Last Price$342.1(0.8%)
Market Cap$47.3B
LTM Rule of 40 (EBIT margin)
10.5%
5Y avg
17.5%
Industrial - Machinery industry
median
13.0%
Stock quality & Intrinsic value
6/10
0.6% undervalued
Cummins Inc. Rule of 40 (EBIT margin)
Annual
Quarterly
LTM
Industry median
Company stand-alone
Crunching data... Almost there!
| Dec'05 | Dec'06 | Dec'07 | Dec'08 | Dec'09 | Dec'10 | Dec'11 | Dec'12 | Dec'13 | Dec'14 | Dec'15 | Dec'16 | Dec'17 | Dec'18 | Dec'19 | Dec'20 | Dec'21 | Dec'22 | Dec'23 | Dec'24 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Rule of 40 (EBIT margin) | 25.2% | 24.5% | 23.7% | 18.8% | (18.4%) | 34.6% | 51.3% | 9.0% | 12.0% | 23.4% | 10.2% | 2.6% | 28.2% | 28.1% | 10.6% | (7.0%) | 32.5% | 24.8% | 26.5% | 11.1% |
Overvalued or undervalued?
Check the intrinsic value for CMI
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Cummins Inc. (CMI) Rule of 40 (EBIT margin) comparison analysis
General
LTM Rule of 40 (EBIT margin)
OTHER METRICS
Company name
Revenue growth
EPS growth
Net Income margin
Cummins Inc.CMI
10.5%
0.1%
446.6%
11.6%
Median Peer Set
25.0%
5.2%
15.7%
14.1%
Roper Technologies, Inc.ROP
42.3%
13.9%
11.5%
22.0%
Eaton Corporation plcETN
41.5%
11.8%
30.4%
13.9%
Howmet Aerospace Inc.HWM
34.2%
11.9%
53.5%
15.5%
AMETEK, Inc.AME
30.9%
5.2%
4.4%
19.8%
Illinois Tool Works Inc.ITW
25.5%
(1.3%)
20.6%
21.9%
Ingersoll Rand Inc.IR
24.4%
5.2%
8.3%
11.6%
Otis Worldwide CorporationOTIS
14.6%
0.4%
19.9%
11.5%
Parker-Hannifin CorporationPH
10.8%
4.5%
36.4%
14.3%
Emerson Electric Co.EMR
9.7%
15.3%
(85.1%)
11.3%
Rockwell Automation, Inc.ROK
(6.2%)
(8.8%)
(25.2%)
11.5%
CMI key stats
USD
Millions
Billions
Annual
Quarterly
Trailing
Key stats
Income statement
Balance sheet
Cash Flow Statement
Valuation
Ratios
Per share
Per employee
Dividends & Yields
| Dec'05 | Dec'06 | Dec'07 | Dec'08 | Dec'09 | Dec'10 | Dec'11 | Dec'12 | Dec'13 | Dec'14 | Dec'15 | Dec'16 | Dec'17 | Dec'18 | Dec'19 | Dec'20 | Dec'21 | Dec'22 | Dec'23 | Dec'24 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
% growth | 9,918.0 17.5% | 11,362.0 14.6% | 13,048.0 14.8% | 14,342.0 9.9% | 10,800.0 (24.7%) | 13,226.0 22.5% | 18,048.0 36.5% | 17,334.0 (4.0%) | 17,301.0 (0.2%) | 19,221.0 11.1% | 19,110.0 (0.6%) | 17,509.0 (8.4%) | 20,428.0 16.7% | 23,771.0 16.4% | 23,571.0 (0.8%) | 19,811.0 (16.0%) | 24,021.0 21.3% | 28,074.0 16.9% | 34,065.0 21.3% | 34,102.0 0.1% |
| Cost of Goods Sold (COGS) | 7,732.0 | 8,767.0 | 10,492.0 | 11,402.0 | 8,631.0 | 10,058.0 | 13,459.0 | 12,826.0 | 12,918.0 | 14,360.0 | 14,163.0 | 13,057.0 | 15,338.0 | 18,034.0 | 17,591.0 | 14,917.0 | 18,326.0 | 21,355.0 | 25,816.0 | 25,663.0 |
% margin | 2,186.0 22.0% | 2,595.0 22.8% | 2,556.0 19.6% | 2,940.0 20.5% | 2,169.0 20.1% | 3,168.0 24.0% | 4,589.0 25.4% | 4,508.0 26.0% | 4,383.0 25.3% | 4,861.0 25.3% | 4,947.0 25.9% | 4,452.0 25.4% | 5,090.0 24.9% | 5,737.0 24.1% | 5,980.0 25.4% | 4,894.0 24.7% | 5,695.0 23.7% | 6,719.0 23.9% | 8,249.0 24.2% | 8,439.0 24.7% |
| Operating Expenses | 1,423.0 | 1,464.0 | 1,398.0 | 1,631.0 | 1,814.0 | 2,236.0 | 1,908.0 | 2,644.0 | 2,643.0 | 2,866.0 | 2,904.0 | 2,687.0 | 3,077.0 | 3,345.0 | 3,491.0 | 3,077.0 | 3,495.0 | 4,139.0 | 6,488.0 | 4,738.0 |
