Cummins Forecasts Sales Doubling, Profit Tripling by 2014 (CMI)
3/16/2010-Shares of engine maker Cummins (NYSE: CMI) are trading 0.9% higher to $60.75 Tuesday after the company said it expects to double its sales and more than triple its profit by 2014 on surging demand for its engines from developing markets.
Cummins forecasts reaching $20 billion in annual sales in 2014 and profit of $8 to $8.50 per share by increasing sales at an average rate of 13% a year and increasing its profit at a rate of 26% a year.
From 2001 to 2008, Cummins sales grew at an annual rate of 14%.
"Cummins has some real good long-term capabilities to capture that growth," Tom Linebarger, president and COO, said.
Write to Chip Brian at cbrian@tradethetrend.com
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