CMI
Industrials · Specialty Industrial Machinery
Performance
CMI (CMI) Stock Analysis 2026
Rule-based · Updated daily · Not financial advice
CMI (CMI) operates in the Specialty Industrial Machinery space within the Industrials sector. With a market cap of $95.8B, it qualifies as a mid-cap company. Growth is moderate and the business remains profitable, offering a balanced risk/reward profile compared to high-multiple peers.
- Forward P/E (20.5×) is lower than trailing P/E (36.1×) — analysts expect earnings to improve
- ROE of 22.0% shows management efficiently converts equity into profit
- P/E of 36.1× is above average — valuation requires continued strong growth to justify
- Earnings fell 21% YoY — profitability is under pressure
- High debt-to-equity of 61.62× increases financial risk, especially with elevated interest rates
- Price is near its 52-week high — limited near-term upside, higher pullback risk
Verdict
Avoid
Significant fundamental concerns outweigh positives. High risk at current levels.
AI Insight
Powered by ClaudeAI-generated analysis for informational purposes only. Not financial advice.
Related Articles
Revenue & Results
Dividends
Current DY
1.18%
5Y Avg Annual
$6.2360
Last Payment
$2.0000
Ex-Date
05/22/2026
Annual dividends paid per share
| Ex-Date | Payment | Amount | Est. DY |
|---|---|---|---|
Latest05/22/2026 | 06/04/2026 | $2.0000 | 1.15% |
02/20/2026 | 03/05/2026 | $2.0000 | 1.15% |
11/21/2025 | 12/04/2025 | $2.0000 | 1.15% |
08/22/2025 | 09/04/2025 | $2.0000 | 1.15% |
05/23/2025 | 06/05/2025 | $1.8200 | 1.05% |
02/21/2025 | 03/06/2025 | $1.8200 | 1.05% |
11/22/2024 | 12/05/2024 | $1.8200 | 1.05% |
08/23/2024 | 09/05/2024 | $1.8200 | 1.05% |
Magic Number
Shares needed to self-fund your next purchase
$694.37
Price
$2.0000
Last div. (quarterly)
348
shares
Own 348 CMI shares ($241,640.76) and each quarterly dividend pays for 1 new share — the snowball runs on its own.
Investment target
$241,640.76
New shares / year
+4 shares
If You Had Invested…
Hypothetical return based on historical prices
* Dividend reinvestment calculated at ex-date price. For informational purposes only.
Earnings
Next Earnings
Aug 4, 2026
49
days
EPS (TTM)
$19.24
P/E (TTM)
36.1
Fwd P/E
20.5
Earnings History
SEC EDGAR · official filings
SEC Filings
Official EDGAR documents
Key Statistics
Valuation
Trading
Dividends
Profitability
Balance Sheet
Fair Value Estimates
Current price: $694.37
Graham Number
√(22.5 × EPS × Book Value)
$196.84
Benjamin Graham's intrinsic value formula. Assumes a fair stock trades at no more than 22.5× the product of EPS and book value per share.
Bazin Ceiling Price
Avg. Annual DPS (5Y) ÷ 6%
$109.27
Décio Bazin's dividend-based ceiling. The max price you should pay so that dividends alone deliver at least 6% annual yield on your cost basis.
These are simplified estimates. Not financial advice.
Buy & Hold Checklist
Quality criteria for long-term holding
8/10
80% score
Pays dividends
15Y hist.15+ years of dividend history
Dividend consistency (5Y+)
15 yrsUninterrupted dividend payments for at least 5 years
ROE above 10%
22.0%Return on equity — measures how efficiently capital is used
Positive profit margin
7.9%Net profit margin must be positive — company earns more than it spends
Revenue growth (annual)
+2.7%Annual revenue must be growing compared to the prior year
Earnings growth (annual)
-21.0%Annual earnings must be growing compared to the prior year
Debt/Equity below 2×
61.62×Low financial leverage reduces risk of distress
Current ratio above 1
1.71×Short-term assets must cover short-term liabilities
Daily liquidity above $5M
$613M/dayHigh trading volume ensures easy entry and exit
Dividend yield above 0%
1.18%Stock must distribute income to shareholders
Related Assets
Industrials
About CMI
Cummins Inc. offers various power solutions worldwide. The company operates through five segments: Engine, Distribution, Components, Power Systems, and Accelera. It offers diesel and natural gas-powered engines; and drivetrain systems, including axles, drivelines, brakes, and suspension systems; and on- and off-highway, and other products. The company also provides aftertreatment technology and solutions comprising custom engineering systems and integrated controls, oxidation catalysts, particulate filters, and selective catalytic reduction systems, as well as engineered components, including dosers; turbochargers, fuel systems, and valvetrain technologies; electronic control modules, sensors, and supporting software; and automated manual transmissions, and automatic transmissions for internal combustion engines. In addition, it sells and offers support services power generation systems, high-horsepower engines, and heavy-duty and medium-duty engines; offers application engineering services, custom-designed assemblies, and in-shop and field-based repair services; and retail and wholesale aftermarket parts. Further, the company offers standby and prime power generators, controls, paralleling systems, and transfer switches; turnkey solutions for distributed generation and energy management applications using natural gas, diesel, battery energy storage systems, and newer alternative sustainable fuels; diesel and natural gas high-speed, high-horsepower engines; and A/C generator/alternator products. Additionally, it provides electrified power systems, including batteries, fuel cells, and electric powertrain technologies. It 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.
Sector
Industrials
Industry
Specialty Industrial Machinery
Location
Columbus, United States
Employees
67,400