Cummins Inc

Cummins Inc (CMI) Stock Analysis

$517.400

-2.121 (-0.41%)At close

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High
521.630
Open
514.350
VWAP
515.72
Volume
905.02K
Mkt Cap
38.37B
Low
508.130
Amount
466.74M
EV/EBITDA, TTM
12.69

Cummins Inc. is a global power solutions company. Engine segment manufactures and markets a range of diesel and natural gas-powered engines under the Cummins brand name. Components segment designs, manufactures, and supplies products for the Engine and Power Systems segments, including drivetrain and braking systems for commercial diesel, gasoline and natural gas applications, aftertreatment systems, turbochargers, fuel systems, valvetrain technologies, automated transmissions and electronics. Distribution segment includes sales and support of a range of products and services, including power generation systems, high-horsepower engines, heavy-duty and medium-duty engines designed for on- and off-highway use, application engineering services, retail and wholesale aftermarket parts and in-shop and others. Accelera segment designs, manufactures, sells and supports electrified power systems with innovative components and subsystems, including battery and electric powertrain technologies.

AI analysis of Cummins Inc (CMI)

Hold

Cummins Inc is currently a hold. The stock is priced at $517.40, with a forward P/E of 15.38, indicating potential value. However, the RSI is at 38.48, suggesting it is nearing oversold conditions, but the recent insider selling has increased by 331.94%, which raises concerns about short-term sentiment. The company has shown strong revenue growth, reporting $9.5 billion in Q2 2026, a 19% year-over-year increase, but faces risks from a $69 million quarterly loss in its Accelera segment and significant hydrogen-related charges of $458 million. Overall, while the long-term growth potential is promising, the current market conditions and insider activity suggest caution.

Analyst Ratings (24)

+19.09% upside
Hold
7 Buy
14 Hold
3 Sell
Current: 517.40
Low
540.00
Average
616.17
High
703.00

Citi

2026-10-12

Price Target

$630

Buy

Truist

2026-10-05

Price Target

$779

Buy

UBS

2026-09-30

Price Target

$741

Buy

JPMorgan

2026-09-23

Price Target

$600

Neutral

CICC

2026-08-23

Price Target

$781

Outperform

Valuation Metrics

The current forward P/E ratio for Cummins Inc (CMI) is 15.38, compared to its 5-year average forward P/E of 15.09.

Forward P/E

Fair
5Y Average P/E
15.09
Current P/E
15.38
Overvalued
18.91
Undervalued
11.28

Forward EV/EBITDA

Fair
5Y Average EV/EBITDA
10.04
Current EV/EBITDA
12.69
Overvalued
13.18
Undervalued
6.91

Forward P/S

Fair
5Y Average P/S
1.37
Current P/S
1.73
Overvalued
1.78
Undervalued
0.95

Alphio AI Price Scenarios for CMI

Scenario prices are the last monthly forecast band of the current year. Probabilities are fixed model weights (25 / 50 / 25), not guarantees.

B

Bull

Bull · 25%CMI

$383.15

Scenario price

B

Base

Base · 50%CMI

$345.96

Scenario price

B

Bear

Bear · 25%CMI

$294.94

Scenario price

Whales holding CMI

C

Corient Private Wealth LP

+ HoldingCMI

+49.46%

3M Return

L

Loomis, Sayles & Company L.P.

+ HoldingCMI

+8.64%

3M Return

N

Natixis Investment Managers International

+ HoldingCMI

+5.47%

3M Return

P

Parsons Capital Management, Inc.

+ HoldingCMI

+5.34%

3M Return

A

Advisors Asset Management, Inc.

+ HoldingCMI

+5.06%

3M Return

E

Elevation Point Wealth Partners, LLC

+ HoldingCMI

+4.86%

3M Return

Events Timeline

2026-09-29 (ET)

09:00:00

EquipmentShare Signs Multi-Year Fleet Agreement with Cummins

09:00:00

EquipmentShare Signs Multi-Year Agreement with Cummins

2026-08-04 (ET)

08:00:00

Cummins Reports Q2 Revenue of $9.457B

08:00:00

Cummins Raises 2026 Revenue Guidance to 10%-13% Growth

2026-07-23 (ET)

08:30:00

Cummins Updates 2027 North American Product Launch Plans

News

CMI FAQ — answered by Alphio AI

Cummins Inc. is a global power solutions company. Engine segment manufactures and markets a range of diesel and natural gas-powered engines under the Cummins brand name. Components segment designs, manufactures, and supplies products for the Engine and Power Systems segments, including drivetrain and braking systems for commercial diesel, gasoline and natural gas applications, aftertreatment systems, turbochargers, fuel systems, valvetrain technologies, automated transmissions and electronics. Distribution segment includes sales and support of a range of products and services, including power generation systems, high-horsepower engines, heavy-duty and medium-duty engines designed for on- and off-highway use, application engineering services, retail and wholesale aftermarket parts and in-shop and others. Accelera segment designs, manufactures, sells and supports electrified power systems with innovative components and subsystems, including battery and electric powertrain technologies. It operates in the Consumer Cyclicals sector (ENGINES & TURBINES industry).

Cummins Inc is currently a hold. The stock is priced at $517.40, with a forward P/E of 15.38, indicating potential value. However, the RSI is at 38.48, suggesting it is nearing oversold conditions, but the recent insider selling has increased by 331.94%, which raises concerns about short-term sentiment. The company has shown strong revenue growth, reporting $9.5 billion in Q2 2026, a 19% year-over-year increase, but faces risks from a $69 million quarterly loss in its Accelera segment and significant hydrogen-related charges of $458 million. Overall, while the long-term growth potential is promising, the current market conditions and insider activity suggest caution.

24 analysts cover CMI: 7 rate it Buy, 14 Hold and 3 Sell. The average price target is 616.17.

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This page is for research only and is not investment advice. Models can be wrong. Past performance does not guarantee future results.

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