Cummins (NYSE:CMI) Price Target Lowered to $340.00 at Morgan Stanley

Cummins (NYSE:CMI) had its target price cut by Morgan Stanley from $425.00 to $340.00 in a research note published on Wednesday,Benzinga reports. They currently have an overweight rating on the stock.

A number of other research analysts have also issued reports on CMI. Truist Financial cut their price target on shares of Cummins from $420.00 to $338.00 and set a “hold” rating on the stock in a research note on Tuesday, April 8th. Evercore ISI upped their target price on Cummins from $408.00 to $451.00 and gave the company an “outperform” rating in a research report on Wednesday, February 19th. Robert W. Baird lowered their price target on Cummins from $407.00 to $315.00 and set a “neutral” rating for the company in a research report on Tuesday. Bank of America raised Cummins from an “underperform” rating to a “neutral” rating and increased their price objective for the company from $354.00 to $358.00 in a report on Tuesday, January 14th. Finally, JPMorgan Chase & Co. reduced their price objective on Cummins from $375.00 to $308.00 and set a “neutral” rating for the company in a research note on Friday, April 11th. One analyst has rated the stock with a sell rating, nine have given a hold rating and five have assigned a buy rating to the stock. According to data from MarketBeat.com, Cummins presently has a consensus rating of “Hold” and a consensus price target of $346.00.

Cummins Price Performance

NYSE CMI opened at $281.05 on Wednesday. Cummins has a 12-month low of $260.02 and a 12-month high of $387.90. The firm’s fifty day simple moving average is $330.50 and its two-hundred day simple moving average is $345.86. The company has a current ratio of 1.31, a quick ratio of 0.80 and a debt-to-equity ratio of 0.42. The firm has a market capitalization of $38.71 billion, a P/E ratio of 9.98, a P/E/G ratio of 2.19 and a beta of 1.07.

Cummins (NYSE:CMI) last announced its earnings results on Tuesday, February 4th. The company reported $5.16 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.70 by $0.46. The company had revenue of $8.45 billion for the quarter, compared to analyst estimates of $8.06 billion. Cummins had a return on equity of 27.12% and a net margin of 11.57%. The firm’s quarterly revenue was down 1.1% compared to the same quarter last year. During the same period in the prior year, the company posted $4.14 EPS. Analysts forecast that Cummins will post 22.54 EPS for the current fiscal year.

Cummins Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, March 6th. Investors of record on Friday, February 21st were paid a $1.82 dividend. This represents a $7.28 annualized dividend and a dividend yield of 2.59%. The ex-dividend date was Friday, February 21st. Cummins’s dividend payout ratio is currently 25.84%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in CMI. Norges Bank acquired a new stake in shares of Cummins during the 4th quarter valued at about $499,490,000. GAMMA Investing LLC grew its holdings in Cummins by 38,220.5% in the first quarter. GAMMA Investing LLC now owns 1,191,385 shares of the company’s stock valued at $373,428,000 after purchasing an additional 1,188,276 shares during the period. Raymond James Financial Inc. acquired a new stake in Cummins in the fourth quarter valued at approximately $187,082,000. Vanguard Group Inc. increased its position in shares of Cummins by 1.5% in the fourth quarter. Vanguard Group Inc. now owns 16,961,646 shares of the company’s stock valued at $5,912,830,000 after buying an additional 250,650 shares in the last quarter. Finally, Northern Trust Corp raised its stake in shares of Cummins by 15.1% during the 4th quarter. Northern Trust Corp now owns 1,883,012 shares of the company’s stock worth $656,418,000 after buying an additional 246,807 shares during the period. Hedge funds and other institutional investors own 83.46% of the company’s stock.

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.