Cummins ( CMI ) shares Tuesday jumped after the engine maker raised first-quarter and full-year guidance, saying a broad recovery in many of its key markets would more than offset rising commodity prices.

For the first quarter, the company expects EPS of 65 cents to 75 cents, versus its prior guidance of 40 cents to 50 cents. The consensus estimate of analysts polled by Thompson One Analytics is for 52 cents a share.

For the full year 2004, Cummins increased earnings guidance from $4 to $4.20 a share, from $3.20 to $3.40 a share. The consensus estimate is $3.84.

For the first time, the Indiana-based company offered a second-quarter outlook, forecasting earnings of $1 to $1.10 a share, above the consensus view of $1 a share.

"With growing demand across all of our markets and our improved cost structure, Cummins is well positioned to deliver strong financial performance in 2004 and beyond," the company said in a statement. The company cited strength in key international markets such as India and China as well as North America.

Cummins reports results April 22.

Shares gained $3.79, or 6.3%, to $63.79, a new 52-week high.