Cnh industrial executive sells shares worth $13,176

Published 05/03/2025, 03:16
Cnh industrial executive sells shares worth $13,176

Chishti Humayun, the President of Construction at CNH Industrial (BIT:CNHI) N.V. (NYSE:CNH), a $15.16 billion machinery company, recently sold 1,132 common shares. The transaction, which took place on March 4, 2025, was executed at a price of $11.64 per share, resulting in a total value of $13,176. According to InvestingPro data, the stock has declined 7.54% over the past week, though analysis suggests the company is currently undervalued.

This sale was part of a routine transaction to cover tax withholding obligations related to the vesting of performance share units (PSUs) under the company’s 2022-2024 Long-Term Incentive Plan. Following this sale, Humayun holds 1,623 shares directly.

Earlier, on February 28, 2025, Humayun acquired 2,755 common shares at no cost, as they were part of the vested PSUs granted under the same incentive plan. The shares vested upon achieving specific performance criteria set by CNH Industrial.

In other recent news, CNH Global’s financial outlook has seen several revisions from analysts following its fourth-quarter earnings report for 2024. Baird analysts downgraded CNH Global from Outperform to Neutral, lowering the price target to $15 due to concerns about the company’s near-term growth prospects and potential impacts from dealer destocking. Meanwhile, Citi analyst Kyle Menges increased the price target to $15, citing effective inventory management and expectations of a recovery after 2025. DA Davidson also raised its price target to $14, maintaining a Neutral rating, and acknowledged CNH Global’s progress in cost structure enhancements, despite ongoing challenges in the agriculture sector.

CNH Industrial, related to CNH Global, reported a significant revenue decline of 23% in 2024, leading S&P Global Ratings to revise its outlook to negative from stable. The downturn in the agricultural equipment market, particularly in South America and Europe, has been more severe than expected, impacting profitability forecasts for 2025. CFRA analyst Nazmi Ghazali raised the stock target to $13 while maintaining a Hold rating, reflecting a cautious outlook amid challenging market conditions expected to persist through 2025. CNH Industrial’s guidance for 2025 indicates anticipated declines in net sales for both the Agriculture and Construction segments, with free cash flow projected between $200 million and $500 million.

Despite these challenges, CNH Industrial has achieved $600 million in run rate savings by the end of 2024, contributing to structural cost reductions. The company plans to maintain capital expenditure in 2025 similar to 2024 levels and is expected to remain cautious about acquisitions or share buybacks until the market cycle bottoms out. S&P Global Ratings noted that CNH’s commitment to a conservative financial policy and the preparation of its supply chain for the next cycle are key factors in maintaining its credit rating.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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