CMI

Cummins Inc.

Industrials · $72.1B market cap

Share price

$528.32

close of Oct 3, 2026

Fair value

$396.12

Sticker Price

Payback Price

$158.45

buy price

Overpriced

CMI is Overpriced: at $528.32 it trades 33% above its fair value of $396.12. Its buy price (Payback Price) is $158.45, 70% below today's price. Business quality is limited: none of the 5 key numbers clears the 10% bar.

How we valued it

Free Cash Flow. Sales grew 6% a year over the last 3 years, below the 15% we look for in a fast grower, so we value it on its free cash flow instead of an earnings forecast.

Business quality

0 of 5 clear the 10% bar. What are the Big Five?

Earnings per share growth7.4% a year✗

Equity per share growth8.9% a year✗

Sales growth5.6% a year✗

Free cash flow growth8.2% a year✗

Return on invested capital9.8%✗

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Superinvestors

3 of the investors we track hold CMI. In Q2 2026, 2 trimmed. Who we track

First Eagle Investment Management

First Eagle Investment Management · as of Q2 2026

$382.9M

536,868 shares

Christopher Bloomstran

Semper Augustus · as of Q2 2026

$9.3M

12,972 shares

Mairs & Power Funds

Mairs & Power Funds · as of Q2 2026

$377K

528 shares

Moves in Q2 2026

Trimmed: First Eagle Investment Management, Christopher Bloomstran

Insider activity

Since Aug 24, 2026: no open-market purchases and 1 sale worth $399K. Why purchases matter

Sales

Newsome Earl

VP - Chief Information Officer · 2026-08-24

Sold

$399K

About Cummins Inc.

Cummins Inc. is a global innovator in power solutions, responsible for the design, manufacturing, distribution, and maintenance of a broad array of diesel and natural gas engines, alongside cutting-edge electric and hybrid powertrains, and associated components. Its operations are strategically divided into five segments: Engine, Distribution, Components, Power Systems, and New Power. The company's extensive engine…

Industrial - Machinery