1.60%
3.18%
9.33%
23.26%
50.31%
62.84%
124.84%
AI Spotlight on CMI
Company Description
Cummins Inc.designs, manufactures, distributes, and services diesel and natural gas engines, electric and hybrid powertrains, and related components worldwide.It operates through five segments: Engine, Distribution, Components, Power Systems, and New Power.
The company offers diesel and natural gas-powered engines under the Cummins and other customer brands for the heavy and medium-duty truck, bus, recreational vehicle, light-duty automotive, construction, mining, marine, rail, oil and gas, defense, and agricultural markets; and offers new parts and services, as well as remanufactured parts and engines.It also provides power generation systems, high-horsepower engines, heavy and medium duty engines, application engineering services, custom-designed assemblies, retail and wholesale aftermarket parts, and in-shop and field-based repair services.In addition, the company offers emission solutions; turbochargers; air and fuel filters, fuel water separators, lube and hydraulic filters, coolants, fuel additives, and other filtration systems; and electronic control modules, sensors, and supporting software, as well as new, replacement, and remanufactured fuel systems.
Further, it provides automated transmissions; standby and prime power generators, controls, paralleling systems, and transfer switches, as well as A/C generator/alternator products under the Stamford and AVK brands; and electrified power systems with components and subsystems, including battery, fuel cell, and hydrogen production technologies.Additionally, it offers filtration, aftertreatment, controls systems, air handling systems, automated transmissions, electric power generation systems, and batteries.The company sells its products to original equipment manufacturers, distributors, dealers, and other customers.
The company was formerly known as Cummins Engine Company and changed its name to Cummins Inc.in 2001.Cummins Inc.
was founded in 1919 and is headquartered in Columbus, Indiana.
Market Data
| Last Price | 359.68 |
| Change Percentage | 1.60% |
| Open | 357.06 |
| Previous Close | 354.02 |
| Market Cap ( Millions) | 49342 |
| Volume | 792801 |
| Year High | 387.9 |
| Year Low | 236 |
| M A 50 | 363.5 |
| M A 200 | 316.17 |
Financial Ratios
| FCF Yield | 0.68% |
| Dividend Yield | 1.95% |
| ROE | 22.20% |
| Debt / Equity | 78.65% |
| Net Debt / EBIDTA | 143.76% |
| Price To Book | 4.78 |
| Price Earnings Ratio | 23.53 |
| Price To FCF | 146.41 |
| Price To sales | 1.44 |
| EV / EBITDA | 12.56 |
News
- Jan -30 - New Research from CMI Media Group Spotlights How Healthcare Brands Can Support Needs of Patients with Obesity
- Jan -29 - Bronstein, Gewirtz & Grossman, LLC Is Investigating Cummins Inc. (CMI) And Encourages Shareholders to Connect
- Jan -29 - Cummins and Liberty Energy Partner to Develop and Deploy Industry-First Variable Speed, Large Displacement Natural Gas Engine Powered Hydraulic Fracturing System
- Jan -29 - Cummins and Liberty Energy Partner to Develop and Deploy Industry-First Variable Speed, Large Displacement Natural Gas Engine Powered Hydraulic Fracturing System
- Jan -28 - Cummins (CMI) Earnings Expected to Grow: What to Know Ahead of Next Week's Release
- Jan -26 - Bronstein, Gewirtz & Grossman, LLC Initiates an Investigation into Allegations Against Cummins Inc. (CMI) And Encourages Shareholders to Reach Out
- Jan -22 - Bronstein, Gewirtz & Grossman, LLC Announces an Investigation Against Cummins Inc. (CMI) and Encourages Shareholders to Learn More About the Investigation
- Jan -19 - Bronstein, Gewirtz & Grossman, LLC Announces an Investigation Against Cummins Inc. (CMI) and Encourages Investors to Learn More About the Investigation
- Jan -15 - Cummins Inc. (CMI) Investigation: Bronstein, Gewirtz & Grossman, LLC Encourages Shareholders to Contact the Firm to Learn More About the Investigation
- Jan -15 - Heavy Commercial Vehicle Air Brake Systems Market Size to Hit $ 42.48 Billion, Globally, by 2031 | Exclusive Report by The Insight Partners
- Jan -12 - Bronstein, Gewirtz & Grossman, LLC Is Investigating Cummins Inc. (CMI) And Encourages Investors to Connect
- Jan -10 - 'Step down' in economic growth expected this year but backdrop still strong: NatWest's Kevin Cummins
- Jan -08 - Bronstein, Gewirtz & Grossman, LLC Encourages Cummins Inc. (CMI) Stockholders to Inquire about Securities Investigation
- Jan -07 - Cummins Launches Next Generation 6.7L Turbo Diesel Pickup Engine System for 2025 Ram Heavy Duty Trucks
- Jan -06 - Will Cummins (CMI) Beat Estimates Again in Its Next Earnings Report?
