Daiwa Securities Group Inc. Buys 854 Shares of Cummins Inc. (NYSE:CMI)

Daiwa Securities Group Inc. raised its stake in Cummins Inc. (NYSE:CMI) by 6.6% during the fourth quarter, according to its most recent filing with the Securities and Exchange Commission. The fund owned 13,785 shares of the company’s stock after buying an additional 854 shares during the period. Daiwa Securities Group Inc.’s holdings in Cummins were worth $3,303,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds also recently made changes to their positions in the stock. OFI Invest Asset Management bought a new stake in Cummins in the third quarter valued at approximately $25,000. Silver Oak Securities Incorporated bought a new stake in shares of Cummins in the 3rd quarter valued at $28,000. Tyler Stone Wealth Management acquired a new stake in shares of Cummins during the second quarter worth $30,000. Global Wealth Strategies & Associates bought a new position in Cummins during the third quarter worth $29,000. Finally, Quarry LP bought a new position in Cummins during the first quarter worth $32,000. Institutional investors and hedge funds own 83.46% of the company’s stock.

Cummins Price Performance

Shares of NYSE CMI opened at $287.56 on Friday. The company has a debt-to-equity ratio of 0.48, a quick ratio of 0.74 and a current ratio of 1.18. The firm’s 50-day simple moving average is $280.26 and its 200 day simple moving average is $248.53. The stock has a market cap of $39.33 billion, a price-to-earnings ratio of 55.51, a PEG ratio of 1.99 and a beta of 1.04. Cummins Inc. has a fifty-two week low of $203.18 and a fifty-two week high of $304.24.

Cummins (NYSE:CMI) last announced its earnings results on Tuesday, February 6th. The company reported $4.14 earnings per share (EPS) for the quarter, missing the consensus estimate of $4.41 by ($0.27). The company had revenue of $8.54 billion for the quarter, compared to analysts’ expectations of $8.10 billion. Cummins had a net margin of 2.16% and a return on equity of 25.68%. The firm’s quarterly revenue was up 9.9% on a year-over-year basis. During the same period in the previous year, the firm earned $4.52 EPS. As a group, research analysts anticipate that Cummins Inc. will post 18.27 earnings per share for the current fiscal year.

Cummins Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Thursday, March 7th. Stockholders of record on Friday, February 23rd were issued a $1.68 dividend. The ex-dividend date was Thursday, February 22nd. This represents a $6.72 annualized dividend and a dividend yield of 2.34%. Cummins’s dividend payout ratio is currently 129.73%.

Analysts Set New Price Targets

A number of brokerages have weighed in on CMI. The Goldman Sachs Group increased their price target on Cummins from $270.00 to $306.00 and gave the stock a “neutral” rating in a report on Tuesday, April 16th. Citigroup lifted their target price on Cummins from $265.00 to $285.00 and gave the stock a “buy” rating in a report on Monday, February 12th. Bank of America downgraded shares of Cummins from a “neutral” rating to an “underperform” rating and reduced their price objective for the stock from $243.00 to $225.00 in a research report on Friday, January 19th. Evercore ISI lifted their price objective on shares of Cummins from $231.00 to $244.00 and gave the company an “in-line” rating in a research note on Tuesday, February 20th. Finally, JPMorgan Chase & Co. increased their target price on shares of Cummins from $245.00 to $275.00 and gave the stock an “underweight” rating in a research note on Monday, March 25th. Two analysts have rated the stock with a sell rating, four have assigned a hold rating and five have assigned a buy rating to the stock. According to MarketBeat.com, Cummins currently has a consensus rating of “Hold” and an average target price of $279.70.

Insider Buying and Selling

In other Cummins news, VP Sharon R. Barner sold 2,100 shares of the stock in a transaction dated Wednesday, February 28th. The shares were sold at an average price of $271.29, for a total value of $569,709.00. Following the completion of the sale, the vice president now owns 16,899 shares in the company, valued at approximately $4,584,529.71. The transaction was disclosed in a document filed with the SEC, which is available at this link. In other Cummins news, CEO Jennifer Rumsey sold 739 shares of the company’s stock in a transaction on Friday, February 16th. The stock was sold at an average price of $266.91, for a total value of $197,246.49. Following the completion of the transaction, the chief executive officer now owns 2,698 shares in the company, valued at approximately $720,123.18. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, VP Sharon R. Barner sold 2,100 shares of Cummins stock in a transaction on Wednesday, February 28th. The stock was sold at an average price of $271.29, for a total value of $569,709.00. Following the sale, the vice president now owns 16,899 shares in the company, valued at $4,584,529.71. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 51,289 shares of company stock worth $13,576,838. 0.56% of the stock is 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.