Federated Hermes Inc. Lowers Stake in Cummins Inc. $CMI

Federated Hermes Inc. trimmed its position in Cummins Inc. (NYSE:CMI) by 93.7% during the third quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 652 shares of the company’s stock after selling 9,666 shares during the quarter. Federated Hermes Inc.’s holdings in Cummins were worth $275,000 at the end of the most recent quarter.

A number of other institutional investors have also modified their holdings of CMI. Motley Fool Asset Management LLC grew its stake in Cummins by 9.7% during the second quarter. Motley Fool Asset Management LLC now owns 7,018 shares of the company’s stock worth $2,298,000 after buying an additional 623 shares during the period. Applied Finance Capital Management LLC lifted its holdings in shares of Cummins by 14.4% during the 2nd quarter. Applied Finance Capital Management LLC now owns 60,797 shares of the company’s stock valued at $19,910,000 after acquiring an additional 7,656 shares in the last quarter. New York State Teachers Retirement System boosted its position in Cummins by 2.1% during the 3rd quarter. New York State Teachers Retirement System now owns 111,911 shares of the company’s stock worth $47,268,000 after purchasing an additional 2,305 shares during the period. Bailard Inc. increased its holdings in Cummins by 7.2% in the 3rd quarter. Bailard Inc. now owns 59,830 shares of the company’s stock valued at $25,270,000 after purchasing an additional 4,035 shares in the last quarter. Finally, Mitsubishi UFJ Asset Management Co. Ltd. increased its holdings in Cummins by 6.7% in the 2nd quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 277,958 shares of the company’s stock valued at $91,054,000 after purchasing an additional 17,566 shares in the last quarter. Hedge funds and other institutional investors own 83.46% of the company’s stock.

Key Cummins News

Here are the key news stories impacting Cummins this week:

• Positive Sentiment: Q4 beats: Cummins reported $5.81 EPS and $8.54B revenue—both above consensus—driven by better-than-expected results that support near-term earnings visibility. Cummins (CMI) Tops Q4 Earnings and Revenue Estimates
• Positive Sentiment: Power Systems strength and monetization: Power Systems drove a surge in EBITDA margin, and the company monetized data‑center related assets, cushioning the hit from restructuring. These operational wins support cash generation and margins. Cummins Takes $458 Million Accelera Hit But Cashes In On Data Centers
• Positive Sentiment: Cummins India posted higher quarterly profit on lower expenses, showing regional operational resilience that partially offsets global headwinds. Cummins India’s quarterly profit rises on lower expenses
• Neutral Sentiment: Company materials: The earnings call transcript and slide deck provide management commentary on strategy, the Accelera review, and margin outlook—useful for assessing execution risk and the FY‑26 assumptions. Cummins Inc. (CMI) Q4 2025 Earnings Call Transcript
• Neutral Sentiment: Legal notice: A class action settlement reminder was announced—monitor for any potential cash or disclosure impacts, but this is procedural at this stage. The Rosen Law Firm Reminder of Proposed Class Action Settlement
• Negative Sentiment: Accelera charge: Cummins recorded a roughly $458M charge related to the Accelera strategic review—this one‑time hit reduces reported profitability and introduced execution uncertainty around that business. Cummins posts slight rise in revenue, records charges on Accelera strategic review
• Negative Sentiment: FY‑2026 guidance cautiousness: Management issued FY‑2026 revenue and margin guidance (revenue range ~$34.7B–$36.4B) that markets parsed as conservative on margins/earnings, sparking downward revision of near‑term expectations. Cummins (CMI) Is Down 7.4% After Issuing 2026 Revenue and Margin Guidance – What’s Changed
• Negative Sentiment: Mixed read on cash flow vs. results: Some analysts describe the quarter as “mixed” — beats offset by charges and guidance that leave free‑cash‑flow and margin trajectory uncertain for 2026. That narrative can pressure the stock until clarity returns. Cummins Q4: Mixed Results Overshadow Cash Flow Generation For The Year

Cummins Trading Up 6.8%

NYSE:CMI opened at $577.15 on Monday. The company has a market cap of $79.67 billion, a PE ratio of 28.13, a P/E/G ratio of 2.03 and a beta of 1.13. The business’s 50 day moving average is $541.01 and its two-hundred day moving average is $462.70. The company has a quick ratio of 1.16, a current ratio of 1.76 and a debt-to-equity ratio of 0.51. Cummins Inc. has a 52 week low of $260.02 and a 52 week high of $617.98.

Cummins (NYSE:CMI) last released its quarterly earnings data on Thursday, February 5th. The company reported $5.81 EPS for the quarter, topping analysts’ consensus estimates of $5.17 by $0.64. The firm 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 was up 1.1% on a year-over-year basis. During the same quarter in the previous year, the company posted $5.16 earnings per share. On average, analysts predict that Cummins Inc. will post 22.54 EPS for the current year.

Analyst Ratings Changes

A number of research analysts have commented on the company. Robert W. Baird set a $580.00 price objective on Cummins in a research note on Friday. UBS Group set a $565.00 price target on Cummins and gave the stock a “neutral” rating in a research report on Friday. Zacks Research downgraded shares of Cummins from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, January 28th. Citigroup lifted their price objective on shares of Cummins from $580.00 to $630.00 and gave the company a “buy” rating in a research note on Tuesday, January 13th. Finally, Argus upped their target price on shares of Cummins from $459.00 to $573.00 and gave the company a “buy” rating in a research note on Tuesday, November 25th. Eleven equities research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company’s stock. According to MarketBeat, Cummins has a consensus rating of “Moderate Buy” and an average target price of $574.73.

Insider Buying and Selling

In related news, CEO Jennifer Rumsey sold 4,570 shares of the company’s stock in a transaction on Tuesday, November 11th. The stock was sold at an average price of $473.89, for a total transaction of $2,165,677.30. Following the completion of the transaction, the chief executive officer directly owned 42,880 shares in the company, valued at $20,320,403.20. This represents a 9.63% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Brett Michael Merritt sold 1,450 shares of the firm’s stock in a transaction on Tuesday, November 25th. The shares were sold at an average price of $489.32, for a total value of $709,514.00. Following the completion of the sale, the insider owned 9,271 shares in the company, valued at $4,536,485.72. The trade was a 13.52% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders own 0.41% 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.