Cummins Inc. (CMI) fair value analysis
S&P 500 · Updated 2026-10-19
CMI price how computed
Forward Fair Value verdict
OvervaluedCMI is trading at a 10–25% premium to estimated fair value.
Based on TickrTrends' weekly Forward Fair Value model.
- Last price
- $523.39
- Sector
- Industrials
- 12-month range
- $414.30–$727.59
- Market cap
- $72.1B
- From 52-week high
- -28.1%
- Shares outstanding
- 138M
- Rank in Industrials by discount to fair value
- #72 of 106
Last price is our 2026-10-19 weekly price; the chart runs through 2026-10-16.
Cummins Inc. manufactures and distributes diesel and natural gas engines, as well as related components and technology for power generation and industrial applications. The company operates globally with manufacturing facilities and operations across North America, Europe, Asia, and other regions worldwide.
CMI currently ranks #72 of 106 Industrials stocks by discount to fair value. It has screened as Overvalued for 14 consecutive weekly runs.
Fundamentals (4 quarters) how computed
- Market cap
- $72.1B
- P/E (trailing)
- 23x
- Revenue (TTM)
- $34.7B
- Net margin
- 7.8%
- EPS (TTM)
- $22.76
- Gross margin
- 26.1%
- Debt / equity
- 0.64
- Revenue growth (3-yr avg)
- 4.1%
- Shares outstanding
- 138M
Derived indicators how computed
- Quality grade
- D
- Margin trend
- Stable
- 52-week position
- The lower-middle quarter of its range
Technicals how computed
- RSI (14-day)
- 55 · neutral
- 50-day average
- $557.67
- 200-day average
- $604.07
- Moving-average state
- 50-day below 200-day (death cross state); price below both averages
Dividends how computed
- Paid, last 12 months
- $8.20 per share (4 payments)
- Yield on last price
- 1.57%
- Consecutive years of increases
- 17
- Next ex-dividend date
- 2026-11-20
- Last payment date
- 2026-09-03
Earnings how computed
- Next earnings report
- 2026-11-05 (pre-market)
- Last 8 quarters vs consensus
- 5 beat, 3 missed
- Quarter by quarter
- 2026-06 ▼ miss (-5.3%)
2026-03 ▲ beat (+8.8%)
2025-12 ▲ beat (+14.4%)
2025-09 ▼ miss (-19.1%)
2025-06 ▲ beat (+23.4%)
2025-03 ▲ beat (+21.1%)
2024-12 ▼ miss (-3.2%)
2024-09 ▲ beat (+21.8%)
Analyst consensus how computed
This is not TickrTrends' verdict.
- Analyst ratings
- 15 buy · 8 hold · 0 sell (23 analysts)
- Consensus lean
- Buy-leaning
- Consensus price target
- $717
- Target vs last price
- +37.0%
What our data shows for CMI
- Our model validated 17 trailing price-to-earnings windows for CMI, built from quarterly earnings records.
- Shares are trading in the middle of their 12-month price range of $414.30–$727.59.
- The 14-day relative strength index sits at a neutral 55.
The exact numbers are one step away
- The precise Forward Fair Value dollar figure for CMI
- Exact discount / premium to today's price
- The normalized historical P/E behind the estimate, and how many quarters support it
- Forward EPS input and fiscal-year basis
- Screeners and rankings across the full S&P 500 and Nasdaq universes
Forward Fair Value applies a conservatively normalized historical price-to-earnings multiple to the consensus earnings estimate for the next full fiscal year; how TickrTrends computes it.
Recent CMI news
TickrTrends' derived news-sentiment signal for CMI is currently leaning positive, computed from recent coverage.
