Cummins Shares Slide 1.46% on Insider Sale as $340M Volume Ranks 311th in Market Activity

Cummins Inc. (CMI) closed August 20, 2025, down 1.46%, with a daily trading volume of $340 million, ranking 311th in market activity. The decline followed an insider transaction where a board member sold $529,761 worth of shares, as disclosed in a recent SEC filing. Despite this, the company’s core business remains diversified, with 56.7% of revenue generated in the U.S., and significant exposure to diesel and gas engines (26.1%) and power generation systems (9.2%).

Analysts highlighted potential resilience in Cummins’ earnings amid regulatory uncertainties. Truist noted that the firm’s energy systems could buffer risks from potential EPA 2027 regulations, though this did not immediately offset the recent sell-off. The stock’s broader performance over the past year has shown mixed momentum, with a 28.76% total return compared to the S&P 500’s 16.11%, but short-term volatility persists due to insider activity and sector-specific challenges.

A backtested strategy of holding the top 500 stocks by daily volume for one day from 2022 to the present yielded moderate gains. As of the latest data, the approach generated a total profit of $2,385.14, reflecting steady but uneven returns over the period.