Why Cummins Stock Jumped on Tuesday
Shrugging off Monday weakness, Cummins (NYSE: CMI) stock rebounded this morning and was trading 4.7% higher as of noon ET Tuesday.
The industrial giant posted fourth-quarter and full-year earnings results today. While revenue beat analysts' estimates, its earnings fell short of expectations. Worse yet, Cummins expects its revenue to decline in 2025. Yet something about its outlook has caught investors' attention.
Cummins' revenue fell 1% year over year to $8.4 billion in the fourth quarter. Yet, the company's bottom line swung sharply to a net profit of $418 million from a loss of $1.4 billion in the year-ago quarter. Of course, Q4 2023 was an exceptionally challenging quarter as Cummins paid a hefty fine to settle a $2 billion lawsuit for installing illegal devices that bypassed emissions tests.
Source Fool.com
Cummins Inc. Stock
Our community is currently high on Cummins Inc. with 15 Buy predictions and 3 Sell predictions.
As a result the target price of 342 € shows a slightly positive potential of 18.01% compared to the current price of 289.8 € for Cummins Inc..
