Orca Wealth Management LLC Increases Stock Position in Cummins Inc. $CMI

Orca Wealth Management LLC raised its holdings in Cummins Inc. (NYSE:CMI) by 0.6% during the second quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor owned 4,609 shares of the company’s stock after purchasing an additional 28 shares during the quarter. Cummins accounts for about 1.3% of Orca Wealth Management LLC’s holdings, making the stock its 29th biggest position. Orca Wealth Management LLC’s holdings in Cummins were worth $1,509,000 at the end of the most recent quarter.

Other institutional investors also recently added to or reduced their stakes in the company. Olde Wealth Management LLC purchased a new stake in Cummins in the 1st quarter valued at approximately $30,000. Accredited Wealth Management LLC purchased a new stake in shares of Cummins during the 1st quarter worth approximately $31,000. Opal Wealth Advisors LLC purchased a new stake in shares of Cummins during the 1st quarter worth approximately $37,000. Richardson Financial Services Inc. purchased a new stake in shares of Cummins during the 1st quarter worth approximately $39,000. Finally, Costello Asset Management INC purchased a new stake in shares of Cummins during the 1st quarter worth approximately $40,000. Hedge funds and other institutional investors own 83.46% of the company’s stock.

Cummins Price Performance

CMI stock opened at $432.87 on Friday. Cummins Inc. has a 1 year low of $260.02 and a 1 year high of $437.66. 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 stock’s 50 day moving average price is $400.74 and its 200 day moving average price is $345.95. The firm has a market cap of $59.65 billion, a P/E ratio of 20.35, a PEG ratio of 2.09 and a beta of 1.04.

Cummins (NYSE:CMI) last posted its earnings results on Tuesday, August 5th. The company reported $6.43 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $5.21 by $1.22. Cummins had a return on equity of 26.96% and a net margin of 8.72%.The firm had revenue of $8.64 billion for the quarter, compared to analyst estimates of $8.45 billion. During the same quarter in the prior year, the company earned $5.26 EPS. Cummins’s revenue was down 1.7% on a year-over-year basis. On average, sell-side analysts expect that Cummins Inc. will post 22.54 earnings per share for the current fiscal year.

Cummins Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, September 4th. Shareholders of record on Friday, August 22nd were issued a $2.00 dividend. This is a boost from Cummins’s previous quarterly dividend of $1.82. The ex-dividend date was Friday, August 22nd. This represents a $8.00 annualized dividend and a yield of 1.8%. Cummins’s payout ratio is presently 37.61%.

Wall Street Analysts Forecast Growth

Several brokerages have recently commented on CMI. Robert W. Baird boosted their price target on Cummins from $315.00 to $355.00 and gave the stock a “neutral” rating in a research note on Friday, July 11th. Wolfe Research raised Cummins from a “hold” rating to an “outperform” rating in a research note on Monday, August 11th. Evercore ISI reissued an “outperform” rating on shares of Cummins in a research note on Tuesday, August 19th. Truist Financial boosted their price target on Cummins from $342.00 to $380.00 and gave the stock a “hold” rating in a research note on Thursday, August 7th. Finally, Melius raised Cummins from a “hold” rating to a “buy” rating and set a $500.00 price target on the stock in a research note on Wednesday, September 3rd. Ten research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $393.57.

Insider Buying and Selling

In other Cummins news, VP Amy Rochelle Davis sold 5,002 shares of the business’s stock in a transaction on Thursday, August 14th. The stock was sold at an average price of $402.88, for a total value of $2,015,205.76. Following the completion of the transaction, the vice president directly owned 20,738 shares in the company, valued at approximately $8,354,925.44. The trade was a 19.43% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, VP Luther E. Peters sold 4,850 shares of the business’s stock in a transaction on Friday, August 8th. The shares were sold at an average price of $389.19, for a total value of $1,887,571.50. Following the completion of the transaction, the vice president owned 7,693 shares of the company’s stock, valued at $2,994,038.67. This trade represents a 38.67% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 35,119 shares of company stock worth $14,159,885 in the last three months. 0.41% of the stock is currently owned by insiders.

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.