Smith Salley Wealth Management Lowers Position in Cummins Inc. $CMI

Smith Salley Wealth Management reduced its stake in Cummins Inc. (NYSE:CMI) by 5.0% in the second quarter, HoldingsChannel reports. The institutional investor owned 1,470 shares of the company’s stock after selling 78 shares during the quarter. Smith Salley Wealth Management’s holdings in Cummins were worth $481,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also bought and sold shares of the stock. Bank of Jackson Hole Trust raised its position in Cummins by 1.2% in the 1st quarter. Bank of Jackson Hole Trust now owns 2,829 shares of the company’s stock valued at $887,000 after buying an additional 33 shares during the last quarter. Scotia Capital Inc. raised its position in Cummins by 0.5% in the 1st quarter. Scotia Capital Inc. now owns 6,714 shares of the company’s stock valued at $2,104,000 after buying an additional 34 shares during the last quarter. Van Hulzen Asset Management LLC raised its position in Cummins by 1.2% in the 1st quarter. Van Hulzen Asset Management LLC now owns 2,781 shares of the company’s stock valued at $872,000 after buying an additional 34 shares during the last quarter. Sylvest Advisors LLC raised its position in Cummins by 1.0% in the 2nd quarter. Sylvest Advisors LLC now owns 3,342 shares of the company’s stock valued at $1,095,000 after buying an additional 34 shares during the last quarter. Finally, PKS Advisory Services LLC raised its position in Cummins by 2.4% in the 1st quarter. PKS Advisory Services LLC now owns 1,497 shares of the company’s stock valued at $469,000 after buying an additional 35 shares during the last quarter. 83.46% of the stock is owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In other Cummins news, VP Robert Enright sold 1,860 shares of the firm’s stock in a transaction dated Friday, August 22nd. The stock was sold at an average price of $402.26, for a total value of $748,203.60. Following the completion of the transaction, the vice president owned 955 shares in the company, valued at $384,158.30. This trade represents a 66.07% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, CFO Mark Andrew Smith sold 6,500 shares of the firm’s stock in a transaction dated Wednesday, August 13th. The stock was sold at an average price of $405.00, for a total value of $2,632,500.00. Following the completion of the transaction, the chief financial officer owned 31,582 shares of the company’s stock, valued at approximately $12,790,710. This represents a 17.07% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 35,119 shares of company stock worth $14,159,885 over the last quarter. Insiders own 0.41% of the company’s stock.

Cummins Stock Up 1.1%

CMI stock opened at $418.59 on Monday. The company has a debt-to-equity ratio of 0.53, a quick ratio of 1.03 and a current ratio of 1.64. The company has a market capitalization of $57.68 billion, a price-to-earnings ratio of 19.68, a PEG ratio of 2.02 and a beta of 1.02. Cummins Inc. has a fifty-two week low of $260.02 and a fifty-two week high of $432.50. The stock has a fifty day moving average of $394.06 and a 200-day moving average of $342.53.

Cummins (NYSE:CMI) last posted its quarterly earnings results on Tuesday, August 5th. The company reported $6.43 earnings per share for the quarter, topping the consensus estimate of $5.21 by $1.22. The company had revenue of $8.64 billion during the quarter, compared to the consensus estimate of $8.45 billion. Cummins had a return on equity of 26.96% and a net margin of 8.72%.The firm’s quarterly revenue was down 1.7% compared to the same quarter last year. During the same quarter in the prior year, the company earned $5.26 EPS. As a group, equities research analysts predict that Cummins Inc. will post 22.54 earnings per share for the current year.

Cummins Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, September 4th. Stockholders of record on Friday, August 22nd were paid a dividend of $2.00 per share. This represents a $8.00 annualized dividend and a dividend yield of 1.9%. The ex-dividend date was Friday, August 22nd. This is a positive change from Cummins’s previous quarterly dividend of $1.82. Cummins’s dividend payout ratio is currently 37.61%.

Wall Street Analysts Forecast Growth

A number of research firms recently commented on CMI. Evercore ISI reissued an “outperform” rating on shares of Cummins in a research report on Tuesday, August 19th. Robert W. Baird raised their target price on Cummins from $315.00 to $355.00 and gave the company a “neutral” rating in a research report on Friday, July 11th. Melius raised Cummins from a “hold” rating to a “buy” rating and set a $500.00 target price for the company in a research report on Wednesday, September 3rd. Wells Fargo & Company raised Cummins to an “overweight” rating in a research report on Monday, August 11th. Finally, Citigroup raised their target price on Cummins from $425.00 to $485.00 and gave the company a “buy” rating in a research report on Tuesday, September 23rd. Nine equities research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $393.57.

About Cummins

Cummins Inc designs, manufactures, distributes, and services diesel and natural gas engines, electric and hybrid powertrains, and related components worldwide. It operates through five segments: Engine, Distribution, Components, Power Systems, and Accelera. The company offers 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; and offers parts and services, as well as remanufactured parts and engines.