TD Asset Management Inc Trims Stake in Cummins Inc. $CMI

TD Asset Management Inc decreased its stake in shares of Cummins Inc. (NYSE:CMI) by 29.7% in the 3rd quarter, HoldingsChannel.com reports. The institutional investor owned 82,829 shares of the company’s stock after selling 34,933 shares during the quarter. TD Asset Management Inc’s holdings in Cummins were worth $34,984,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also made changes to their positions in the company. Norges Bank acquired a new position in Cummins in the 2nd quarter valued at about $505,941,000. American Century Companies Inc. raised its position in shares of Cummins by 138.8% in the second quarter. American Century Companies Inc. now owns 909,653 shares of the company’s stock valued at $297,912,000 after buying an additional 528,689 shares during the last quarter. Bank of New York Mellon Corp raised its position in shares of Cummins by 50.8% in the third quarter. Bank of New York Mellon Corp now owns 1,450,659 shares of the company’s stock valued at $612,715,000 after buying an additional 488,430 shares during the last quarter. Ontario Teachers Pension Plan Board lifted its stake in shares of Cummins by 5,158.9% during the second quarter. Ontario Teachers Pension Plan Board now owns 435,960 shares of the company’s stock valued at $142,777,000 after buying an additional 427,670 shares during the period. Finally, Vanguard Group Inc. boosted its position in Cummins by 2.0% during the second quarter. Vanguard Group Inc. now owns 17,628,149 shares of the company’s stock worth $5,773,219,000 after acquiring an additional 344,680 shares during the last quarter. 83.46% of the stock is currently owned by hedge funds and other institutional investors.

Insider Buying and Selling at Cummins

In related news, VP Donald G. Jackson sold 1,600 shares of the stock in a transaction on Tuesday, February 24th. The stock was sold at an average price of $600.13, for a total value of $960,208.00. Following the completion of the sale, the vice president directly owned 7,214 shares in the company, valued at approximately $4,329,337.82. This represents a 18.15% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, VP Jennifer Mary Bush sold 4,270 shares of the firm’s stock in a transaction dated Tuesday, February 10th. The shares were sold at an average price of $584.93, for a total value of $2,497,651.10. Following the completion of the transaction, the vice president directly owned 15,130 shares in the company, valued at $8,849,990.90. This trade represents a 22.01% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 27,141 shares of company stock worth $16,121,817. Corporate insiders own 0.41% of the company’s stock.

Wall Street Analyst Weigh In

A number of research analysts have weighed in on the company. Citigroup increased their price target on Cummins from $580.00 to $630.00 and gave the stock a “buy” rating in a research note on Tuesday, January 13th. Zacks Research downgraded Cummins from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, January 28th. Barclays lifted their price target on Cummins from $546.00 to $610.00 and gave the company an “overweight” rating in a report on Friday, January 23rd. Morgan Stanley reiterated an “overweight” rating and set a $675.00 price objective on shares of Cummins in a report on Friday, February 6th. Finally, Weiss Ratings restated a “buy (b-)” rating on shares of Cummins in a report on Monday, December 29th. Eleven investment analysts have rated the stock with a Buy rating and six have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, Cummins presently has an average rating of “Moderate Buy” and a consensus target price of $588.93.

Cummins Stock Performance

NYSE CMI opened at $584.37 on Friday. The firm has a market capitalization of $80.74 billion, a P/E ratio of 28.48, a P/E/G ratio of 1.86 and a beta of 1.13. Cummins Inc. has a 1-year low of $260.02 and a 1-year high of $617.98. The company has a debt-to-equity ratio of 0.51, a current ratio of 1.76 and a quick ratio of 1.16. The business’s 50-day simple moving average is $566.52 and its 200-day simple moving average is $484.51.

Cummins (NYSE:CMI) last posted its earnings results on Thursday, February 5th. The company reported $5.81 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $5.17 by $0.64. Cummins had a net margin of 8.44% and a return on equity of 25.71%. The firm had revenue of $8.54 billion during the quarter, compared to the consensus estimate of $8.09 billion. During the same quarter in the prior year, the company earned $5.16 EPS. The company’s revenue was up 1.1% on a year-over-year basis. Equities analysts predict that Cummins Inc. will post 22.54 EPS for the current year.

Cummins Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, March 5th. Stockholders of record on Friday, February 20th will be paid a $2.00 dividend. This represents a $8.00 dividend on an annualized basis and a dividend yield of 1.4%. The ex-dividend date of this dividend is Friday, February 20th. Cummins’s dividend payout ratio (DPR) is currently 38.99%.

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.