| Research & Development Expenses (R&D) | 278.0 | 321.0 | 329.0 | 422.0 | 362.0 | 414.0 | 629.0 | 728.0 | 713.0 | 754.0 | 735.0 | 636.0 | 752.0 | 902.0 | 1,001.0 | 906.0 | 1,090.0 | 1,278.0 | 1,500.0 | 1,463.0 |
| Selling, General & Administrative Expenses (SG&A) | 1,145.0 | 1,283.0 | 1,296.0 | 1,450.0 | 1,239.0 | 1,487.0 | 1,837.0 | 1,900.0 | 1,920.0 | 2,095.0 | 2,092.0 | 2,046.0 | 2,390.0 | 2,437.0 | 2,454.0 | 2,125.0 | 2,374.0 | 2,687.0 | 3,208.0 | 3,275.0 |
% margin | 763.0 7.7% | 1,131.0 10.0% | 1,158.0 8.9% | 1,272.0 8.9% | 682.0 6.3% | 1,602.0 12.1% | 2,681.0 14.9% | 2,254.0 13.0% | 2,101.0 12.1% | 2,365.0 12.3% | 2,057.0 10.8% | 1,928.0 11.0% | 2,365.0 11.6% | 2,786.0 11.7% | 2,700.0 11.5% | 1,765.0 8.9% | 2,706.0 11.3% | 2,234.0 8.0% | 1,761.0 5.2% | 3,750.0 11.0% |
| Interest Income | 0.0 | 0.0 | 36.0 | 18.0 | 8.0 | 21.0 | 34.0 | 25.0 | 27.0 | 23.0 | 24.0 | 23.0 | 18.0 | 35.0 | 46.0 | 74.0 | 25.0 | 49.0 | 239.0 | 186.0 |
| Interest Expense | 0.0 | 0.0 | 58.0 | 42.0 | 35.0 | 40.0 | 44.0 | 32.0 | 41.0 | 64.0 | 65.0 | 69.0 | 81.0 | 114.0 | 109.0 | 100.0 | 111.0 | 199.0 | 375.0 | 370.0 |
| Pre-tax Income | 798.0 | 1,083.0 | 1,169.0 | 1,178.0 | 640.0 | 1,617.0 | 2,671.0 | 2,271.0 | 2,119.0 | 2,434.0 | 2,025.0 | 1,930.0 | 2,365.0 | 2,753.0 | 2,834.0 | 2,338.0 | 2,751.0 | 2,819.0 | 1,626.0 | 4,903.0 |
% effective tax rate | 216.0 27.1% | 324.0 29.9% | 381.0 32.6% | 360.0 30.6% | 156.0 24.4% | 477.0 29.5% | 725.0 27.1% | 533.0 23.5% | 531.0 25.1% | 698.0 28.7% | 555.0 27.4% | 474.0 24.6% | 1,371.0 58.0% | 566.0 20.6% | 566.0 20.0% | 527.0 22.5% | 587.0 21.3% | 636.0 22.6% | 786.0 48.3% | 835.0 17.0% |
% margin | 550.0 5.5% | 715.0 6.3% | 739.0 5.7% | 755.0 5.3% | 428.0 4.0% | 1,040.0 7.9% | 1,848.0 10.2% | 1,645.0 9.5% | 1,483.0 8.6% | 1,651.0 8.6% | 1,399.0 7.3% | 1,394.0 8.0% | 999.0 4.9% | 2,141.0 9.0% | 2,260.0 9.6% | 1,789.0 9.0% | 2,131.0 8.9% | 2,151.0 7.7% | 735.0 2.2% | 3,946.0 11.6% |
| EPS | 3.11 | 3.75 | 3.72 | 3.87 | 2.17 | 5.29 | 9.58 | 8.69 | 7.93 | 9.04 | 7.86 | 8.25 | 6.00 | 13.20 | 14.54 | 12.07 | 14.74 | 15.20 | 5.19 | 28.37 |
| Diluted EPS | 2.75 | 3.55 | 3.70 | 3.84 | 2.16 | 5.28 | 9.55 | 8.67 | 7.91 | 9.02 | 7.84 | 8.23 | 5.97 | 13.15 | 14.48 | 12.01 | 14.61 | 15.12 | 5.15 | 28.37 |
% margin | 1,057.0 10.7% | 1,131.0 10.0% | 1,448.0 11.1% | 1,532.0 10.7% | 999.0 9.3% | 1,974.0 14.9% | 3,036.0 16.8% | 2,654.0 15.3% | 2,564.0 14.8% | 2,498.0 13.0% | 2,604.0 13.6% | 2,534.0 14.5% | 3,035.0 14.9% | 3,486.0 14.7% | 3,623.0 15.4% | 3,125.0 15.8% | 2,862.0 11.9% | 3,802.0 13.5% | 3,025.0 8.9% | 6,338.0 18.6% |
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FAQ
1) What is Cummins Inc.'s Rule of 40 (EBIT margin)?
As of today, Microsoft Corp's last 12-month Rule of 40 (EBIT margin) is 10.5%, based on the financial report for Dec 31, 2024 (Q4’2024). The average annual Rule of 40 (EBIT margin) for Cummins Inc. have been 24.6% over the past three years, and 18.4% over the past five years.
2) Is Cummins Inc.'s Rule of 40 (EBIT margin) Good?
As of today, Cummins Inc.'s Rule of 40 (EBIT margin) is 10.5%, which is lower than industry median of 13.0%. It indicates that Cummins Inc.'s Rule of 40 (EBIT margin) is Bad.