Overview Dividends

(CMI) Cummins - Ratings and Ratios

Exchange: NYSE • Country: United States • Currency: USD • Type: Common Stock • ISIN: US2310211063

Engines, Generators, Turbochargers, Transmissions, Fuel

EPS (Earnings per Share)

EPS Growth (3y CAGR): -4.89%
EPS Trend (3y Corr): 16.6%

Last SUE: -1.54σ
Qual. Beats: 0

Revenue

Revenue Growth (3y CAGR): 2.50%
Revenue Trend (3y Corr): 23.4%

Last SUE: 1.75σ
Qual. Beats: 2

Risk via 10d forecast
Volatility	27.1%
Value at Risk 5%th	41.3%
Relative Tail Risk	-7.24%

Reward TTM
Sharpe Ratio	0.90
Alpha	16.52

Character TTM
Hurst Exponent	0.353
Beta	1.160
Beta Downside	1.235

Drawdowns 3y
Max DD	30.48%
Mean DD	7.24%
Median DD	5.87%

Description: CMI Cummins September 26, 2025

Cummins Inc. (NYSE:CMI) delivers a broad portfolio of power solutions across five operating segments-Engine, Distribution, Components, Power Systems, and Accelera-serving original equipment manufacturers, distributors, dealers, and end-users worldwide.

The Engine segment produces diesel and natural-gas engines for on- and off-highway applications, while the Components segment supplies drivetrain parts (axles, drivelines, brakes, suspension), aftertreatment technologies (oxidation catalysts, particulate filters, SCR systems), and core engine components such as turbochargers, fuel systems, and electronic control modules.

Power Systems offers standby and prime generators, controls, paralleling equipment, and turnkey distributed-generation solutions that run on diesel, natural gas, or emerging sustainable fuels. The Accelera segment focuses on electrified power technologies-including batteries, fuel cells, electric powertrains, and hydrogen production-positioning Cumcumns for the long-term shift toward zero-emission mobility.

Key performance indicators from the most recent fiscal year (2023) show revenue of roughly $26.7 billion, an adjusted EBITDA margin of 15.2 %, and a free-cash-flow conversion rate of 85 %, reflecting strong cash generation despite cyclical pressures in construction and transportation.

Two macro drivers are especially material: (1) Global freight volumes, which have rebounded to 95 % of pre-pandemic levels, underpin demand for heavy-duty engines and generators; and (2) tightening emissions regulations in Europe and China, accelerating adoption of Cummins’ aftertreatment and electrification solutions.

Sector-specific trends such as the rapid growth of electric-assist trucks and the increasing share of renewable natural gas in the power-generation mix create both near-term upside and longer-term strategic risk, making the company’s diversification across combustion, hybrid, and pure-electric technologies a critical hedge.

For a deeper quantitative assessment, the ValueRay platform offers a granular breakdown of Cummins’ valuation drivers.

CMI Stock Overview

Market Cap in USD	64,531m
Sub-Industry	Construction Machinery & Heavy Transportation Equipment
IPO / Inception	1984-12-18
Return 12m vs S&P 500	14.8%
Analyst Rating	3.46 of 5

CMI Dividends

Metric	Value
Dividend Yield	2.03%
Yield on Cost 5y	4.61%
Yield CAGR 5y	7.29%
Payout Consistency	75.0%
Payout Ratio	36.8%

CMI Growth Ratios

Metric	Value
CAGR 3y	25.98%
CAGR/Max DD Calmar Ratio	0.85
CAGR/Mean DD Pain Ratio	3.59
Current Volume	1233.7k
Average Volume	884.4k

Piotroski VR‑10 (Strict, 0-10) 7.0

Net Income (2.67b TTM) > 0 and > 6% of Revenue (6% = 2.01b TTM)

FCFTA 0.07 (>2.0%) and ΔFCFTA 5.72pp (YES ≥ +1.0pp, WARN ≥ +0.5pp)

NWC/Revenue 21.64% (prev 10.86%; Δ 10.78pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp)

CFO/TA 0.10 (>3.0%) and CFO 3.51b > Net Income 2.67b (YES >=105%, WARN >=100%)

Net Debt (5.75b) to EBITDA (5.27b) ratio: 1.09 <= 3.0 (WARN <= 3.5)

Current Ratio 1.77 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active)

Outstanding Shares last Quarter (138.6m) change vs 12m ago 0.36% (target <= -2.0% for YES)

Gross Margin 25.61% (prev 24.58%; Δ 1.03pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0)

Asset Turnover 102.2% (prev 106.7%; Δ -4.45pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0)

Interest Coverage Ratio 12.41 (EBITDA TTM 5.27b / Interest Expense TTM 336.0m) >= 6 (WARN >= 3)

Altman Z'' 5.52

(A) 0.22 = (Total Current Assets 16.72b - Total Current Liabilities 9.45b) / Total Assets 33.64b

