I had never heard of the name of this company before today, but looks like it is a bargain to invest into Cummins(CMI) now after reading the following two articles about CMI.
Cyclical Fears Surrounding Cummins (CMI) Create Opportunity for Dividend Growth Investors
The Top 10 Dividend Stocks You Should Buy to Prepare for 2016
At the time of writing, its dividend yield is 4.37%, 5 year average dividend growth rate is 32%, EPS Payout ratio and FCF payout ratio are 29% and 34% respectively. In addition forward PE is 9.64 and long-term debt to capital ratio is 0.16. I see nothing risky except for cyclical nature of its business.
How do you think about CMI?
Retire Before Dad recently sold all of his CMI shares at loss. This is a good lesson learnt.
Disclosure: No position in CMI
dividendsamurai 