fourth quarter worth about $29,000. Osterweis Capital Management Inc. bought a new position in shares of Cummins in the second quarter worth about $31,000. Finally, Holos Integrated Wealth LLC acquired a new position in shares of Cummins during the fourth quarter worth approximately $32,000. Institutional investors and hedge funds own 83.46% of the company’s stock.

Cummins Company 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.