(B) 0.66 = Retained Earnings (Balance) 22.30b / Total Assets 33.64b

(D) 1.04 = Book Value of Equity 21.28b / Total Liabilities 20.54b

Total Rating: 5.52 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D)

ValueRay F-Score (Strict, 0-100) 70.94

1. Piotroski 7.0pt = 2.0

2. FCF Yield 3.27% = 1.63

3. FCF Margin 6.78% = 1.70

4. Debt/Equity 0.69 = 2.27

5. Debt/Ebitda 1.09 = 1.64

6. ROIC - WACC (= 5.72)% = 7.15

7. RoE 23.69% = 1.97

8. Rev. Trend 23.39% = 1.75

9. EPS Trend 16.56% = 0.83

What is the price of CMI shares?

As of November 19, 2025, the stock is trading at USD 464.92 with a total of 1,233,732 shares traded.
Over the past week, the price has changed by -2.33%, over one month by +12.30%, over three months by +16.26% and over the past year by +30.36%.

Is CMI a buy, sell or hold?

Cummins has received a consensus analysts rating of 3.46. Therefor, it is recommend to hold CMI.

Strong Buy: 5
Buy: 3
Hold: 15
Sell: 0
Strong Sell: 1

What are the forecasts/targets for the CMI price?

Issuer	Target	Up/Down from current
Wallstreet Target Price	489.6	5.3%
Analysts Target Price	489.6	5.3%
ValueRay Target Price	564	21.3%

CMI Fundamental Data Overview November 15, 2025

Market Cap USD = 64.53b (64.53b USD * 1.0 USD.USD)
P/E Trailing = 24.2097
P/E Forward = 19.1939
P/S = 1.9216
P/B = 5.4863
P/EG = 2.0099
Beta = 1.116
Revenue TTM = 33.58b USD
EBIT TTM = 4.17b USD
EBITDA TTM = 5.27b USD
Long Term Debt = 6.82b USD (from longTermDebt, last quarter)
Short Term Debt = 930.0m USD (from shortTermDebt, last quarter)
Debt = 8.32b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 5.75b USD (from netDebt column, last quarter)
Enterprise Value = 69.69b USD (64.53b + Debt 8.32b - CCE 3.16b)
Interest Coverage Ratio = 12.41 (Ebit TTM 4.17b / Interest Expense TTM 336.0m)
FCF Yield = 3.27% (FCF TTM 2.28b / Enterprise Value 69.69b)
FCF Margin = 6.78% (FCF TTM 2.28b / Revenue TTM 33.58b)
Net Margin = 7.94% (Net Income TTM 2.67b / Revenue TTM 33.58b)
Gross Margin = 25.61% ((Revenue TTM 33.58b - Cost of Revenue TTM 24.98b) / Revenue TTM)
Gross Margin QoQ = 25.60% (prev 26.39%)
Tobins Q-Ratio = 2.07 (Enterprise Value 69.69b / Total Assets 33.64b)
Interest Expense / Debt = 1.00% (Interest Expense 83.0m / Debt 8.32b)
Taxrate = 32.65% (271.0m / 830.0m)
NOPAT = 2.81b (EBIT 4.17b * (1 - 32.65%))
Current Ratio = 1.77 (Total Current Assets 16.72b / Total Current Liabilities 9.45b)
Debt / Equity = 0.69 (Debt 8.32b / totalStockholderEquity, last quarter 12.06b)
Debt / EBITDA = 1.09 (Net Debt 5.75b / EBITDA 5.27b)
Debt / FCF = 2.52 (Net Debt 5.75b / FCF TTM 2.28b)
Total Stockholder Equity = 11.26b (last 4 quarters mean from totalStockholderEquity)
RoA = 7.93% (Net Income 2.67b / Total Assets 33.64b)
RoE = 23.69% (Net Income TTM 2.67b / Total Stockholder Equity 11.26b)
RoCE = 23.06% (EBIT 4.17b / Capital Employed (Equity 11.26b + L.T.Debt 6.82b))
RoIC = 14.91% (NOPAT 2.81b / Invested Capital 18.83b)
WACC = 9.19% (E(64.53b)/V(72.85b) * Re(10.29%) + D(8.32b)/V(72.85b) * Rd(1.00%) * (1-Tc(0.33)))
Discount Rate = 10.29% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -33.33 | Cagr: -1.17%
[DCF Debug] Terminal Value 71.32% ; FCFE base≈1.50b ; Y1≈1.57b ; Y5≈1.83b
Fair Price DCF = 160.6 (DCF Value 22.17b / Shares Outstanding 138.0m; 5y FCF grow 4.99% → 3.0% )
EPS Correlation: 16.56 | EPS CAGR: -4.89% | SUE: -1.54 | # QB: 0
Revenue Correlation: 23.39 | Revenue CAGR: 2.50% | SUE: 1.75 | # QB: 2

Additional Sources for CMI Stock

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