This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

STOCK PICKS: Top 5 All-Around for Aug. 19

Looking ahead, management anticipates full-year fiscal 2008 production to be consistent with the company's operating plan. The company has authorized a $10 billion share repurchase program for fiscal 2008, and expects to repurchase between $2 billion and $3 billion in the third quarter. Bear in mind that crude oil and natural gas prices are highly volatile and cyclical in nature. A downturn from the currently high pricing trends could affect the future profitability of the company, as could further slowdown of the U.S. economy.

Cummins (CMI - Get Report) designs, manufactures, distributes and services diesel and natural gas engines, electric power generation systems and engine-related products. These products include filtration emissions solutions, fuel systems, controls and air-handling systems. The company is headquartered in Columbus, Ind., and serves customers in more than 160 countries through a network of 550 company-owned and independent distributor facilities and more than 5,000 dealer locations.

Cummins has been rated a buy since March 2004. Despite its low profit margins in the second quarter of fiscal 2008, we are impressed by the company's revenue growth, stock price performance, and improved earnings per share (EPS). The company reported that its second quarter financial results were the best in company history, largely due to strong global demand. Cummins' revenue rose 16.3% year over year. That appears to have helped boost the company's EPS, which improved 39.9% compared with the prior-year's quarter. EPS rose to $1.49 in the second quarter from $1.07 in the same quarter of fiscal 2007. Net income rose 36.9%, rising from $214.00 million a year ago to $293 million. Additionally, the company appears to be very successful in managing its debt levels and has the ability to avoid short-term cash problems.
4 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
CMI $97.01 0.00%
COP $32.90 0.00%
GD $130.18 0.00%
KR $38.33 0.00%
PBR.A $2.23 0.00%


Chart of I:DJI
DOW 15,973.84 +313.66 2.00%
S&P 500 1,864.78 +35.70 1.95%
NASDAQ 4,337.5120 +70.6750 1.66%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs