Free Trial

Cummins (CMI) Stock Price, News & Analysis

$300.53
-1.06 (-0.35%)
(As of 09/18/2024 ET)

About Cummins Stock (NYSE:CMI)

Key Stats

Today's Range
$300.00
$306.42
50-Day Range
$280.01
$312.85
52-Week Range
$212.80
$322.83
Volume
567,424 shs
Average Volume
1.68 million shs
Market Capitalization
$41.11 billion
P/E Ratio
22.00
Dividend Yield
2.42%
Price Target
$299.55
Consensus Rating
Hold

Company Overview

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. It provides power generation systems, horsepower engines, heavy and medium duty engines, application engineering services, custom-designed assemblies, retail and wholesale aftermarket parts, and in-shop and field-based repair services. In addition, the company offers emission solutions; turbochargers; air and fuel filters, fuel water separators, lube and hydraulic filters, coolants, fuel additives, and other filtration systems; and electronic control modules, sensors, and supporting software, as well as new, replacement, and remanufactured fuel systems. Further, it provides automated transmissions; standby and prime power generators, controls, paralleling systems, and transfer switches, as well as A/C generator/alternator products under the Stamford and AVK brands; and electrified power systems with components and subsystems, including battery, fuel cell, and hydrogen production technologies. Additionally, it offers filtration, aftertreatment, controls systems, air handling systems, and electric power generation systems, and batteries. It sells its products to original equipment manufacturers, distributors, dealers, and other customers. The company was formerly known as Cummins Engine Company and changed its name to Cummins Inc. in 2001. Cummins Inc. was founded in 1919 and is headquartered in Columbus, Indiana.

Cummins Stock Analysis - MarketRank™

See Top Rated MarketRank™ Stocks

Overall MarketRank™: 86th Percentile

Cummins scored higher than 86% of companies evaluated by MarketBeat, and ranked 20th out of 94 stocks in the auto/tires/trucks sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

  • Consensus Rating

    Cummins has received a consensus rating of Hold. The company's average rating score is 2.17, and is based on 4 buy ratings, 6 hold ratings, and 2 sell ratings.

  • Amount of Analyst Coverage

    Cummins has been the subject of 7 research reports in the past 90 days, demonstrating strong analyst interest in this stock.

  • Read more about Cummins' stock forecast and price target.
  • Earnings Growth

    Earnings for Cummins are expected to grow by 12.21% in the coming year, from $19.66 to $22.06 per share.

  • Price to Earnings Ratio vs. the Market

    The P/E ratio of Cummins is 22.00, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 134.82.

  • Price to Earnings Ratio vs. Sector

    The P/E ratio of Cummins is 22.00, which means that it is trading at a more expensive P/E ratio than the Auto/Tires/Trucks sector average P/E ratio of about 10.72.

  • Price to Earnings Growth Ratio

    Cummins has a PEG Ratio of 1.70. PEG Ratios above 1 indicate that a company could be overvalued.

  • Price to Book Value per Share Ratio

    Cummins has a P/B Ratio of 4.30. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

  • Read more about Cummins' valuation and earnings.
  • Percentage of Shares Shorted

    1.59% of the float of Cummins has been sold short.
  • Short Interest Ratio / Days to Cover

    Cummins has a short interest ratio ("days to cover") of 2.5, which is generally considered an acceptable ratio of short interest to trading volume.
  • Change versus previous month

    Short interest in Cummins has recently increased by 3.38%, indicating that investor sentiment is decreasing.
  • Dividend Yield

    Cummins pays a meaningful dividend of 2.45%, higher than the bottom 25% of all stocks that pay dividends.

  • Dividend Growth

    Cummins has been increasing its dividend for 19 years.

  • Dividend Coverage

    The dividend payout ratio of Cummins is 53.29%. This payout ratio is at a healthy, sustainable level, below 75%.

  • Dividend Sustainability

    Based on earnings estimates, Cummins will have a dividend payout ratio of 33.00% next year. This indicates that Cummins will be able to sustain or increase its dividend.

  • Read more about Cummins' dividend.
  • Percentage of Shares Shorted

    1.59% of the float of Cummins has been sold short.
  • Short Interest Ratio / Days to Cover

    Cummins has a short interest ratio ("days to cover") of 2.5, which is generally considered an acceptable ratio of short interest to trading volume.
  • Change versus previous month

    Short interest in Cummins has recently increased by 3.38%, indicating that investor sentiment is decreasing.
  • News Sentiment

    Cummins has a news sentiment score of 0.71. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.53 average news sentiment score of Auto/Tires/Trucks companies.
  • News Coverage This Week

    MarketBeat has tracked 10 news articles for Cummins this week, compared to 15 articles on an average week.
  • Search Interest

    Only 5 people have searched for CMI on MarketBeat in the last 30 days. This is a decrease of -78% compared to the previous 30 days.
  • MarketBeat Follows

    Only 7 people have added Cummins to their MarketBeat watchlist in the last 30 days. This is a decrease of -53% compared to the previous 30 days.
  • Insider Buying vs. Insider Selling

    In the past three months, Cummins insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $8,910,493.00 in company stock.

  • Percentage Held by Insiders

    Only 0.56% of the stock of Cummins is held by insiders.

  • Percentage Held by Institutions

    83.46% of the stock of Cummins is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

  • Read more about Cummins' insider trading history.

