Cummins Inc. to Issue Quarterly Dividend of $1.82 (NYSE:CMI)

Cummins Inc. (NYSE:CMI) announced a quarterly dividend on Tuesday, October 15th, RTT News reports. Shareholders of record on Friday, November 22nd will be given a dividend of 1.82 per share on Thursday, December 5th. This represents a $7.28 dividend on an annualized basis and a yield of 2.18%. The ex-dividend date is Friday, November 22nd.

Cummins has raised its dividend payment by an average of 7.2% per year over the last three years and has raised its dividend every year for the last 19 years. Cummins has a dividend payout ratio of 33.3% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect Cummins to earn $21.97 per share next year, which means the company should continue to be able to cover its $7.28 annual dividend with an expected future payout ratio of 33.1%.

Cummins Stock Up 0.4 %

CMI stock opened at $333.88 on Thursday. The stock has a market cap of $45.67 billion, a PE ratio of 24.44, a price-to-earnings-growth ratio of 1.92 and a beta of 0.98. The firm’s 50-day simple moving average is $311.09 and its 200 day simple moving average is $294.29. Cummins has a fifty-two week low of $212.80 and a fifty-two week high of $339.78. The company has a quick ratio of 0.82, a current ratio of 1.34 and a debt-to-equity ratio of 0.51.

Cummins (NYSE:CMI) last announced its quarterly earnings results on Thursday, August 1st. The company reported $5.26 EPS for the quarter, beating the consensus estimate of $4.85 by $0.41. The company had revenue of $8.80 billion for the quarter, compared to analyst estimates of $8.33 billion. Cummins had a net margin of 5.69% and a return on equity of 25.73%. Cummins’s revenue was up 2.3% compared to the same quarter last year. During the same quarter last year, the business earned $5.18 earnings per share. As a group, sell-side analysts predict that Cummins will post 19.77 EPS for the current year.

Wall Street Analyst Weigh In

A number of research analysts have issued reports on CMI shares. JPMorgan Chase & Co. boosted their price target on Cummins from $285.00 to $340.00 and gave the stock an “underweight” rating in a research report on Friday, October 11th. Robert W. Baird upped their price objective on shares of Cummins from $295.00 to $315.00 and gave the stock a “neutral” rating in a report on Friday, August 2nd. Raymond James initiated coverage on shares of Cummins in a research report on Friday, June 28th. They issued a “market perform” rating for the company. Truist Financial boosted their price target on shares of Cummins from $349.00 to $371.00 and gave the stock a “hold” rating in a research report on Wednesday, October 9th. Finally, Citigroup raised their price objective on shares of Cummins from $345.00 to $375.00 and gave the company a “buy” rating in a research note on Wednesday, October 9th. Two investment analysts have rated the stock with a sell rating, six have given a hold rating and five have assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, Cummins presently has a consensus rating of “Hold” and an average price target of $311.55.

Insider Buying and Selling

In other news, VP Sharon R. Barner sold 4,780 shares of the stock in a transaction on Thursday, August 15th. The stock was sold at an average price of $300.35, for a total transaction of $1,435,673.00. Following the completion of the sale, the vice president now owns 20,873 shares in the company, valued at approximately $6,269,205.55. This represents a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. In other news, SVP Tony Satterthwaite sold 24,250 shares of Cummins stock in a transaction that occurred on Friday, August 23rd. The shares were sold at an average price of $308.24, for a total value of $7,474,820.00. Following the transaction, the senior vice president now directly owns 77,442 shares of the company’s stock, valued at $23,870,722.08. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, VP Sharon R. Barner sold 4,780 shares of the business’s stock in a transaction on Thursday, August 15th. The shares were sold at an average price of $300.35, for a total transaction of $1,435,673.00. Following the sale, the vice president now directly owns 20,873 shares in the company, valued at approximately $6,269,205.55. This trade represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 0.56% of the stock is currently owned by insiders.

Cummins Company Profile

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.