CMI- Cummins Inc.
Industrials · Specialty Industrial Machinery
Price & Performance
Performance
Analysis & Verdict
Analyst Ratings
Wall Street consensus from 20 analysts
12-Month Price Target
$757.02
Based on analyst estimates; price targets are opinions, not guarantees.
Fair Value Estimates
Current price: $541.10
Graham Number
√(22.5 × EPS × Book Value)
$202.56
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
9/10
90% 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%
21.1%Return on equity - measures how efficiently capital is used
Positive profit margin
7.8%Net profit margin must be positive - company earns more than it spends
Revenue growth (annual)
+9.4%Annual revenue must be growing compared to the prior year
Earnings growth (annual)
+4.7%Annual earnings must be growing compared to the prior year
Debt/Equity below 2×
59.59×Low financial leverage reduces risk of distress
Current ratio above 1
1.73×Short-term assets must cover short-term liabilities
Daily liquidity above $5M
$562M/dayHigh trading volume ensures easy entry and exit
Dividend yield above 0%
1.58%Stock must distribute income to shareholders
Financials
Revenue & Results
Key Statistics
Earnings
Next Earnings
Nov 5, 2026
51
days
EPS (TTM)
$19.54
P/E (TTM)
27.7
Fwd P/E
15.7
SEC Filings & Reported Financials
Earnings History
SEC EDGAR · official filings
SEC Filings
Official EDGAR documents
Insider Transactions
SEC Form 4 · officers, directors & 10% owners
Dividends & Income
Dividends
Current DY
1.58%
5Y Avg Annual
$6.6760
Last Payment
$2.2000
Ex-Date
08/21/2026
Annual dividends paid per share
| Ex-Date | Payment | Amount | Est. DY |
|---|---|---|---|
Latest08/21/2026 | 09/03/2026 | $2.2000 | 1.63% |
05/22/2026 | 06/04/2026 | $2.0000 | 1.48% |
02/20/2026 | 03/05/2026 | $2.0000 | 1.48% |
11/21/2025 | 12/04/2025 | $2.0000 | 1.48% |
08/22/2025 | 09/04/2025 | $2.0000 | 1.48% |
05/23/2025 | 06/05/2025 | $1.8200 | 1.35% |
02/21/2025 | 03/06/2025 | $1.8200 | 1.35% |
11/22/2024 | 12/05/2024 | $1.8200 | 1.35% |
Magic Number
Shares needed to self-fund your next purchase
$541.10
Price
$2.2000
Last div. (quarterly)
246
shares
Own 246 CMI shares ($133,110.60) and each quarterly dividend pays for 1 new share - the snowball runs on its own.
Investment target
$133,110.60
New shares / year
+4 shares
Dividend Calculator
1.63% yieldEstimate CMI dividend income at the current rate.
Per year
$162.63
Per month
$13.55
≈ 18.5 shares at $8.8/share a year. Estimate only - dividends can be cut or raised.
