CMI – Cummins Inc.

Cummins Inc. (NYSE: CMI) Monthly Stock Report – November 29, 2025

Company Overview

Cummins Inc., headquartered in Columbus, Indiana, is a leading global provider of power solutions, recognized for its innovative and sustainable energy technologies. Since its establishment in 1919, Cummins has carved out a prominent position in the Specialty Industrial Machinery industry, part of the broader Industrials sector. The company operates through five segments: Engine, Distribution, Components, Power Systems, and Accelera. Cummins offers a diverse portfolio, including diesel and natural gas-powered engines, drivetrain systems, advanced aftertreatment technology, and electrified power systems, such as batteries and fuel cells. With a commitment to delivering reliable and innovative solutions, Cummins serves original equipment manufacturers, distributors, and dealers globally, ensuring a strong foothold in various markets.

52-Week Price Performance Analysis

Cummins Inc.’s stock (NYSE: CMI) has reflected a robust bullish trend throughout the year. The stock has experienced a dramatic recovery, rising approximately 34.63% since the beginning of 2025, reaching a recent peak of $497.98. The current price of $499.64 is notably close to its fifty-two week high of $499.87, demonstrating solid momentum.

Key Technical Insights

• 52-Week Range: The stock’s low was recorded at $260.02, highlighting significant volatility and price movement over the last year.
• Support and Resistance Levels:
• Support: After breaking through the $350 resistance earlier in the year, this level has since turned into a support point, reinforcing the stock’s upward trajectory.
• Resistance: The $500 mark currently acts as a crucial resistance level, which the stock recently approached.

The upward-sloping moving average provides a dynamic support line, validating the bullish trend. The breakout above previous resistance levels has been accompanied by increased volatility, likely driven by positive news and earnings growth. Investors should remain vigilant for any consolidation near the $500 resistance level, as this could indicate either new entry opportunities or a potential reversal.

Financial Performance and Metrics

Cummins reported total revenue of approximately $33.58 billion, signifying a strong operational foundation. The firm’s latest third-quarter earnings showed revenues of $8.3 billion paired with a net income of $536 million, despite headwinds in the North American truck market. Notably, demand in the Power Systems and Distribution segments has surged, stemming from an increased need for backup power solutions in data centers.

Financial Indicators

• EBITDA: Approximately $5.24 billion, showcasing solid operational profitability and healthy cash flow.
• Market Capitalization: With 138,036,253 shares outstanding, the current price implies a market cap close to $69 billion.
• Dividend: The Board recently approved a 10% increase in quarterly dividends, raising it from $1.82 to $2.00 per share, marking the 16th consecutive year of dividend increases.

Valuation Metrics

• Current Price: $499.64
• Mean Target Price: Approximately $517.94 (suggesting a moderate growth opportunity).
• Price Range Estimates: Analysts have set a high target of $628 and a low of $450.

Overall, Cummins exhibits robust revenue growth and solid profitability metrics, signaling strength in future growth opportunities and value creation for shareholders.

Recent News and Developments

Recent developments have significantly influenced Cummins’ stock price and investor sentiment. Here are some key highlights:

1. Record Stock Price: Cummins’ stock reached an all-time high of $484.89 on November 24, 2025, reflecting a 28.31% increase over the year.

2. Earnings Report: The Q3 earnings report disclosed positive results, with revenues driven by strong demand in various segments, despite challenges within the truck market segment.

3. Dividend Increase: The Board’s announcement of a 10% increase in the quarterly common stock cash dividend from $1.82 to $2.00 signifies financial health and a commitment to returning value to shareholders.

4. Analyst Upgrades: Bernstein raised its price target for Cummins to $475, attributing it to strong performance in power generation, which is improving despite weaknesses in the engine market.

These developments collectively reinforce Cummins’ strong market position and strategic potential amidst challenging market conditions.

Market Sentiment and Analyst Recommendations

Overall analyst sentiment remains positive towards Cummins Inc. A pooled recommendation mean score of 2.22, derived from the perspectives of 19 analysts, suggests a general consensus of “buy.” This optimistic viewpoint is further supported by:

• Price Targets: The analysts have set a mean price target of approximately $517.94, aligning with the anticipation of continued growth and market stability.
• Short Interest: With only 0.012% of the shares sold short, this indicates limited bearish sentiment, signaling confidence among investors regarding the company’s future potential.

Conclusion: Opportunities and Risks

Cummins Inc. presents a compelling investment opportunity with its robust financial performance, commitment to innovation, and strong market positioning. However, potential investors should remain aware of the following risks:

• Market Volatility: The stock has experienced significant price fluctuations, necessitating caution, especially near identified resistance levels.
• Industry Challenges: Ongoing uncertainties in the North American truck market could pose challenges to revenue growth.

In summary, Cummins Inc. stands as a strong contender in the Specialty Industrial Machinery sector, with promising growth trajectories and key strategic initiatives in play. Retail investors may consider entering or expanding their positions while remaining vigilant of market conditions that could affect stock performance in the future.

Metric	Value
Market Cap	$69.0b
Total Debt	$8.2b
Total Cash	$3.2b
Shares Outstanding	138.0m
Float Shares	137.2m