- AI Agents Attempt 1,200 Cyber Break-Ins, Compromise More Than 100 Sites (financefeeds.com, 2026-10-19)
TickrTrends take: Cyber security incidents of this scale raise operational risk concerns for industrial companies like CMI that depend on digital infrastructure and supply chain connectivity. Given TickrTrends' current overvalued assessment, investors should monitor whether heightened cybersecurity threats materialize into material costs or business disruptions that could pressure margins and justify a lower valuation. The industrials sector broadly faces increasing exposure to these risks, making it important to track whether CMI's defensive investments and incident response capabilities align with the threat environment reflected in its current stock price. - CMI Maintained by Barclays -- Price Target Lowered to $675 (gurufocus.com, 2026-10-19)
TickrTrends take: Barclays lowered its price target for CMI to $675, which comes as TickrTrends currently assesses the stock as overvalued within the Industrials sector. A valuation-focused reader should monitor whether CMI's trading price moves toward this newly reduced target, as the gap between current market valuation and analyst pricing would indicate the degree of potential downside risk reflected in the overvalued assessment. The combination of a lowered price target and an overvalued designation suggests investors tracking fundamental value metrics may want to observe upcoming earnings reports and industry conditions to confirm whether the valuation premium persists or compresses. - Cummins Inc. (CMI) Maintains Quarterly Dividend Amid Upgraded 2026 Revenue Outlook (gurufocus.com, 2026-10-13)
TickrTrends take: Cummins Inc. maintains its quarterly dividend commitment while projecting stronger revenue in 2026, signaling management confidence in upcoming financial performance. However, TickrTrends currently assigns CMI an overvalued designation, suggesting the market may already be pricing in positive expectations for the company's industrial business. Investors focused on valuation metrics should monitor whether 2026 results materialize as guided and whether earnings growth can justify the current stock price relative to comparable industrials companies.
More CMI news
- CMI Maintained by Truist Securities -- Price Target Lowered to $779 (gurufocus.com, 2026-10-05)
- CMI Maintained by UBS -- Price Target Lowered to $741 (gurufocus.com, 2026-09-30)
What people are saying
Follow the CMI conversation: Stocktwits · Reddit · X
TickrTrends weekly updates
- 2026-10-19 — No material change this week: the verdict, bands and grades all held steady.
- 2026-10-12 — No material change this week: the verdict, bands and grades all held steady.
- 2026-10-11 — No material change this week: the verdict, bands and grades all held steady.
- 2026-10-10 — No material change this week: the verdict, bands and grades all held steady.
- 2026-10-06 — No material change this week: the verdict, bands and grades all held steady.
- 2026-09-28 — TickrTrends' derived indicators for CMI showed a shift in the Relative Strength Index this week, moving from oversold territory into neutral zone. The stock maintains an overvalued valuation verdict according to current assessments. This technical adjustment reflects a moderation in the intensity of recent selling pressure.
- 2026-09-21 — No material change this week: the verdict, bands and grades all held steady.
- 2026-09-17 — No material change this week: the verdict, bands and grades all held steady.
Frequently asked questions
Is CMI stock undervalued?
Based on TickrTrends' Forward Fair Value model (updated 2026-10-19), CMI is trading at a 10–25% premium to estimated fair value and screens as overvalued. The exact fair value and discount are available to subscribers.
What is CMI's TickrTrends verdict?
CMI's current verdict is Overvalued, refreshed with every weekly Forward Fair Value run.
How does CMI compare to other Industrials stocks?
CMI ranks #72 of 106 Industrials stocks in TickrTrends' coverage by discount to fair value.
Is CMI overbought or oversold?
CMI's 14-day RSI is in neutral territory - neither overbought nor oversold.
Does CMI pay a dividend?
Yes. CMI paid $8.20 per share over the last twelve months (4 payments), a 1.57% yield on TickrTrends' last price, and has raised the annual total for 17 consecutive years. The next ex-dividend date on file is 2026-11-20.
When does CMI report earnings next?
CMI's next earnings report is scheduled for 2026-11-05 (pre-market), per the published earnings calendar.
Does CMI usually beat earnings estimates?
Over its last 8 reported quarters CMI beat the consensus estimate 5 times and missed 3 times, by TickrTrends' comparison of reported and estimated EPS.
What do analysts say about CMI?
Of 23 analysts covering CMI, 15 rate it a buy, 8 a hold and 0 a sell - buy-leaning, with a consensus price target of $717 (+37.0% versus TickrTrends' last price). This is the analyst consensus, not TickrTrends' Forward Fair Value verdict.
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