Shepherd Street Advisors LLC Acquires Shares of 1,343 Cummins Inc. $CMI

Shepherd Street Advisors LLC acquired a new stake in Cummins Inc. (NYSE:CMI) during the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund acquired 1,343 shares of the company’s stock, valued at approximately $686,000.

A number of other institutional investors also recently added to or reduced their stakes in CMI. Northwestern Mutual Wealth Management Co. boosted its holdings in Cummins by 10,317.7% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 2,458,475 shares of the company’s stock valued at $1,254,929,000 after purchasing an additional 2,434,876 shares in the last quarter. Norges Bank purchased a new stake in Cummins in the 4th quarter valued at approximately $863,441,000. Boston Partners purchased a new stake in Cummins in the 3rd quarter valued at approximately $473,471,000. London Co. of Virginia purchased a new stake in Cummins in the 3rd quarter valued at approximately $231,732,000. Finally, Nordea Investment Management AB boosted its holdings in Cummins by 103.8% in the 4th quarter. Nordea Investment Management AB now owns 546,540 shares of the company’s stock valued at $280,397,000 after purchasing an additional 278,350 shares in the last quarter. Hedge funds and other institutional investors own 83.46% of the company’s stock.

Cummins Price Performance

Shares of NYSE:CMI opened at $671.93 on Wednesday. The business’s 50 day simple moving average is $625.81 and its 200-day simple moving average is $571.66. The firm has a market capitalization of $92.72 billion, a price-to-earnings ratio of 34.87, a price-to-earnings-growth ratio of 1.57 and a beta of 1.23. The company has a debt-to-equity ratio of 0.50, a current ratio of 1.71 and a quick ratio of 1.11. Cummins Inc. has a 12 month low of $307.90 and a 12 month high of $718.08.

Cummins (NYSE:CMI) last announced its quarterly earnings results on Tuesday, May 5th. The company reported $6.15 EPS for the quarter, topping the consensus estimate of $5.63 by $0.52. The business had revenue of $8.40 billion for the quarter, compared to analyst estimates of $8.37 billion. Cummins had a return on equity of 25.25% and a net margin of 7.89%.The company’s quarterly revenue was up 2.7% on a year-over-year basis. During the same quarter in the previous year, the company earned $5.96 EPS. As a group, equities analysts forecast that Cummins Inc. will post 29.4 earnings per share for the current fiscal year.

Cummins Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, June 4th. Stockholders of record on Friday, May 22nd will be paid a dividend of $2.00 per share. The ex-dividend date of this dividend is Friday, May 22nd. This represents a $8.00 annualized dividend and a dividend yield of 1.2%. Cummins’s payout ratio is 41.52%.

Insider Activity

In related news, VP Jennifer Mary Bush sold 5,000 shares of Cummins stock in a transaction that occurred on Tuesday, May 12th. The stock was sold at an average price of $696.21, for a total transaction of $3,481,050.00. Following the completion of the transaction, the vice president directly owned 11,986 shares in the company, valued at $8,344,773.06. The trade was a 29.44% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, VP Marvin Boakye sold 3,481 shares of Cummins stock in a transaction that occurred on Friday, May 8th. The stock was sold at an average price of $679.90, for a total value of $2,366,731.90. Following the transaction, the vice president owned 8,508 shares of the company’s stock, valued at $5,784,589.20. This represents a 29.03% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 13,579 shares of company stock worth $9,377,684. 0.30% of the stock is owned by corporate insiders.

Analysts Set New Price Targets

CMI has been the topic of a number of analyst reports. JPMorgan Chase & Co. lifted their price objective on Cummins from $600.00 to $725.00 and gave the company a “neutral” rating in a report on Wednesday, May 6th. UBS Group set a $565.00 price objective on Cummins and gave the company a “neutral” rating in a report on Friday, February 6th. Citigroup lifted their price objective on Cummins from $710.00 to $770.00 and gave the company a “buy” rating in a report on Wednesday, May 6th. Argus boosted their price target on Cummins from $696.00 to $770.00 and gave the stock a “buy” rating in a research note on Monday. Finally, Evercore reissued an “outperform” rating and set a $845.00 price target on shares of Cummins in a research note on Monday, May 11th. One analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating and five have assigned a Hold rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $705.79.

Cummins Company Profile

Cummins Inc (NYSE: CMI) is a global power technology company that designs, manufactures, distributes and services a broad portfolio of diesel and natural gas engines, electrified powertrains, power generation systems and related components. Founded in 1919 and headquartered in Columbus, Indiana, Cummins has grown into one of the world’s leading suppliers of internal combustion engines and a provider of technologies that reduce emissions and improve fuel efficiency.

The company’s product lineup includes heavy-, medium- and light-duty engines for on-highway and off-highway applications, generator sets and power systems for commercial and industrial use, and key engine components such as turbochargers, fuel systems, air handling, filtration and aftertreatment solutions.