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Cummins Inc

Exchange: NYSESector: IndustrialsIndustry: Specialty Industrial Machinery

Cummins Inc., a global power leader, is committed to powering a more prosperous world. Since 1919, we have delivered innovative solutions that move people, goods and economies forward. Our five business segments-Engine, Components, Distribution, Power Systems and Accelera™ by Cummins-offer a broad portfolio, including advanced diesel, alternative fuel, electric and hybrid powertrains; integrated power generation systems; critical components such as aftertreatment, turbochargers, fuel systems, controls, transmissions, axles and brakes; and zero-emissions technologies like battery and electric powertrain systems and electrolyzers. With a global footprint, deep technical expertise and an extensive service network, we deliver dependable, cutting-edge solutions tailored to our customers' needs, supporting them through the energy transition with our Destination Zero strategy. We create value for customers, investors and employees and strengthen communities through our corporate responsibility global priorities: education, equity and environment. Headquartered in Columbus, Indiana, Cummins employs approximately 70,000 people worldwide and earned $3.9 billion on $34.1 billion in sales in 2024. About Centralia Coal Transition Funding Boards Weatherization Board ($10M): established to fund energy efficiency and weatherization for the residents, employees, business, non-profit organizations and local governments within Lewis County and South Thurston County; up to $1 million shall be allocated to fund residential energy efficiency and weatherization measures for low-income and moderate-income residents of Lewis County and South Thurston County; Economic & Community Development Board ($20M): established to fund education, retraining, economic development, and community enhancement; at least $5M shall be allocated to fund education, retraining and economic development specifically targeting the needs of workers displaced from the Centralia facility; Energy Technology Board ($25M): established to fund energy technologies with the potential to create environmental benefits to the state of Washington.

Did you know?

Earnings per share grew at a 3.9% CAGR.

Current Price

$657.44

-2.02%

GoodMoat Value

$331.20

49.6% overvalued
Profile
Valuation (TTM)
Market Cap$90.75B
P/E31.92
EV$79.62B
P/B7.35
Shares Out138.04M
P/Sales2.70
Revenue$33.67B
EV/EBITDA17.92

Cummins Inc (CMI) Financial Statements

GoodMoat Analysis

Based on data as of March 26, 2026

Cummins exhibits strong profitability and a healthy balance sheet, but faces significant headwinds in revenue growth and free cash flow generation. The company's high ROE and manageable debt are favourable, yet the low revenue growth and FCF yield present a mixed quality picture for a value investor.

Read full analysis
Cummins' financial quality presents a mix of strengths and weaknesses when assessed through the framework's lens. On the positive side, the company demonstrates strong profitability with a Return on Equity (ROE) of 23.0%, which exceeds the framework's high-quality threshold of 15-20%. The balance sheet appears healthy with a Debt-to-Equity ratio of 0.61, comfortably below the framework's cautionary level of 1.0x Debt/EBITDA, indicating manageable leverage. However, key growth and cash flow metrics are unfavourable. Revenue growth is anemic at 1.1% YoY, far below the framework's benchmark for consistent, double-digit growth. Free cash flow generation is also a concern; a FCF Yield of 3.1% translates to a high P/FCF multiple and falls short of the preferred >10-15% FCF margin. The operating margin of 10.6% is solid for an industrial but does not indicate significant operating leverage, as revenue growth is not outpacing expense growth. For a value investor, the core financial quality is adequate due to high returns and a clean balance sheet, but the lack of growth and modest cash flow yield limits its appeal, requiring a deeper valuation check to see if the price compensates for these shortcomings. Analysis based on data as of 2024-05-15.

CMI Financial Data

EBITDA$5.28B
Revenue (TTM)$33.67B
Gross Profit (TTM)$8.52B
Gross Margin
Operating Margin10.56%
ROE23.02%
ROA8.36%
Debt/Equity0.61
Current Ratio1.76
FCF$2.39B
FCF Yield2.63%
Piotroski F-Score
Rev/Share (TTM)$243.92
50-Day MA$583.37
200-Day MA$492.23
Shares Outstanding0.14B

CMI Computed Insights

FCF$2.39B
FCF Growth Rate-0.14%
EPS Growth (CAGR)3.90%
WACC10.00%

Income Statement

Balance Sheet

Cash Flow Statement

CMI Financial Statements & Data

Cummins Inc (CMI) financial data including income statement, balance sheet, and cash flow statement. This page provides a comprehensive view of Cummins Inc's financial performance and position as a Industrials company.

Trailing twelve-month (TTM) revenue is $33.67B. Gross profit (TTM) is $8.52B. EBITDA is $5.28B. Earnings per share (EPS) is $20.50. The P/E ratio is 31.92. Market capitalization is $90.75B.

Free cash flow (FCF) is $2.39B. FCF growth rate is -0.14%. EPS growth CAGR is 3.90%. Weighted average cost of capital (WACC) is 10.00%.

Historical revenue data covers 7 years from FY19 to FY25. Net income history spans 7 years. Free cash flow and capital expenditure data spans 7 years. GoodMoat displays interactive charts for revenue, net income, FCF vs CAPEX, and cash-to-debt ratios to help investors identify financial trends.

Use Cummins Inc's financial data to assess the company's earnings quality, balance sheet health, and cash generation. Compare key metrics across periods to identify trends before making investment decisions with GoodMoat's valuation tools.