CMI Stock News Headlines

Biden's Executive Order, Dems Digital Money Legislation, First Step To
Donald Trump once again sounded the alarm against Fed-controlled digital currencies (CBDCs). If these plans are implemented, it could mean the end of America as we know it.
Cummins Inc. stock rises Tuesday, outperforms market
Cummins: A Blue-Chip Dividend Stock To Buy Now
Brokerages Set Cummins Inc. (NYSE:CMI) Target Price at $299.55
See More Headlines

CMI Stock Analysis - Frequently Asked Questions

Cummins' stock was trading at $239.57 at the beginning of 2024. Since then, CMI shares have increased by 25.4% and is now trading at $300.53.
View the best growth stocks for 2024 here
.

Cummins Inc. (NYSE:CMI) announced its earnings results on Thursday, August, 1st. The company reported $5.26 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.85 by $0.41. The firm's revenue was up 2.3% on a year-over-year basis.
Read the conference call transcript
.

Cummins subsidiaries include Meritor, Jacobs Vehicle Systems, Hydrogenics, Efficient Drivetrains, Brammo, Hilite International, Nelson Industries, and others.

Cummins' top institutional investors include First Eagle Investment Management LLC (1.46%), Dimensional Fund Advisors LP (1.24%), Legal & General Group Plc (1.24%) and LSV Asset Management (0.92%). Insiders that own company stock include Norman Thomas Linebarger, Tony Satterthwaite, Srikanth Padmanabhan, Georgia R Nelson, Sharon R Barner, Tracy A Embree, Mark Andrew Smith, Walter J Fier, Leo Allen Bruno V Di, Franklin R Changdiaz, Jennifer Rumsey, Marvin Boakye, Jeffrey T Wiltrout, Daniel William Fisher, Jill E Cook, Christopher C Clulow and Melina M Kennedy.
View institutional ownership trends
.

Shares of CMI stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

Based on aggregate information from My MarketBeat watchlists, some other companies that Cummins investors own include Johnson & Johnson (JNJ), Caterpillar (CAT), NVIDIA (NVDA), Cisco Systems (CSCO), Verizon Communications (VZ), AT&T (T) and Intel (INTC).

Company Calendar

Last Earnings
8/01/2024
Ex-Dividend for 9/5 Dividend
8/23/2024
Dividend Payable
9/05/2024
Today
9/18/2024
Next Earnings (Estimated)
11/07/2024
Fiscal Year End
12/31/2024

Industry, Sector and Symbol

Industry
Engines & turbines
Sub-Industry
Construction & Farm Machinery & Heavy Trucks
CUSIP
23102110
Employees
75,500
Year Founded
1919

Price Target and Rating

Average Stock Price Target
$299.55
High Stock Price Target
$349.00
Low Stock Price Target
$225.00
Potential Upside/Downside
-0.3%
Consensus Rating
Hold
Rating Score (0-4)
2.17
Research Coverage
12 Analysts

Profitability

Net Income
$735 million
Pretax Margin
8.33%

Debt

Sales & Book Value

Annual Sales
$34.17 billion
Cash Flow
$27.70 per share
Book Value
$69.87 per share

Miscellaneous

Free Float
136,014,000
Market Cap
$41.11 billion
Optionable
Optionable
Beta
0.98

Social Links

Should I Buy Cummins Stock? CMI Pros and Cons Explained

These pros and cons were generated based on recent news and financial data from MarketBeat in order to provide readers with the fastest and most accurate insights. They were last updated on Monday, September 9, 2024. Please send any questions or comments about these Cummins pros and cons to contact@marketbeat.com.

Cummins
Bull Case

green Wall Street bull icon

Here are some ways that investors could benefit from investing in Cummins Inc.:

  • Cummins Inc. has consistently shown strong financial performance, with a solid return on equity of 25.73% and a net margin of 5.69%, indicating efficient operations and profitability.
  • Analysts have set a positive average target price of $299.55 for Cummins Inc., suggesting potential for stock price appreciation.
  • The company recently increased its quarterly dividend from $1.68 to $1.82, demonstrating confidence in its financial stability and commitment to rewarding shareholders.
  • Insider trading activities indicate that company executives, such as VP Sharon R. Barner, have been selling shares, which could be interpreted as a sign of confidence in the company's future performance.
  • Cummins Inc. has received favorable ratings from analysts, with several recommending a "buy" or "hold" stance, reflecting positive market sentiment towards the company's prospects.

Cummins
Bear Case

red Wall Street bear icon

Investors should be bearish about investing in Cummins Inc. for these reasons:

  • Despite positive analyst ratings, there are still some analysts who have issued a sell rating on Cummins Inc., indicating differing opinions on the company's future performance.
  • The stock price of Cummins Inc. has experienced fluctuations, trading down 1.2% recently, which may pose a risk for short-term investors seeking stable returns.
  • While the company has shown growth in revenue, the P/E ratio of 22.43 and P/E/G ratio of 1.93 suggest that the stock may be slightly overvalued compared to its growth prospects.
  • Cummins Inc. faces competition in the market from other players in the industry, which could impact its market share and profitability in the long run.
  • The company's debt-to-equity ratio of 0.51 indicates a moderate level of leverage, which could expose the company to risks during economic downturns or financial instability.

This page (NYSE:CMI) was last updated on 9/18/2024 by MarketBeat.com Staff
From Our Partners