Cummins Stock Analysis

Cummins Stock Analysis Notes

About 89.0% of the company shares are held by institutions such as insurance companies. The book value of Cummins was currently reported as 62.41. The company has Price/Earnings To Growth (PEG) ratio of 0.75. Cummins recorded earning per share (EPS) of 5.16. The entity last dividend was issued on the 22nd of February 2024. The firm had 2:1 split on the 3rd of January 2008. Cummins Inc. designs, manufactures, distributes, and services diesel and natural gas engines, electric and hybrid powertrains, and related components worldwide. Cummins Inc. was founded in 1919 and is headquartered in Columbus, Indiana. Cummins operates under Specialty Industrial Machinery classification in the United States and is traded on New York Stock Exchange. It employs 59900 people. For more info on Cummins please contact Norman Linebarger at 812 377 5000 or go to https://www.cummins.com.

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Cummins Thematic Classifications

Cummins Stock Institutional Investors

Note, although Cummins' institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Cummins Market Capitalization

The company currently falls under 'Large-Cap' category with a total capitalization of 40.29 B. Market capitalization usually refers to the total value of a company's stock within the entire market. To calculate Cummins's market, we take the total number of its shares issued and multiply it by Cummins's current market price. To manage market risk and economic uncertainty, many investors today build portfolios that are diversified across equities with different market capitalizations. However, as a general rule, conservative investors tend to hold large-cap stocks, and those looking for more risk prefer small-cap and mid-cap equities.

Cummins Profitablity

The company has Net Profit Margin of 0.02 %, which implies that it may need a different competitive strategy as even a very small decline in it revenue may erase profits and result in a net loss. This is way below average. In the same way, it shows Net Operating Margin of 0.09 %, which entails that for every 100 dollars of revenue, it generated $0.09 of operating income.

Management Efficiency

Cummins has Return on Asset of 0.0692 % which means that on every $100 spent on assets, it made $0.0692 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.0835 %, implying that it generated $0.0835 on every 100 dollars invested. Cummins' management efficiency ratios could be used to measure how well Cummins manages its routine affairs as well as how well it operates its assets and liabilities. The Cummins' current Return On Tangible Assets is estimated to increase to 0.04. The Cummins' current Return On Capital Employed is estimated to increase to 0.1. As of now, Cummins' Other Current Assets are increasing as compared to previous years. The Cummins' current Total Current Assets is estimated to increase to about 16 B, while Debt To Assets are projected to decrease to 0.18.

Technical Drivers

As of the 19th of April, Cummins shows the Downside Deviation of 1.29, mean deviation of 1.0, and Risk Adjusted Performance of 0.165. Cummins technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices. Put another way, you can use this information to find out if the firm will indeed mirror its model of historical prices and volume momentum, or the prices will eventually revert. We have collected data for nineteen technical drivers for Cummins, which can be compared to its peers. Please confirm Cummins information ratio, as well as the relationship between the value at risk and expected short fall to decide if Cummins is priced correctly, providing market reflects its regular price of 291.42 per share. Given that Cummins has jensen alpha of 0.3584, we suggest you to validate Cummins's prevailing market performance to make sure the company can sustain itself at a future point.

Cummins Price Movement Analysis

Cummins Insider Trading Activities

Cummins Outstanding Bonds

Cummins Predictive Daily Indicators

Cummins Corporate Filings

Cummins Forecast Models

Cummins' time-series forecasting models are one of many Cummins' stock analysis techniques aimed at predicting future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Cummins' historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.

Stock analysis is the technique used by a trader or investor to examine and evaluate how Cummins prices is reacting to, or reflecting on a current market direction and economic conditions. It can be used to make informed decisions about market timing, and when buying or selling Cummins shares will generate the highest return on investment. We also built our stock analysis module to help investors to gain an insight into the world economy as a whole, the stock market, thematic ideas. a specific sector, or an individual Stock such as Cummins. By using and applying Cummins Stock analysis, traders can create a robust methodology for identifying Cummins entry and exit points for their positions.

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Cummins analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. Cummins analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.

Cummins stock analysis indicators help investors evaluate how Cummins stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing and determine when trading Cummins shares will generate the highest return on investment. By understating and applying Cummins stock analysis, traders can identify Cummins position entry and exit signals to maximize returns.

Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Cummins. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in population. For more detail on how to invest in Cummins Stock please use our How to Invest in Cummins guide.You can also try the Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.

When running Cummins' price analysis, check to measure Cummins' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Cummins is operating at the current time. Most of Cummins' value examination focuses on studying past and present price action to predict the probability of Cummins' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Cummins' price. Additionally, you may evaluate how the addition of Cummins to your portfolios can decrease your overall portfolio volatility.

Is Cummins' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Cummins. If investors know Cummins will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Cummins listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.

The market value of Cummins is measured differently than its book value, which is the value of Cummins that is recorded on the company's balance sheet. Investors also form their own opinion of Cummins' value that differs from its market value or its book value, called intrinsic value, which is Cummins' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Cummins' market value can be influenced by many factors that don't directly affect Cummins' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.

Please note, there is a significant difference between Cummins' value and its price as these two are different measures arrived at by different means. Investors typically determine if Cummins is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Cummins' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.