Cummins Inc (CMI)vsEmerson Electric Company (EMR)
CMI
Cummins Inc
$533.54
-1.24%
INDUSTRIALS · Cap: $75.30B
EMR
Emerson Electric Company
$128.15
-1.35%
INDUSTRIALS · Cap: $74.84B
Smart Verdict
WallStSmart Research — data-driven comparison
Cummins Inc generates 85% more annual revenue ($33.67B vs $18.19B). EMR leads profitability with a 12.7% profit margin vs 8.4%. CMI appears more attractively valued with a PEG of 1.48. CMI earns a higher WallStSmart Score of 61/100 (C+).
CMI
Buy61
out of 100
Grade: C+
EMR
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+37.5%
Fair Value
$958.93
Current Price
$533.54
$425.39 discount
Margin of Safety
-158.3%
Fair Value
$59.88
Current Price
$128.15
$68.27 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 110.0% year-over-year
Large-cap with strong market position
Every $100 of equity generates 24 in profit
Earnings expanding 41.4% YoY
Large-cap with strong market position
Strong operational efficiency at 24.6%
Areas to Watch
Moderate valuation
Expensive relative to growth rate
Premium valuation, high expectations priced in
4.1% revenue growth
4.9% earnings growth
Comparative Analysis Report
WallStSmart ResearchBull Case : CMI
The strongest argument for CMI centers on Revenue Growth, Market Cap, Return on Equity. Revenue growth of 110.0% demonstrates continued momentum. PEG of 1.48 suggests the stock is reasonably priced for its growth.
Bull Case : EMR
The strongest argument for EMR centers on Market Cap, Operating Margin.
Bear Case : CMI
The primary concerns for CMI are P/E Ratio.
Bear Case : EMR
The primary concerns for EMR are PEG Ratio, P/E Ratio, Revenue Growth.
Key Dynamics to Monitor
CMI profiles as a hypergrowth stock while EMR is a value play — different risk/reward profiles.
EMR carries more volatility with a beta of 1.24 — expect wider price swings.
CMI is growing revenue faster at 110.0% — sustainability is the question.
CMI generates stronger free cash flow (990M), providing more financial flexibility.
Bottom Line
CMI scores higher overall (61/100 vs 51/100) and 110.0% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
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.
Emerson Electric Company
INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA
Emerson Electric Co. is an American multinational corporation headquartered in Ferguson, Missouri. The Fortune 500 company manufactures products and provides engineering services for a wide range of industrial, commercial, and consumer markets.
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