Cummins Inc. (NYSE:CMI) COO Tony Satterthwaite Sells 5,395 Shares

Cummins Inc. (NYSE:CMI) COO Tony Satterthwaite sold 5,395 shares of the company’s stock in a transaction on Thursday, February 13th. The shares were sold at an average price of $167.75, for a total transaction of $905,011.25. Following the sale, the chief operating officer now owns 51,584 shares of the company’s stock, valued at approximately $8,653,216. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink.

Shares of CMI stock opened at $166.78 on Friday. Cummins Inc. has a 12-month low of $141.14 and a 12-month high of $186.73. The firm has a market capitalization of $25.45 billion, a price-to-earnings ratio of 11.57, a price-to-earnings-growth ratio of 2.11 and a beta of 1.15. The company has a quick ratio of 0.94, a current ratio of 1.50 and a debt-to-equity ratio of 0.19. The firm has a fifty day moving average of $170.59 and a 200-day moving average of $168.05.

Cummins (NYSE:CMI) last announced its quarterly earnings results on Tuesday, February 4th. The company reported $2.56 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.42 by $0.14. Cummins had a net margin of 9.59% and a return on equity of 26.49%. The company had revenue of $5.58 billion during the quarter, compared to analyst estimates of $5.39 billion. During the same quarter in the previous year, the business earned $3.48 EPS. The firm’s revenue was down 8.9% on a year-over-year basis. Research analysts expect that Cummins Inc. will post 12.1 earnings per share for the current year.

Cummins declared that its Board of Directors has initiated a stock repurchase plan on Tuesday, December 10th that permits the company to repurchase $2.00 billion in shares. This repurchase authorization permits the company to buy up to 7.2% of its shares through open market purchases. Shares repurchase plans are often a sign that the company’s leadership believes its shares are undervalued.

The company also recently declared a quarterly dividend, which will be paid on Thursday, March 5th. Stockholders of record on Friday, February 21st will be issued a $1.311 dividend. This represents a $5.24 annualized dividend and a dividend yield of 3.14%. The ex-dividend date is Thursday, February 20th. Cummins’s dividend payout ratio (DPR) is 34.82%.

Several hedge funds have recently made changes to their positions in CMI. American International Group Inc. grew its holdings in shares of Cummins by 2,162.4% in the 4th quarter. American International Group Inc. now owns 1,728,050 shares of the company’s stock valued at $309,252,000 after buying an additional 1,651,668 shares during the period. BlackRock Inc. grew its holdings in shares of Cummins by 5.8% in the 2nd quarter. BlackRock Inc. now owns 11,488,896 shares of the company’s stock valued at $1,968,509,000 after buying an additional 629,235 shares during the period. Hotchkis & Wiley Capital Management LLC grew its holdings in shares of Cummins by 9.7% in the 4th quarter. Hotchkis & Wiley Capital Management LLC now owns 2,769,641 shares of the company’s stock valued at $495,655,000 after buying an additional 244,103 shares during the period. Johanson Financial Advisors Inc. acquired a new position in shares of Cummins in the 4th quarter valued at $1,226,000. Finally, Bank of Montreal Can grew its holdings in shares of Cummins by 39.5% in the 4th quarter. Bank of Montreal Can now owns 684,649 shares of the company’s stock valued at $122,524,000 after buying an additional 194,013 shares during the period. 82.98% of the stock is owned by institutional investors.

Several analysts have commented on CMI shares. Raymond James started coverage on shares of Cummins in a research report on Wednesday, November 27th. They set a “market perform” rating for the company. ValuEngine upgraded shares of Cummins from a “sell” rating to a “hold” rating in a research report on Thursday, February 6th. Cfra cut shares of Cummins from a “buy” rating to a “hold” rating in a research report on Wednesday, October 30th. Credit Suisse Group dropped their target price on shares of Cummins from $214.00 to $205.00 and set an “outperform” rating for the company in a research report on Wednesday, February 5th. Finally, UBS Group upgraded shares of Cummins from a “sell” rating to a “neutral” rating and upped their target price for the company from $162.00 to $167.00 in a research report on Thursday, February 6th. One investment analyst has rated the stock with a sell rating, twelve have assigned a hold rating and eight have given a buy rating to the company. The stock has a consensus rating of “Hold” and a consensus price target of $183.19.

About Cummins

Cummins Inc designs, manufactures, distributes, and services diesel and natural gas engines, and engine-related component products worldwide. It operates through four segments: Engine, Distribution, Components, and Power Systems segments. The Engine segment manufactures and markets a range of 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.

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