HM Payson & Co. Reduces Stock Holdings in Cummins Inc. (NYSE:CMI)

HM Payson & Co. reduced its position in Cummins Inc. (NYSE:CMI) by 2.9% in the 4th quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 233,814 shares of the company’s stock after selling 6,989 shares during the period. Cummins comprises about 1.3% of HM Payson & Co.’s portfolio, making the stock its 26th biggest holding. HM Payson & Co. owned about 0.15% of Cummins worth $41,843,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds have also recently bought and sold shares of the stock. Voya Investment Management LLC boosted its position in shares of Cummins by 16.3% during the 3rd quarter. Voya Investment Management LLC now owns 459,244 shares of the company’s stock worth $74,706,000 after purchasing an additional 64,249 shares in the last quarter. Redpoint Investment Management Pty Ltd grew its position in Cummins by 66.3% in the third quarter. Redpoint Investment Management Pty Ltd now owns 19,495 shares of the company’s stock worth $3,171,000 after acquiring an additional 7,771 shares in the last quarter. State Street Corp grew its position in Cummins by 0.7% in the third quarter. State Street Corp now owns 10,542,424 shares of the company’s stock worth $1,714,936,000 after acquiring an additional 76,432 shares in the last quarter. Cypress Capital LLC grew its position in Cummins by 7.3% in the third quarter. Cypress Capital LLC now owns 2,816 shares of the company’s stock worth $458,000 after acquiring an additional 192 shares in the last quarter. Finally, Chevy Chase Trust Holdings Inc. grew its position in Cummins by 8.8% in the third quarter. Chevy Chase Trust Holdings Inc. now owns 131,814 shares of the company’s stock worth $21,442,000 after acquiring an additional 10,654 shares in the last quarter. Hedge funds and other institutional investors own 80.49% of the company’s stock.

Several brokerages recently issued reports on CMI. ValuEngine upgraded shares of Cummins from a “sell” rating to a “hold” rating in a research report on Thursday, February 6th. Cowen started coverage on shares of Cummins in a research note on Wednesday, February 5th. They set a “hold” rating and a $173.00 price objective for the company. Raymond James started coverage on shares of Cummins in a research note on Wednesday, November 27th. They set a “market perform” rating for the company. Credit Suisse Group lowered their price objective on shares of Cummins from $214.00 to $205.00 and set an “outperform” rating for the company in a research note on Wednesday, February 5th. Finally, UBS Group raised shares of Cummins from a “sell” rating to a “neutral” rating and upped their price objective for the company from $162.00 to $167.00 in a research note on Thursday, February 6th. One analyst has rated the stock with a sell rating, thirteen have assigned a hold rating and eight have given a buy rating to the company. Cummins has a consensus rating of “Hold” and a consensus price target of $175.53.

Shares of CMI stock traded up $2.59 on Thursday, hitting $130.36. 21,516 shares of the stock traded hands, compared to its average volume of 2,025,140. The firm has a market cap of $19.07 billion, a price-to-earnings ratio of 8.94, a PEG ratio of 1.40 and a beta of 1.11. Cummins Inc. has a 52 week low of $101.03 and a 52 week high of $186.73. The firm has a 50 day simple moving average of $150.17 and a two-hundred day simple moving average of $167.01. The company has a debt-to-equity ratio of 0.19, a current ratio of 1.50 and a quick ratio of 0.94.

Cummins (NYSE:CMI) last released its quarterly earnings results on Tuesday, February 4th. The company reported $2.56 EPS for the quarter, topping analysts’ consensus estimates of $2.42 by $0.14. Cummins had a net margin of 9.59% and a return on equity of 26.49%. The firm had revenue of $5.58 billion during the quarter, compared to analysts’ expectations of $5.39 billion. During the same period in the previous year, the company earned $3.48 EPS. The firm’s revenue for the quarter was down 8.9% compared to the same quarter last year. Sell-side analysts forecast that Cummins Inc. will post 11.11 EPS for the current year.

The company also recently disclosed a quarterly dividend, which was paid on Thursday, March 5th. Investors of record on Friday, February 21st were paid a dividend of $1.311 per share. The ex-dividend date was Thursday, February 20th. This represents a $5.24 annualized dividend and a dividend yield of 4.02%. Cummins’s dividend payout ratio (DPR) is presently 34.82%.

Cummins announced that its board has approved a stock repurchase plan on Tuesday, December 10th that allows the company to repurchase $2.00 billion in outstanding shares. This repurchase authorization allows the company to purchase up to 7.2% of its shares through open market purchases. Shares repurchase plans are often a sign that the company’s board of directors believes its shares are undervalued.

In other news, VP Mark J. Osowick sold 438 shares of the company’s stock in a transaction on Friday, February 14th. The shares were sold at an average price of $165.88, for a total value of $72,655.44. Following the sale, the vice president now directly owns 7,392 shares of the company’s stock, valued at approximately $1,226,184.96. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, COO Tony Satterthwaite sold 5,395 shares of the company’s stock in a transaction on Thursday, February 13th. The shares were sold at an average price of $167.75, for a total transaction of $905,011.25. Following the completion of the sale, the chief operating officer now directly owns 51,584 shares in the company, valued at $8,653,216. The disclosure for this sale can be found here. In the last quarter, insiders have sold 16,280 shares of company stock valued at $2,727,957. 0.95% of the stock is currently owned by company insiders.

Cummins Company Profile

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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Institutional Ownership by Quarter for Cummins (NYSE:CMI)

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