- Jan -05 - Bronstein, Gewirtz & Grossman, LLC Announces an Investigation Against Cummins Inc. (CMI) and Encourages Investors to Learn More About the Investigation
- Jan -02 - Bronstein, Gewirtz & Grossman, LLC Initiates an Investigation into Allegations Against Cummins Inc. (CMI) And Encourages Investors to Reach Out
- Jan -01 - What Makes Cummins (CMI) a New Buy Stock
- Dec -29 - Bronstein, Gewirtz & Grossman, LLC Initiates an Investigation into Allegations Against Cummins Inc. (CMI) And Encourages Stockholders to Reach Out
- Dec -24 - Bronstein, Gewirtz & Grossman, LLC Is Investigating Cummins Inc. (CMI) And Encourages Stockholders to Connect
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Components
Expected Growth : 1.8 %
What the company do ?
Cummins Inc. components include diesel and natural gas engines, electric power generation systems, and component technologies for the automotive and industrial markets.
Why we expect these perspectives ?
Cummins Inc.'s 1.8% growth is driven by increasing demand for diesel engines in the construction and agriculture industries, as well as growing adoption of emission-reducing technologies. Additionally, the company's diversification into alternative fuel sources, such as hydrogen and electric powertrains, is contributing to its growth.
Segment n°2 -> Distribution
Expected Growth : 1.9 %
What the company do ?
Cummins Inc.'s Distribution segment provides parts and services to customers through a global network of distributors, dealers, and company-owned outlets.
Why we expect these perspectives ?
Cummins Inc.'s 1.9% distribution growth is driven by increasing demand for diesel engines in the heavy-duty truck market, growth in the construction and mining industries, and a focus on cost reduction initiatives. Additionally, the company's diversification into alternative fuel technologies and expansion in emerging markets contribute to its steady growth.
Segment n°3 -> Engine
Expected Growth : 2.1 %
What the company do ?
Cummins Inc.'s engine is a diesel or natural gas-powered internal combustion engine, designed for heavy-duty applications, providing reliable power and performance.
Why we expect these perspectives ?
Cummins Inc.'s 2.1% engine growth driven by increasing demand for heavy-duty trucks, construction equipment, and agricultural machinery, fueled by infrastructure development and government investments. Additionally, growing adoption of alternative fuels and emission-reducing technologies contribute to the segment's growth.
Segment n°4 -> Power Systems
Expected Growth : 2.2 %
What the company do ?
Cummins Power Systems provides backup and prime power solutions, including generators, transfer switches, and paralleling switchgear, for data centers, healthcare, and industrial applications.
Why we expect these perspectives ?
Cummins' Power Systems segment growth is driven by increasing demand for data center power solutions, expansion in renewable energy markets, and rising adoption of electrification in industrial and commercial applications. Additionally, the company's focus on innovation, product diversification, and strategic partnerships contribute to its 2.2% growth.
Segment n°5 -> Accelera
Expected Growth : 1.7 %
What the company do ?
Accelera from Cummins Inc. is an e-mobility brand offering electrified powertrains and energy storage solutions for commercial vehicles.
Why we expect these perspectives ?
