Cummins Inc. (NYSE:CMI) declared a quarterly dividend on Tuesday, July 9th, RTT News reports. Investors of record on Wednesday, August 21st will be paid a dividend of 1.311 per share on Tuesday, September 3rd. This represents a $5.24 dividend on an annualized basis and a yield of 3.51%. The ex-dividend date of this dividend is Tuesday, August 20th. This is a boost from Cummins’s previous quarterly dividend of $1.14.

Cummins has increased its dividend payment by an average of 8.1% per year over the last three years and has increased its dividend every year for the last 9 years. Cummins has a dividend payout ratio of 35.1% meaning its dividend is sufficiently covered by earnings. Equities analysts expect Cummins to earn $14.48 per share next year, which means the company should continue to be able to cover its $5.24 annual dividend with an expected future payout ratio of 36.2%.

Shares of CMI opened at $149.25 on Friday. The company has a market capitalization of $23.04 billion, a P/E ratio of 11.28, a P/E/G ratio of 1.15 and a beta of 1.14. Cummins has a one year low of $124.40 and a one year high of $175.91. The company has a debt-to-equity ratio of 0.18, a quick ratio of 1.04 and a current ratio of 1.66. The stock has a 50-day moving average price of $164.87 and a 200 day moving average price of $161.01.

Cummins (NYSE:CMI) last issued its quarterly earnings results on Tuesday, July 30th. The company reported $4.27 EPS for the quarter, missing analysts’ consensus estimates of $4.38 by ($0.11). The business had revenue of $6.22 billion during the quarter, compared to analysts’ expectations of $6.36 billion. Cummins had a net margin of 10.74% and a return on equity of 29.75%. The company’s revenue for the quarter was up 1.5% on a year-over-year basis. During the same period in the prior year, the company posted $4.14 EPS. As a group, equities research analysts forecast that Cummins will post 15.84 earnings per share for the current fiscal year.

A number of research analysts have commented on CMI shares. Credit Suisse Group increased their target price on Cummins from $198.00 to $203.00 and gave the stock an “outperform” rating in a report on Wednesday, July 31st. Evercore ISI reaffirmed an “in-line” rating and set a $169.00 target price (up previously from $163.00) on shares of Cummins in a report on Friday, May 31st. Wells Fargo & Co reduced their target price on Cummins from $175.00 to $165.00 and set a “market perform” rating on the stock in a report on Monday, June 3rd. Loop Capital downgraded Cummins from a “hold” rating to a “sell” rating and reduced their target price for the stock from $168.00 to $145.00 in a report on Tuesday, July 2nd. Finally, Standpoint Research downgraded Cummins from a “buy” rating to a “hold” rating in a report on Tuesday, July 16th. Three research analysts have rated the stock with a sell rating, eleven have assigned a hold rating and six have issued a buy rating to the company. The company presently has a consensus rating of “Hold” and an average target price of $166.67.

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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Dividend History for Cummins (NYSE:CMI)

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