Cummins Inc (CMI)vsHEICO Corporation (HEI-A)
CMI
Cummins Inc
$671.01
+5.02%
INDUSTRIALS · Cap: $88.34B
HEI-A
HEICO Corporation
$209.02
+3.85%
INDUSTRIALS · Cap: $28.67B
Smart Verdict
WallStSmart Research — data-driven comparison
Cummins Inc generates 627% more annual revenue ($33.67B vs $4.63B). HEI-A leads profitability with a 15.4% profit margin vs 8.4%. CMI appears more attractively valued with a PEG of 1.76. HEI-A earns a higher WallStSmart Score of 63/100 (C+).
CMI
Buy59
out of 100
Grade: C
HEI-A
Buy63
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-61.7%
Fair Value
$370.38
Current Price
$671.01
$300.63 premium
Margin of Safety
-1.8%
Fair Value
$242.74
Current Price
$209.02
$33.72 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Every $100 of equity generates 24 in profit
Earnings expanding 41.4% YoY
Strong operational efficiency at 22.2%
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
1.1% revenue growth
Expensive relative to growth rate
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : CMI
The strongest argument for CMI centers on Market Cap, Return on Equity, EPS Growth.
Bull Case : HEI-A
The strongest argument for HEI-A centers on Operating Margin. Profitability is solid with margins at 15.4% and operating margin at 22.2%. Revenue growth of 14.4% demonstrates continued momentum.
Bear Case : CMI
The primary concerns for CMI are PEG Ratio, P/E Ratio, Revenue Growth.
Bear Case : HEI-A
The primary concerns for HEI-A are PEG Ratio, P/E Ratio. A P/E of 40.6x leaves little room for execution misses.
Key Dynamics to Monitor
CMI profiles as a value stock while HEI-A is a mature play — different risk/reward profiles.
CMI carries more volatility with a beta of 1.14 — expect wider price swings.
HEI-A is growing revenue faster at 14.4% — sustainability is the question.
CMI generates stronger free cash flow (990M), providing more financial flexibility.
Bottom Line
HEI-A scores higher overall (63/100 vs 59/100), backed by strong 15.4% margins and 14.4% 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.
HEICO Corporation
INDUSTRIALS · AEROSPACE & DEFENSE · USA
HEICO Corporation designs, manufactures, and sells aerospace, defense, and electronic products and services in the United States and internationally. The company is headquartered in Hollywood, Florida.
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