Cummins price target raised to $350 from $340 at Morgan Stanley

Morgan Stanley analyst Angel Castillo raised the firm’s price target on Cummins (CMI) to $350 from $340 and keeps an Overweight rating on the shares after the company reported Q1 earnings that beat expectations by 27%, but withdrew its FY25 guidance due to economic uncertainty. The market continues to overestimate the direct financial impact from tariffs and potential headwinds from weaker truck demand on Cummins’ earnings, while underestimating self-help efficiencies, pricing power, and data center tailwinds, the analyst tells investors.