Tools & Simulators
CMI vs Peers, Indexes & Commodities
?Click a card below to plot it on the chart
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Parameters
Final value
$426,404.61
Total invested
$130,000.00
Total interest
$296,404.61
Balance over time
Period breakdown
| Period | Balance | Invested | Interest |
|---|---|---|---|
| Start | $10,000.00 | $10,000.00 | $0.00 |
| Year 1 | $17,270.27 | $16,000.00 | $1,270.27 |
| Year 2 | $25,267.56 | $22,000.00 | $3,267.56 |
| Year 3 | $34,064.59 | $28,000.00 | $6,064.59 |
| Year 4 | $43,741.32 | $34,000.00 | $9,741.32 |
| Year 5 | $54,385.72 | $40,000.00 | $14,385.72 |
| Year 6 | $66,094.55 | $46,000.00 | $20,094.55 |
| Year 7 | $78,974.28 | $52,000.00 | $26,974.28 |
| Year 8 | $93,141.97 | $58,000.00 | $35,141.97 |
| Year 9 | $108,726.44 | $64,000.00 | $44,726.44 |
| Year 10 | $125,869.35 | $70,000.00 | $55,869.35 |
| Year 11 | $144,726.56 | $76,000.00 | $68,726.56 |
| Year 12 | $165,469.48 | $82,000.00 | $83,469.48 |
| Year 13 | $188,286.70 | $88,000.00 | $100,286.70 |
| Year 14 | $213,385.63 | $94,000.00 | $119,385.63 |
| Year 15 | $240,994.47 | $100,000.00 | $140,994.47 |
| Year 16 | $271,364.18 | $106,000.00 | $165,364.18 |
| Year 17 | $304,770.87 | $112,000.00 | $192,770.87 |
| Year 18 | $341,518.22 | $118,000.00 | $223,518.22 |
| Year 19 | $381,940.31 | $124,000.00 | $257,940.31 |
| Year 20 | $426,404.61 | $130,000.00 | $296,404.61 |
What is compound interest?
Compound interest means that the interest you earn in one period is added to your principal, so in the next period you earn interest on a larger base. This creates exponential growth: the longer your time horizon, the more dramatic the effect.
Which rate should I use?
The S&P 500 has historically returned ~10%/year before inflation over long periods - use this for an all-equity US index fund scenario. A balanced growth portfolio (stocks + bonds) is closer to 7%. High-yield savings accounts (HYSA) are currently paying around 4-5% with FDIC insurance and zero market risk. Bonds historically return ~4% annualized.
Formula used
FV = PV × (1+r)^n + PMT × ((1+r)^n − 1) / rwhere r is the monthly rate, n is the number of months, PV is the initial investment, and PMT is the monthly contribution. Annual rates are converted to monthly viar = (1 + annual%)^(1/12) − 1.
For educational purposes only. Not financial advice. Past returns do not guarantee future results.
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About Cummins Inc.
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
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Cummins Inc. (CMI) stock trades at $541.10, down 2.81% on the day. With a market capitalization of $74.49 billion, CMI is a large-cap industrials stock. It trades at a price-to-earnings (P/E) ratio of 27.7, a forward P/E of 15.7 and earnings per share (EPS) of $19.54. Over the most recent period the company reported 9% year-over-year revenue growth and a net profit margin of 7.8%. Below you'll find CMI's full fundamentals, fair-value estimates, dividend history, earnings and our buy, hold or avoid verdict for 2026.
CMI - Frequently Asked Questions
Is Cummins Inc. (CMI) a good stock to buy in 2026?
Cummins Inc. (CMI) shows strengths such as a 21% return on equity, while risks include high leverage (debt/equity of 59.6). Whether CMI is a good buy in 2026 depends on your time horizon and risk tolerance - review the full bull case, bear case and fair-value estimates above. This is informational analysis, not financial advice.
What is CMI's stock price today?
Cummins Inc. (CMI) trades at $541.10, down 2.81% on the session. Prices on this page update throughout the trading day.
Does CMI pay a dividend?
Yes. Cummins Inc. pays an annual dividend of $8.80 per share, a dividend yield of 1.58%. The most recent ex-dividend date was August 21, 2026. Its payout ratio is about 41% of earnings.
Is CMI overvalued?
With a P/E ratio of 27.7×, CMI is valued above the broad-market average for the industrials sector. Its PEG ratio is 1.12. See the Fair Value Estimates section above for Graham Number and dividend-based price targets.
What is CMI's market cap?
Cummins Inc. (CMI) has a market capitalization of $74.49 billion, classifying it as a large-cap stock in the Industrials sector.
Disclaimer: This page - including any buy/hold/avoid view, fair value or price estimate - is generated from market data for informational and educational purposes only and does not constitute financial, investment or trading advice. Data may be delayed or inaccurate. Always do your own research and consult a licensed financial advisor before making any investment decision.