WallStSmart

Cummins Inc (CMI)vsHoneywell International Inc (HON)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Honeywell International Inc generates 11% more annual revenue ($37.66B vs $33.89B). HON leads profitability with a 10.9% profit margin vs 7.9%. CMI appears more attractively valued with a PEG of 1.85. HON earns a higher WallStSmart Score of 55/100 (C).

CMI

Hold

47

out of 100

Grade: D+

Growth: 4.0Profit: 6.0Value: 3.3Quality: 6.8
Piotroski: 6/9Altman Z: 2.91

HON

Buy

55

out of 100

Grade: C

Growth: 3.3Profit: 7.0Value: 4.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CMISignificantly Overvalued (-59.1%)

Margin of Safety

-59.1%

Fair Value

$376.46

Current Price

$679.55

$303.09 premium

UndervaluedFair: $376.46Overvalued

Intrinsic value data unavailable for HON.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CMI2 strengths · Avg: 9.0/10
Market CapQuality
$94.23B9/10

Large-cap with strong market position

Return on EquityProfitability
22.0%9/10

Every $100 of equity generates 22 in profit

HON3 strengths · Avg: 8.7/10
Market CapQuality
$135.04B9/10

Large-cap with strong market position

Return on EquityProfitability
24.3%9/10

Every $100 of equity generates 24 in profit

Operating MarginProfitability
21.0%8/10

Strong operational efficiency at 21.0%

Areas to Watch

CMI4 concerns · Avg: 3.8/10
PEG RatioValuation
1.854/10

Expensive relative to growth rate

P/E RatioValuation
35.5x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
2.7%4/10

2.7% revenue growth

Profit MarginProfitability
7.9%3/10

7.9% margin — thin

HON4 concerns · Avg: 4.0/10
PEG RatioValuation
1.974/10

Expensive relative to growth rate

P/E RatioValuation
34.0x4/10

Premium valuation, high expectations priced in

Price/BookValuation
9.9x4/10

Trading at 9.9x book value

Revenue GrowthGrowth
2.4%4/10

2.4% revenue growth

Comparative Analysis Report

WallStSmart Research

Bull Case : CMI

The strongest argument for CMI centers on Market Cap, Return on Equity.

Bull Case : HON

The strongest argument for HON centers on Market Cap, Return on Equity, Operating Margin.

Bear Case : CMI

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

Bear Case : HON

The primary concerns for HON are PEG Ratio, P/E Ratio, Price/Book.

Key Dynamics to Monitor

CMI carries more volatility with a beta of 1.27 — expect wider price swings.

CMI is growing revenue faster at 2.7% — sustainability is the question.

CMI generates stronger free cash flow (120M), providing more financial flexibility.

Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.

Bottom Line

HON scores higher overall (55/100 vs 47/100). 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.

Honeywell International Inc

INDUSTRIALS · CONGLOMERATES · USA

Honeywell International Inc. is an American publicly traded, multinational conglomerate headquartered in Charlotte, North Carolina. It primarily operates in four areas of business: aerospace, building technologies, performance materials and technologies (PMT), and safety and productivity solutions (SPS).

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