DailyIQ
Last updated 6 hours ago

CMI·Cummins Inc.

$.
-. (-.%)
After Hours
High
$716.00
Open
$700.87
Market Cap
95.24B
52W High
$737.76
Low
$685.26
P. Close
$699.22
P/E
35.63
52W Low
$307.90
Fwd P/E
20.61
DailyIQ Est.
$766.75
Technical Score (1D)
82
BUY
News Sentiment
81
BULLISH
Cummins reported Q1 earnings that met consensus estimates, confirming its continued dominance in the heavy‑truck engine market. The earnings beat was driven by steady demand for conventional engines and a modest uptick in sales of its automated and electric‑vehicle‑ready powertrains. Because the company’s guidance for the coming quarter remains flat, the market will likely focus on how quickly the electrification pipeline can translate into revenue. The firm’s emphasis on automation and electrification positions it to capture new sales opportunities as the trucking industry shifts toward lower‑emission solutions. However, the company remains sensitive to macro‑economic cycles, with interest‑rate swings potentially dampening construction and transport volumes. In the next 1–10 trading days, traders should watch for any updates on the rollout schedule of the new electric‑vehicle engines and the company’s capital‑expenditure plans. A surprise in the guidance or a shift in the electrification timeline could prompt a reevaluation of the upside potential. Additionally, any commentary on how the firm is managing supply‑chain constraints for key components will be crucial. Finally, keep an eye on broader interest‑rate developments, as they could influence the demand outlook for heavy‑truck equipment and indirectly affect Cummins’ valuation.
Earnings Summary
Cummins Inc. (CMI) is a global power solutions leader that designs, manufactures, and distributes engines, drivetrains, and aftertreatment systems, while also offering power generation and electrified power systems to OEMs and distributors. The company operates within the specialty industrial machinery sector, positioning itself at the intersection of traditional diesel power and emerging clean‑fuel technologies. In the most recent quarters, CMI reported Q3 2025 earnings of $3.86 per share versus a $4.77 estimate, and revenue of $8.32 billion, a modest $150 million increase over Q1 2025 but a $326 million decline from Q2 2025; the following quarter, Q4 2025, delivered $5.81 EPS against a $5.16 estimate and $8.54 billion in revenue, a $107 million drop from Q2 2025 but a $219 million rise over Q3 2025. Over the last four quarters, the company beat analyst estimates in three of those periods, with Q1 and Q2 2025 and Q4 2025 exceeding expectations while Q3 2025 fell short. Historically, CMI’s EPS has shown a volatile trajectory: a sharp jump from $3.02 in Q4 2024 to $5.96 in Q1 2025, a modest rise to $6.43 in Q2 2025, a sharp decline to $3.86 in Q3 2025, and a rebound to $5.81 in Q4 2025, followed by a slight uptick to $6.15 in Q1 2026, indicating earnings momentum that is punctuated by periodic dips. Recent news highlights a surge of institutional buying, including a $378,000 stake by Rare Wolf Capital, and strategic contracts such as a 2 GW natural‑gas generation deal with West Texas Prime Power and an AI data‑center power solution that could elevate margins; these developments underscore a diversification strategy that may cushion cyclical diesel demand. Investors should watch for the Q2 2026 earnings release, the actual revenue impact of the AI and natural‑gas contracts, and any further institutional activity, as these factors will be key to understanding whether the company’s earnings acceleration can sustain its recent upside.

EPS

EstBeatMiss
$3.35$4.45$5.55$6.65$7.74Q1'25Q2'25Q3'25Q4'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$7.24 - -
Q1'26$6.58$6.15-6.5%
Q4'25$5.16$5.81+12.6%
Q3'25$4.77$3.86-19.0%
Q2'25$5.16$6.43+24.7%
Q1'25$4.85$5.96+23.0%

Revenue

EstBeatMiss
$8.0B$8.4B$8.8B$9.2B$9.6BQ1'25Q2'25Q3'25Q4'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$9.4B - -
Q1'26$9.0B$8.4B-6.2%
Q4'25$8.2B$8.5B+4.0%
Q3'25 - $8.3B -
Q2'25 - $8.6B -
Q1'25 - $8.2B -

Market Data

CMI Stock Snapshot

CMI is currently trading at $702.72, giving Cummins Inc. a market cap of 95.24B and a P/E ratio of 35.6. Today's range spans $685.26–$716.00, with shares opening at $700.87 and moving up $3.50 (0.5%) from the prior close. DailyIQ's technical score sits at 82/100 (BUY) with a news sentiment reading of 81/100.

Over the past year CMI has traded between $307.90 and $737.76 - the current price is +128.2% off the 52-week low and -4.7% from the high. 30 analysts cover the stock with a Buy consensus and a mean 12-month target of $744.33 (range $520.00–$874.00), implying upside of +5.9%.

CMI is scoring 82/100 technically (BUY) and sits at $702.72 - near 52-week highs in its $307.90–$737.76 annual range. Sentiment at 81/100 is bullish. At 95.24B in Industrials market cap The current P/E ratio stands at 35.6., this is the tier where earnings revision cycles have the most impact on price: upward revisions in a large-cap company with bullish momentum tend to attract analyst upgrades, which in turn attract new institutional mandates.

The combination of a BUY signal (82/100) and bullish news sentiment (81/100) puts CMI on the screens of active managers who run quality-momentum overlays — a cohort that can build meaningful positions at 95.24B in Industrials market cap without immediately moving the stock. At $702.72 (near 52-week highs in the $307.90–$737.76 range), the entry discipline is clean and the potential re-rating if sentiment continues to improve is meaningful.