Cummins declares quarterly dividend of $2.00 per share

Published 14/10/2025, 21:22
Cummins declares quarterly dividend of $2.00 per share

COLUMBUS, Ind. - Engine manufacturer Cummins Inc. (NYSE:CMI) announced Tuesday that its Board of Directors has declared a quarterly cash dividend of $2.00 per share on its common stock, maintaining its impressive 55-year streak of consistent dividend payments. The dividend, yielding 1.96%, will be payable on December 4, 2025, to shareholders of record as of November 21, 2025.

The power solutions provider, headquartered in Columbus, Indiana, maintains its regular quarterly dividend distribution as part of its capital return program to shareholders. With a market capitalization of $57.5 billion and a P/E ratio of 19.8, Cummins employs approximately 70,000 people worldwide and reported $3.9 billion in earnings on $34.1 billion in sales in 2024, according to the company’s press release statement.

Cummins operates through five business segments: Engine, Components, Distribution, Power Systems and Accelera by Cummins. The company’s portfolio includes diesel engines, alternative fuel solutions, electric and hybrid powertrains, as well as power generation systems and zero-emissions technologies. According to InvestingPro, the company maintains a strong financial health score, with 14 additional exclusive insights available for subscribers.

The dividend announcement comes as part of the company’s regular quarterly financial activities. Shareholders who own Cummins stock before the record date will be eligible to receive the dividend payment in early December. Based on InvestingPro’s Fair Value analysis, the stock is currently trading near its fair value, with detailed valuation metrics available in the comprehensive Pro Research Report.

In other recent news, Cummins reported impressive second-quarter earnings of $6.43 per share, surpassing analyst expectations by 24%. Despite this strong performance, the company has refrained from providing full-year guidance, citing uncertainties in macroeconomic conditions, freight, and tariffs. In response to these developments, Bernstein SocGen Group raised its price target for Cummins to $385, maintaining a Market Perform rating. Meanwhile, Melius Research upgraded Cummins to Buy, setting a price target of $500, highlighting the potential demand from artificial intelligence as a significant growth driver. Wolfe Research also upgraded the company’s stock to Outperform, citing structurally higher margins and earnings potential, despite challenges in the Class 8 truck market. CFRA increased its price target to $400, attributing the rise to growth opportunities in Cummins’ power generation business. However, Freedom Broker downgraded the stock to Hold, even as it increased the price target to $399, acknowledging Cummins’ diversified business portfolio as a mitigating factor against segment-specific headwinds. These recent developments reflect varied analyst perspectives on Cummins’ future prospects.

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