Shares of Cummins Inc. (NYSE:CMI) have earned an average rating of “Hold” from the twenty-three research firms that are currently covering the company, MarketBeat reports. Three investment analysts have rated the stock with a sell recommendation, twelve have issued a hold recommendation and seven have issued a buy recommendation on the company. The average 1 year target price among brokers that have covered the stock in the last year is $160.82.
Several equities analysts recently issued reports on the company. Piper Jaffray Companies upgraded Cummins from a “neutral” rating to an “overweight” rating and boosted their price objective for the company from $143.00 to $188.00 in a research report on Thursday, October 4th. Zacks Investment Research upgraded Cummins from a “hold” rating to a “buy” rating and set a $171.00 price objective for the company in a research report on Thursday, December 6th. JPMorgan Chase & Co. upgraded Cummins from an “underweight” rating to a “neutral” rating and boosted their price objective for the company from $137.00 to $147.00 in a research report on Wednesday, October 31st. Stifel Nicolaus boosted their price objective on Cummins from $172.00 to $174.00 and gave the company a “buy” rating in a research report on Wednesday, October 10th. Finally, ValuEngine lowered Cummins from a “sell” rating to a “strong sell” rating in a research report on Wednesday, October 24th.
In other news, CEO Norman Thomas Linebarger sold 24,830 shares of the company’s stock in a transaction that occurred on Monday, December 17th. The stock was sold at an average price of $133.19, for a total transaction of $3,307,107.70. Following the sale, the chief executive officer now owns 84,418 shares in the company, valued at approximately $11,243,633.42. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, COO Richard Joseph Freeland sold 4,500 shares of the company’s stock in a transaction that occurred on Friday, January 18th. The stock was sold at an average price of $150.00, for a total value of $675,000.00. Following the sale, the chief operating officer now owns 4,500 shares in the company, valued at approximately $675,000. The disclosure for this sale can be found here. Insiders sold a total of 45,981 shares of company stock worth $6,538,847 in the last 90 days. Company insiders own 0.67% of the company’s stock.
Shares of CMI opened at $146.38 on Friday. The company has a debt-to-equity ratio of 0.19, a current ratio of 1.54 and a quick ratio of 0.94. Cummins has a 52-week low of $124.40 and a 52-week high of $191.21. The company has a market capitalization of $22.93 billion, a P/E ratio of 13.78, a price-to-earnings-growth ratio of 0.77 and a beta of 1.17.
Cummins (NYSE:CMI) last issued its quarterly earnings data on Tuesday, October 30th. The company reported $4.05 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $3.76 by $0.29. Cummins had a return on equity of 29.17% and a net margin of 5.57%. The business had revenue of $5.94 billion during the quarter, compared to analyst estimates of $5.96 billion. During the same period in the previous year, the firm earned $2.71 EPS. Cummins’s quarterly revenue was up 12.5% compared to the same quarter last year. Equities analysts forecast that Cummins will post 15.27 EPS for the current year.
Cummins announced that its board has approved a stock buyback plan on Tuesday, October 9th that permits the company to repurchase $2.00 billion in outstanding shares. This repurchase authorization permits the company to buy up to 8.3% of its stock through open market purchases. Stock repurchase plans are often a sign that the company’s board believes its stock is undervalued.
Cummins Company Profile
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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