Cummins Inc. (NYSE:CMI) Short Interest Up 35.0% in March

by · The Cerbat Gem

Cummins Inc. (NYSE:CMI – Get Free Report) saw a large increase in short interest in the month of March. As of March 31st, there was short interest totalling 2,200,000 shares, an increase of 35.0% from the March 15th total of 1,630,000 shares. Approximately 1.6% of the shares of the company are sold short. Based on an average daily volume of 949,200 shares, the days-to-cover ratio is presently 2.3 days.

Wall Street Analyst Weigh In

CMI has been the topic of a number of recent research reports. Citigroup lowered their price objective on Cummins from $360.00 to $320.00 and set a “buy” rating on the stock in a research note on Tuesday, April 8th. UBS Group cut Cummins from a “buy” rating to a “sell” rating and lowered their price target for the stock from $400.00 to $240.00 in a report on Monday, April 7th. Barclays raised their price objective on Cummins from $310.00 to $381.00 and gave the company an “equal weight” rating in a research note on Wednesday, February 5th. StockNews.com cut shares of Cummins from a “buy” rating to a “hold” rating in a report on Tuesday, March 25th. Finally, Evercore ISI upped their price objective on shares of Cummins from $408.00 to $451.00 and gave the stock an “outperform” rating in a research report on Wednesday, February 19th. One analyst has rated the stock with a sell rating, nine have given a hold rating and five have issued a buy rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Hold” and an average target price of $346.00.

Read Our Latest Stock Analysis on Cummins

Hedge Funds Weigh In On Cummins

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

Cummins Stock Performance

Cummins stock traded up $0.81 during mid-day trading on Friday, reaching $281.37. 624,084 shares of the stock traded hands, compared to its average volume of 804,510. The business’s 50-day moving average is $326.83 and its 200-day moving average is $345.40. The stock has a market capitalization of $38.76 billion, a PE ratio of 9.99, a price-to-earnings-growth ratio of 2.19 and a beta of 1.07. Cummins has a 12-month low of $260.02 and a 12-month high of $387.90. The company has a debt-to-equity ratio of 0.42, a current ratio of 1.31 and a quick ratio of 0.80.

Cummins (NYSE:CMI – Get Free Report) last announced its quarterly earnings data on Tuesday, February 4th. The company reported $5.16 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $4.70 by $0.46. The firm had revenue of $8.45 billion during the quarter, compared to analysts’ expectations of $8.06 billion. Cummins had a net margin of 11.57% and a return on equity of 27.12%. The company’s revenue for the quarter was down 1.1% compared to the same quarter last year. During the same period in the prior year, the company posted $4.14 earnings per share. As a group, sell-side analysts predict that Cummins will post 22.54 EPS for the current fiscal year.

Cummins Dividend Announcement

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

Cummins Company Profile

(Get Free Report)

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.

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