tickrz reports
  
tickrz rank
B
Cummins Inc (CMI)
Industrial Goods | Diversified Machinery
CEO: Norman Thomas Linebarger
Employees: 55200
cummins.com
FACTOR RANKINGSFACTOR SCREENER 
Pure Value Rank153Dividend Rank247
Moat Rank294Financial Strength Rank110
Growth Rank315Momentum Rank59
DIVIDEND ANALYSIS
Dividend Yield2.61%
Payout Ratio54.97%
3 yr Dividend Growth21.14%
VALUATION RATIOS
P/E Ratio17.71x
P/B Ratio3.63x
P/S Ratio1.46x
EV/EBITDA Ratio11.37x
FINANCIAL STRENGTH
Piotroski F-Score5
Debt-to-Equity26%
Interest Coverage25.37x
MOAT
ROE20.74%
ROIC18.53%
Net Margin7.95%
GROWTH
5 yr EPS Growth-2.93%
5 yr SPS Growth-0.57%
5 yr BPS Growth7.4%
Cummins Inc achieves a strong Pure Value rank with its low valuation multiples
 tickrz summary
Cummins Inc receives a B ranking in our proprietary ranking system that combines valuation, moat, operational performance, and financial strength. View the Top 50 tickrz ranked stocks here.
 value
 pure value ranking Warren Buffett ranking
Valuation is the most heavily weighted component in our tickrz ranking methodology. Numerous academic and practitioner studies have found that a value approach outperforms the market over the long-run. Cummins Inc's valuation score is comprised of a P/E ratio of 17.7x, a P/B ratio of 3.6x, a P/S ratio of 1.5x, and an EV/EBITDA ratio of 11.4x. Cummins Inc ranks 153 out of the S&P 500 constituents on valuation--a relatively strong score.Cummins Inc ranks 350 out of the S&P 500 constituents in our multi-factor Warren Buffett ranking methodology. This is a weak score, meaning it ranks poorly on valuation, moat, volatility, and financial strength factors. If you're looking for undervalued stocks with high moats and strong competitive advantages, Cummins Inc is probably not for you.

 quality
 moat financial strength
To calculate a company's Moat Score, we look at its historical earnings growth, historical average return on equity, the volatility of its earnings stream, and also factor in the strength of its balance sheet. Our approach concludes the company's business moat is average. Our analysis of its moat reveals neither a durable moat or enduring competitive advantages.Cummins Inc has a Piotroski F Score of 5 out of 9. The F Score examines changes in profitability, leverage, liquidity, and operating efficiency. Interest coverage of 25.37x, a debt/equity ratio of 26% and a Moat Rank of 294 translate to a strong Financial Strength score.


 momentum
Investment research has shown that stocks with strong performance over the last 6 to 12 months tend to perform better in the medium term than stocks with poor performance over the same period. In fact, the momentum factor is one of the strongest of all the investment factors. The company has seen its stock appreciate by 33.55% over the last 12 months. This performance is strong compared to other stocks in the S&P 500, earning it a rank of 59. Cummins Inc's strong 12 month stock performance will appeal to momentum investors.

 yield
 value + yield
Shares currently yield 2.61%. Our dividend ranking approach looks at a company's dividend growth rate, payout ratio, business moat, and valuation. Based on our methodology, Cummins Inc ranks 247 among the S&P 500 constituents. Investors looking for undervalued dividend stocks will probably want to look elsewhere.

 growth
A company's growth metrics are less important than its valuation, moat, and financial strength. However, a check on growth can be a good way to avoid companies in secular decline. The company's growth in sales, earnings, and book value produce an average score. -2.9% 5 year annualized EPS growth, -0.6% 5 year annualized sales-per-share growth, and 5 year annualized book value-per-share growth of 7.4% combine to produce this average score.

Cummins Inc (CMI)
Industrial Goods | Diversified Machinery
CEO: Norman Thomas Linebarger
Employees: 55200
cummins.com


tickrz rank
B

VALUATION RATIOS
P/E Ratio17.71x
P/B Ratio3.63x
P/S Ratio1.46x
EV/EBITDA Ratio11.37x
DIVIDEND ANALYSIS
Dividend Yield2.61%
Payout Ratio54.97%
3 yr Dividend Growth21.14%
FINANCIAL STRENGTH
Piotroski F-Score5
Debt-to-Equity26%
Interest Coverage25.37x
MOAT
ROE20.74%
ROIC18.53%
Net Margin7.95%
GROWTH
5 yr EPS Growth-2.93%
5 yr SPS Growth-0.57%
5 yr BPS Growth7.4%

TICKRZ RANK
Cummins Inc receives a B ranking in our proprietary ranking system that combines valuation, moat, operational performance, and financial strength. View the Top 50 tickrz ranked stocks here.

PURE VALUE
Valuation is the most heavily weighted component in our tickrz ranking methodology. Numerous academic and practitioner studies have found that a value approach outperforms the market over the long-run. Cummins Inc's valuation score is comprised of a P/E ratio of 17.7x, a P/B ratio of 3.6x, a P/S ratio of 1.5x, and an EV/EBITDA ratio of 11.4x. Cummins Inc ranks 153 out of the S&P 500 constituents on valuation--a relatively strong score.

WARREN BUFFETT RANKING
Cummins Inc ranks 350 out of the S&P 500 constituents in our multi-factor Warren Buffett ranking methodology. This is a weak score, meaning it ranks poorly on valuation, moat, volatility, and financial strength factors. If you're looking for undervalued stocks with high moats and strong competitive advantages, Cummins Inc is probably not for you.

MOAT
To calculate a company's Moat Score, we look at its historical earnings growth, historical average return on equity, the volatility of its earnings stream, and also factor in the strength of its balance sheet. Our approach concludes the company's business moat is average. Our analysis of its moat reveals neither a durable moat or enduring competitive advantages.

FINANCIAL STRENGTH
Cummins Inc has a Piotroski F Score of 5 out of 9. The F Score examines changes in profitability, leverage, liquidity, and operating efficiency. Interest coverage of 25.37x, a debt/equity ratio of 26% and a Moat Rank of 294 translate to a strong Financial Strength score.

MOMENTUM
Investment research has shown that stocks with strong performance over the last 6 to 12 months tend to perform better in the medium term than stocks with poor performance over the same period. In fact, the momentum factor is one of the strongest of all the investment factors. The company has seen its stock appreciate by 33.55% over the last 12 months. This performance is strong compared to other stocks in the S&P 500, earning it a rank of 59. Cummins Inc's strong 12 month stock performance will appeal to momentum investors.

VALUE + YIELD
Shares currently yield 2.61%. Our dividend ranking approach looks at a company's dividend growth rate, payout ratio, business moat, and valuation. Based on our methodology, Cummins Inc ranks 247 among the S&P 500 constituents. Investors looking for undervalued dividend stocks will probably want to look elsewhere.

GROWTH
A company's growth metrics are less important than its valuation, moat, and financial strength. However, a check on growth can be a good way to avoid companies in secular decline. The company's growth in sales, earnings, and book value produce an average score. -2.9% 5 year annualized EPS growth, -0.6% 5 year annualized sales-per-share growth, and 5 year annualized book value-per-share growth of 7.4% combine to produce this average score.