Cummins Inc (CMI)vsGeneral Dynamics Corporation (GD)
CMI
Cummins Inc
$679.55
-0.49%
INDUSTRIALS · Cap: $94.23B
GD
General Dynamics Corporation
$346.53
-0.35%
INDUSTRIALS · Cap: $93.71B
Smart Verdict
WallStSmart Research — data-driven comparison
General Dynamics Corporation generates 59% more annual revenue ($53.81B vs $33.89B). GD leads profitability with a 8.1% profit margin vs 7.9%. CMI appears more attractively valued with a PEG of 1.85. GD earns a higher WallStSmart Score of 60/100 (C+).
CMI
Hold47
out of 100
Grade: D+
GD
Buy60
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-58.4%
Fair Value
$378.02
Current Price
$679.55
$301.53 premium
Margin of Safety
-22.2%
Fair Value
$293.63
Current Price
$346.53
$52.90 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Every $100 of equity generates 22 in profit
Large-cap with strong market position
Generating 2.0B in free cash flow
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
2.7% revenue growth
7.9% margin — thin
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : CMI
The strongest argument for CMI centers on Market Cap, Return on Equity.
Bull Case : GD
The strongest argument for GD centers on Market Cap, Free Cash Flow. Revenue growth of 10.3% demonstrates continued momentum.
Bear Case : CMI
The primary concerns for CMI are PEG Ratio, P/E Ratio, Revenue Growth.
Bear Case : GD
The primary concerns for GD are PEG Ratio.
Key Dynamics to Monitor
CMI carries more volatility with a beta of 1.27 — expect wider price swings.
GD is growing revenue faster at 10.3% — sustainability is the question.
GD generates stronger free cash flow (2.0B), providing more financial flexibility.
Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.
Bottom Line
GD scores higher overall (60/100 vs 47/100) and 10.3% revenue growth. Both earn "Buy" and "Hold" 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.
General Dynamics Corporation
INDUSTRIALS · AEROSPACE & DEFENSE · USA
General Dynamics Corporation (GD) is an American aerospace and defense corporation. It is headquartered in Reston, Fairfax County, Virginia.
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