Accelera's 1.7% growth is driven by increasing adoption of electric powertrains in commercial vehicles, government incentives for sustainable transportation, and Cummins' strategic investments in electrification technology. Additionally, growing demand for low-emission buses and trucks, particularly in Asia and Europe, contributes to Accelera's growth momentum.
Cummins Inc. Products
| Product Range | What is it ? |
|---|---|
| Diesel Engines | Cummins Inc. designs and manufactures diesel engines for various applications, including on-highway, off-highway, and industrial uses. |
| Natural Gas Engines | Cummins offers natural gas engines for on-highway and off-highway applications, providing a cleaner and more environmentally friendly alternative to diesel engines. |
| Hybrid and Electric Powertrains | Cummins develops and manufactures hybrid and electric powertrains for on-highway and off-highway applications, offering improved fuel efficiency and reduced emissions. |
| Fuel Systems | Cummins designs and manufactures fuel systems, including fuel injectors, fuel pumps, and fuel filters, for diesel and natural gas engines. |
| Emissions Solutions | Cummins offers emissions solutions, including exhaust aftertreatment systems and catalysts, to reduce emissions and meet regulatory requirements. |
| Filtration Products | Cummins designs and manufactures filtration products, including air, fuel, and lube filters, for diesel and natural gas engines. |
| Turbo Technologies | Cummins develops and manufactures turbochargers and turbocharger components for diesel and natural gas engines. |
| Digital Solutions | Cummins offers digital solutions, including telematics and data analytics, to optimize engine performance, reduce emissions, and improve fleet management. |
Cummins Inc.'s Porter Forces
Threat Of Substitutes
Cummins Inc. faces moderate threat from substitutes due to the presence of alternative fuel sources and electric vehicles, but the high switching costs and lack of infrastructure for these alternatives mitigate the threat.
Bargaining Power Of Customers
Cummins Inc. has a diverse customer base, and no single customer has significant bargaining power, reducing the threat of customer bargaining power.
Bargaining Power Of Suppliers
Cummins Inc. relies on a few key suppliers for critical components, giving them some bargaining power, but the company's large scale and diversified supply chain mitigate the threat.
Threat Of New Entrants
The high barriers to entry in the engine manufacturing industry, including significant capital requirements and regulatory hurdles, make it difficult for new entrants to challenge Cummins Inc.'s market position.
Intensity Of Rivalry
The engine manufacturing industry is highly competitive, with several established players competing for market share, leading to a high intensity of rivalry.
Capital Structure
| Value | |
|---|---|
| Debt Weight | 44.89% |
| Debt Cost | 9.16% |
| Equity Weight | 55.11% |
| Equity Cost | 9.16% |
| WACC | 9.16% |
| Leverage | 81.45% |
Cummins Inc. : Quality Control
Cummins Inc. passed 5 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| DOV | Dover Corporation provides equipment and components, consumable supplies, aftermarket parts, software and digital solutions, and support services worldwide. The Engineered Products segment provides various equipment, component, software, solution, and services … |
| OTIS | Otis Worldwide Corporation manufactures, installs, and services elevators and escalators in the United States, China, and internationally. The company operates in two segments, New Equipment and Service. The New Equipment … |
| EMR | Emerson Electric Co., a technology and engineering company, provides various solutions for customers in industrial, commercial, and residential markets in the Americas, Asia, the Middle East, Africa, and Europe. The … |
| IR | Ingersoll Rand Inc. provides various mission-critical air, fluid, energy, specialty vehicle and medical technologies in the United States, Europe, the Middle East, Africa, and the Asia Pacific. It operates through … |
| AME | AMETEK, Inc. manufactures and sells electronic instruments and electromechanical devices worldwide. It operates in two segments, Electronic Instruments (EIG) and Electromechanical (EMG). The company's EIG segment offers advanced instruments for … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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Cummins
A-Score
1-Year Total Return ->
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Dover
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1-Year Total Return ->
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Otis
A-Score
1-Year Total Return ->
4
Emerson Electric
A-Score
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5
AMETEK
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1-Year Total Return ->
6
