The average one-year price target for Cummins (NYSE:CMI) has been revised to 299.74 / share. This is an increase of 6.71% from the prior estimate of 280.90 dated March 28, 2024.

The price target is an average of many targets provided by analysts. The latest targets range from a low of 245.43 to a high of 378.00 / share. The average price target represents an increase of 1.76% from the latest reported closing price of 294.57 / share.

Cummins Declares $1.68 Dividend

On February 13, 2024 the company declared a regular quarterly dividend of $1.68 per share ($6.72 annualized). Shareholders of record as of February 23, 2024 received the payment on March 7, 2024. Previously, the company paid $1.68 per share.

At the current share price of $294.57 / share, the stock's dividend yield is 2.28%.

Looking back five years and taking a sample every week, the average dividend yield has been 2.73%, the lowest has been 1.96%, and the highest has been 5.10%. The standard deviation of yields is 0.40 (n=235).

The current dividend yield is 1.13 standard deviations below the historical average.

Additionally, the company's dividend payout ratio is 1.25. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.

The company's 3-Year dividend growth rate is 0.24%, demonstrating that it has increased its dividend over time.

What is the Fund Sentiment?

There are 2243 funds or institutions reporting positions in Cummins. This is an increase of 108 owner(s) or 5.06% in the last quarter. Average portfolio weight of all funds dedicated to CMI is 0.27%, a decrease of 5.39%. Total shares owned by institutions decreased in the last three months by 1.01% to 130,589K shares. The put/call ratio of CMI is 1.10, indicating a bearish outlook.

What are Other Shareholders Doing?

Price T Rowe Associates holds 7,344K shares representing 5.37% ownership of the company. In it's prior filing, the firm reported owning 7,098K shares, representing an increase of 3.35%. The firm decreased its portfolio allocation in CMI by 50.66% over the last quarter.

VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 4,445K shares representing 3.25% ownership of the company. In it's prior filing, the firm reported owning 4,414K shares, representing an increase of 0.71%. The firm decreased its portfolio allocation in CMI by 5.62% over the last quarter.

VFINX - Vanguard 500 Index Fund Investor Shares holds 3,462K shares representing 2.53% ownership of the company. In it's prior filing, the firm reported owning 3,404K shares, representing an increase of 1.69%. The firm decreased its portfolio allocation in CMI by 5.78% over the last quarter.

VIMSX - Vanguard Mid-Cap Index Fund Investor Shares holds 3,177K shares representing 2.32% ownership of the company. In it's prior filing, the firm reported owning 3,208K shares, representing a decrease of 0.96%. The firm decreased its portfolio allocation in CMI by 7.18% over the last quarter.

Geode Capital Management holds 3,169K shares representing 2.32% ownership of the company. In it's prior filing, the firm reported owning 3,071K shares, representing an increase of 3.10%. The firm decreased its portfolio allocation in CMI by 4.99% over the last quarter.

Cummins Background Information
(This description is provided by the company.)

Cummins Inc., a global power leader, is a corporation of complementary business segments that design, manufacture, distribute and service a broad portfolio of power solutions. The company's products range from diesel, natural gas, electric and hybrid powertrains and powertrain-related components including filtration, aftertreatment, turbochargers, fuel systems, controls systems, air handling systems, automated transmissions, electric power generation systems, batteries, electrified power systems, hydrogen generation and fuel cell products. Headquartered in Columbus, Indiana (U.S.), since its founding in 1919, Cummins employs approximately 57,825 people committed to powering a more prosperous world through three global corporate responsibility priorities critical to healthy communities: education, environment and equality of opportunity. Cummins serves its customers online, through a network of company-owned and independent distributor locations, and through thousands of dealer locations worldwide and earned about $1.8 billion on sales of $19.8 billion in 2020.