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

Cummins Inc. (NYSE:CMI) declared a quarterly dividend on Tuesday, February 11th,RTT News reports. Shareholders of record on Friday, February 21st will be given a dividend of 1.82 per share on Thursday, March 6th. This represents a $7.28 dividend on an annualized basis and a yield of 1.96%.

Cummins has raised its dividend by an average of 7.7% annually over the last three years. Cummins has a dividend payout ratio of 27.5% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Cummins to earn $27.53 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 26.4%.

Cummins Stock Down 0.4 %

Shares of CMI traded down $1.53 during mid-day trading on Tuesday, reaching $372.38. 580,070 shares of the stock traded hands, compared to its average volume of 848,749. The firm has a market cap of $51.08 billion, a price-to-earnings ratio of 13.22, a P/E/G ratio of 2.10 and a beta of 1.00. The stock has a fifty day simple moving average of $361.74 and a 200 day simple moving average of $337.16. The company has a quick ratio of 0.79, a current ratio of 1.31 and a debt-to-equity ratio of 0.42. Cummins has a 12-month low of $250.90 and a 12-month high of $387.90.

Cummins (NYSE:CMI) last issued its quarterly earnings data on Tuesday, February 4th. The company reported $5.16 EPS for the quarter, topping analysts’ consensus estimates of $4.70 by $0.46. The firm had revenue of $8.45 billion for the quarter, compared to analyst estimates of $8.06 billion. Cummins had a net margin of 11.57% and a return on equity of 27.12%. The firm’s revenue was down 1.1% compared to the same quarter last year. During the same quarter in the previous year, the business posted $4.14 EPS. Sell-side analysts expect that Cummins will post 22.57 EPS for the current fiscal year.

Insider Transactions at Cummins

In other Cummins news, VP Sharon R. Barner sold 2,163 shares of the stock in a transaction on Thursday, November 21st. The stock was sold at an average price of $369.12, for a total transaction of $798,406.56. Following the completion of the transaction, the vice president now directly owns 20,803 shares of the company’s stock, valued at approximately $7,678,803.36. This trade represents a 9.42 % decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Over the last quarter, insiders sold 4,327 shares of company stock valued at $1,582,821. 0.56% of the stock is currently owned by corporate insiders.

Wall Street Analyst Weigh In

A number of equities research analysts have weighed in on the company. Truist Financial raised their price objective on Cummins from $424.00 to $425.00 and gave the company a “hold” rating in a research note on Thursday, January 16th. Bank of America raised shares of Cummins from an “underperform” rating to a “neutral” rating and raised their price target for the stock from $354.00 to $358.00 in a research report on Tuesday, January 14th. Barclays upped their price target on shares of Cummins from $310.00 to $381.00 and gave the company an “equal weight” rating in a report on Wednesday, February 5th. Vertical Research lowered shares of Cummins from a “buy” rating to a “hold” rating and set a $350.00 price objective for the company. in a report on Wednesday, November 6th. Finally, Jefferies Financial Group upped their target price on shares of Cummins from $410.00 to $435.00 and gave the company a “buy” rating in a research note on Friday, December 6th. Eight analysts have rated the stock with a hold rating and six have issued a buy rating to the company’s stock. According to data from MarketBeat, the company has a consensus rating of “Hold” and a consensus price target of $383.08.

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.