GuruFocus - On August 15, 2024, Sharon Barner, Vice President - Chief Administrative Officer of Cummins Inc (NYSE:CMI), sold 4,780 shares of the company. The transaction was executed at an average price of $300.35 per share, leading to a total sale amount of $1,435,673. The SEC Filing provides detailed information regarding this insider sale. Following this transaction, the insider now owns 20,873 shares of Cummins Inc.
Cummins Inc is a global power leader that designs, manufactures, distributes, and services diesel and natural gas engines and related technologies, including fuel systems, controls, air handling, filtration, emission solutions, and electrical power generation systems.
Over the past year, Sharon Barner has sold a total of 25,550 shares of Cummins Inc and has not made any purchases of the stock. This recent sale is part of a broader trend observed over the past year, where Cummins Inc has experienced more insider selling than buying, with 13 insider sells and only 3 insider buys.
As of the latest sale date, Cummins Inc shares were trading at $300.35, giving the company a market cap of approximately $41.19 billion. The price-earnings ratio of the stock stands at 21.78, slightly below the industry median of 21.855, indicating a potentially lower valuation compared to its peers.
The stock's valuation can also be assessed through the GuruFocus Value; with a GF Value of $294.60, the price-to-GF Value ratio is 1.02, suggesting that the stock is Fairly Valued.
The GF Value is calculated considering historical trading multiples such as the price-earnings ratio, price-sales ratio, price-book ratio, and price-to-free cash flow, along with a GuruFocus adjustment factor based on past returns and growth, and future business performance estimates from Morningstar analysts.
This sale by the insider might be of interest to current and potential investors, providing insights into insider confidence and potential future stock performance based on current valuations and historical trading patterns.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
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