Cummins (NYSE:CMI) was upgraded by Zacks Investment Research from a “hold” rating to a “strong-buy” rating in a research note issued on Friday. The brokerage currently has a $185.00 price target on the stock. Zacks Investment Research‘s target price would indicate a potential upside of 17.16% from the company’s previous close.
According to Zacks, “Cummins is poised to gain from Johnson Matthey’s UK automotive battery business acquisition. The acquisition will widen its energy storage product range, enabling it to be a leader in electrified power. Also, the company’s new innovative products and strategies launches will boost financials. In 2018, the company expects high profitability on the basis of higher sales and cost reduction initiatives. It has provided a bullish outlook for the current year. In 2017, Cummins has also achieved its target of returning 50% of full-year operating cash flow to its shareholders in the form of share repurchases and dividends to boost their confidence in the company. Also, it plans to achieve the same target in 2018 as well.”
Other equities analysts also recently issued reports about the company. ValuEngine upgraded Cummins from a “hold” rating to a “buy” rating in a research report on Friday, February 2nd. Barclays reiterated an “equal weight” rating and issued a $191.00 target price (up from $180.00) on shares of Cummins in a research report on Wednesday, January 24th. Oppenheimer increased their target price on Cummins to $207.00 and gave the company an “outperform” rating in a research report on Friday, February 2nd. Stifel Nicolaus reiterated a “hold” rating and issued a $182.00 target price on shares of Cummins in a research report on Monday, February 5th. Finally, Citigroup increased their target price on Cummins from $185.00 to $200.00 and gave the company a “neutral” rating in a research report on Monday, February 5th. One investment analyst has rated the stock with a sell rating, thirteen have issued a hold rating, seven have assigned a buy rating and one has given a strong buy rating to the company. The company currently has an average rating of “Hold” and an average price target of $185.33.
NYSE:CMI opened at $157.90 on Friday. The stock has a market capitalization of $26,161.34, a P/E ratio of 14.85, a price-to-earnings-growth ratio of 1.10 and a beta of 1.22. The company has a current ratio of 1.57, a quick ratio of 1.01 and a debt-to-equity ratio of 0.19. Cummins has a twelve month low of $143.83 and a twelve month high of $194.18.
Cummins (NYSE:CMI) last released its quarterly earnings data on Tuesday, February 6th. The company reported $3.03 earnings per share for the quarter, beating the consensus estimate of $2.65 by $0.38. The business had revenue of $5.48 billion for the quarter, compared to analyst estimates of $5.23 billion. Cummins had a return on equity of 22.18% and a net margin of 4.89%. Cummins’s revenue was up 21.6% compared to the same quarter last year. During the same period last year, the firm posted $2.25 earnings per share. equities analysts predict that Cummins will post 12.59 EPS for the current fiscal year.
Several institutional investors and hedge funds have recently modified their holdings of the company. Green Square Capital LLC raised its position in shares of Cummins by 24.9% during the fourth quarter. Green Square Capital LLC now owns 47,852 shares of the company’s stock worth $8,452,000 after acquiring an additional 9,542 shares during the last quarter. Xact Kapitalforvaltning AB raised its position in shares of Cummins by 13.4% during the fourth quarter. Xact Kapitalforvaltning AB now owns 14,860 shares of the company’s stock worth $2,625,000 after acquiring an additional 1,756 shares during the last quarter. Handelsbanken Fonder AB bought a new position in shares of Cummins during the fourth quarter worth about $353,000. Envestnet Asset Management Inc. raised its position in shares of Cummins by 92.3% during the fourth quarter. Envestnet Asset Management Inc. now owns 57,885 shares of the company’s stock worth $10,225,000 after acquiring an additional 27,778 shares during the last quarter. Finally, BRITISH COLUMBIA INVESTMENT MANAGEMENT Corp raised its position in shares of Cummins by 4.5% during the fourth quarter. BRITISH COLUMBIA INVESTMENT MANAGEMENT Corp now owns 126,906 shares of the company’s stock worth $22,417,000 after acquiring an additional 5,476 shares during the last quarter. Institutional investors own 84.17% of the company’s stock.
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Cummins Inc designs, manufactures, distributes, and services diesel and natural gas engines, and engine-related component products worldwide. It operates through four segments: Engine, Distribution, Components, and Power Systems segments. The Engine segment manufactures and markets a range of 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.
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