StockCV
Cummins Inc. logo

Cummins Inc.

Engines & Turbines

$523.39
+0.57%
Market cap $72.0B

Cummins is a leading manufacturer of diesel and other engines used in heavy- and medium-duty commercial trucks, off-highway equipment, and locomotives, in addition to prime power and standby generators.

It is a $72.0B industrial company. Revenue grew 2.9% over the last year, it keeps 8¢ of every dollar of sales as profit, and its net debt equals ~1.1 years of free cash flow. It trades at 26.5× earnings — in the most expensive third of its own history.

Location
Columbus, IN
Employees
67 400
Sector
Industrials

Skills

Six independent scores, 0–100, built from reported numbers and valuation history. Click a row to see how it was scored.

Valuation44Growth69Profitability65Health80Quality90Moat68

Strong health and quality; Valuation lags behind.

Valuation44
  • P/E vs own history84th pct · 0/25
  • FCF yield4.7% · 12/25
  • P/S2.1x · 20/25
  • EV/EBITDA17.9x · 12/25
Growth69
  • Revenue CAGR8.8% · 12/25
  • Net income CAGR7.5% · 12/25
  • EPS CAGR ~5Y11.3% · 20/25
  • Fwd implied growth67.6% · 25/25
Profitability65
  • ROIC19.5% · 20/25
  • ROE21.9% · 20/25
  • Net margin7.8% · 13/25
  • Operating margin11.2% · 12/25
Health80
  • Altman Z3.90 · 25/25
  • Current ratio1.73 · 18/25
  • Interest coverageno interest expense · 25/25
  • Net cash / debtD/A 10% · 12/25
Quality90
  • Piotroski F6/9 · 15/25
  • Beneish M-2.53 · 25/25
  • FCF conversion124% · 25/25
  • Margin stabilityσ 1.9% · 25/25
Moat68
  • ROIC >12% years9/10 yrs · 25/25
  • Median gross margin24.7% · 6/25
  • FCF-positive years10/10 yrs · 25/25
  • Worst-year net marginworst 2.2% · 12/25

How the scores work →

Experience

The company's career so far — founding, the IPO, landmark products and acquisitions, plus revenue milestones and insider buying.

  1. FY2024Financial
    Best year on record
    $3.95B net income
  2. FY2016Financial
    Profitable every year on record
    10 consecutive profitable years in our data
  3. FY2016Financial
    Revenue already above $10B
    $17.5B in first reported year
  4. FY2016Financial
    Positive free cash flow every year since
    10-year streak

Achievements

Verifiable track record, straight from the reported numbers.

#21 largest of 130 Industrials companies by market cap
$10 000 invested in 2021 would be worth ~$22 214 today — price return only
$33.7B revenue in FY2025
Profitable 10 years in a row
Positive free cash flow 10 years in a row
67 400 employees
ROIC of 19.5%

Strengths & watch-outs

What a bull and a bear would each point to. Both lists come from the reported numbers, not opinions.

Strengths

  • Could repay net debt from ~1.3 years of free cash flow
  • High returns on invested capital (ROIC 19.5%)
  • Altman Z-Score 3.90 — low bankruptcy-risk zone

Watch-outs

Nothing stands out as a concern in the available data.

Qualifications

The basics a company should meet before you research it further. Each check uses the reported numbers.

11 of 11 checks passed
  • Revenue growing+2.9% YoY
  • Profitable$2.71B TTM
  • Profit growing+10.7% YoY
  • Generates cash$3.37B TTM
  • Debt under control~1.1y of cash flow to repay
  • Established company$72.0B market cap
  • Not printing shares-6.9% shares over ~5y
  • Proven track record10/10 profitable years
  • Financially stableAltman Z 3.9 — safe
  • Pays a dividendyield 1.53%
  • Valuation not extremeP/E 26.5
Peer comparisonCummins Inc. vs 6 largest industrials peers — cap, P/E, growth and margin side by sideOpen ▾
CompanyMarket capP/ERevenue growthNet marginProfile
CMI this company$72.0B26.5+2.9%7.8%Strong
LRCX Lam Research Corp$399.2B54.9+26.0%31.3%Strong
CAT Caterpillar Inc.$368.0B33.9+18.4%14.5%Solid
RTX RTX Corporation$251.3B32.4+11.8%8.3%Strained
DE Deere & Company$167.7B34.4+8.3%10.2%Solid
ETN Eaton Corporation, plc$167.2B43.6+15.5%12.8%Mixed
UNP Union Pacific Corp.$166.8B22.6+4.2%28.8%Strained

Head-to-head: CMI vs LRCX · CMI vs CAT · CMI vs RTX

References

What covering analysts publish about the company — information only, not a recommendation.

Strong buy 5Buy 14Hold 9

Appendix · Financial records

The full statements behind this CV, FY2016–FY2025. For readers who want to check the numbers.

Want the live picture — intraday moves, valuation history and full analysis?

Deeper analysis of CMI on PreMarketPrice

Figures are derived from company filings (quarterly values normalised from as-filed year-to-date data where applicable) and may be delayed, restated or incomplete. This page is information, not investment advice. Latest price $523.39 · market cap $72.0B.