WallStSmart

Babcock & Wilcox Enterprises Inc (BW)vsCummins Inc (CMI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Cummins Inc generates 5629% more annual revenue ($33.67B vs $587.68M). CMI leads profitability with a 8.4% profit margin vs -6.2%. CMI earns a higher WallStSmart Score of 61/100 (C+).

BW

Avoid

23

out of 100

Grade: F

Growth: 2.7Profit: 2.5Value: 5.0Quality: 5.0

CMI

Buy

61

out of 100

Grade: C+

Growth: 6.7Profit: 6.5Value: 10.0Quality: 6.8
Piotroski: 6/9Altman Z: 2.91
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for BW.

CMIUndervalued (+37.7%)

Margin of Safety

+37.7%

Fair Value

$960.80

Current Price

$553.36

$407.44 discount

UndervaluedFair: $960.80Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BW0 strengths · Avg: 0/10

No standout strengths identified

CMI3 strengths · Avg: 8.7/10
Market CapQuality
$76.65B9/10

Large-cap with strong market position

Return on EquityProfitability
23.9%9/10

Every $100 of equity generates 24 in profit

EPS GrowthGrowth
41.4%8/10

Earnings expanding 41.4% YoY

Areas to Watch

BW4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
2.0%4/10

2.0% revenue growth

Market CapQuality
$1.98B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-3.5%2/10

ROE of -3.5% — below average capital efficiency

EPS GrowthGrowth
-93.5%2/10

Earnings declined 93.5%

CMI2 concerns · Avg: 4.0/10
P/E RatioValuation
27.0x4/10

Moderate valuation

Revenue GrowthGrowth
1.1%4/10

1.1% revenue growth

Comparative Analysis Report

WallStSmart Research

Bull Case : BW

BW has a balanced fundamental profile.

Bull Case : CMI

The strongest argument for CMI centers on Market Cap, Return on Equity, EPS Growth. PEG of 1.47 suggests the stock is reasonably priced for its growth.

Bear Case : BW

The primary concerns for BW are Revenue Growth, Market Cap, Return on Equity.

Bear Case : CMI

The primary concerns for CMI are P/E Ratio, Revenue Growth.

Key Dynamics to Monitor

BW profiles as a turnaround stock while CMI is a value play — different risk/reward profiles.

BW carries more volatility with a beta of 1.48 — expect wider price swings.

BW is growing revenue faster at 2.0% — sustainability is the question.

CMI generates stronger free cash flow (990M), providing more financial flexibility.

Bottom Line

CMI scores higher overall (61/100 vs 23/100). Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Babcock & Wilcox Enterprises Inc

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Babcock & Wilcox Enterprises, Inc., provides energy and environmental technologies and services for the energy and industrial markets globally. The company is headquartered in Akron, Ohio.

Cummins Inc

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Cummins is a Columbus, Indiana based multinational corporation that designs, manufactures, and distributes engines, filtration, and power generation products. Cummins also services engines and related equipment, including fuel systems, controls, air handling, filtration, emission control, electrical power generation systems, and trucks.

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