WallStSmart

Cummins Inc (CMI)vsHeidrick & Struggles International (HSII)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Cummins Inc generates 2706% more annual revenue ($33.67B vs $1.20B). CMI leads profitability with a 8.4% profit margin vs 3.1%. HSII appears more attractively valued with a PEG of 1.05. CMI earns a higher WallStSmart Score of 59/100 (C).

CMI

Buy

59

out of 100

Grade: C

Growth: 6.7Profit: 6.5Value: 3.3Quality: 6.8
Piotroski: 6/9Altman Z: 2.91

HSII

Buy

56

out of 100

Grade: C

Growth: 6.7Profit: 5.0Value: 5.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CMISignificantly Overvalued (-61.7%)

Margin of Safety

-61.7%

Fair Value

$370.38

Current Price

$671.01

$300.63 premium

UndervaluedFair: $370.38Overvalued
HSIIUndervalued (+15.0%)

Margin of Safety

+15.0%

Fair Value

$69.39

Current Price

$59.01

$10.38 discount

UndervaluedFair: $69.39Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CMI3 strengths · Avg: 8.7/10
Market CapQuality
$88.34B9/10

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

HSII2 strengths · Avg: 8.0/10
Price/BookValuation
2.4x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
15.9%8/10

15.9% revenue growth

Areas to Watch

CMI3 concerns · Avg: 4.0/10
PEG RatioValuation
1.764/10

Expensive relative to growth rate

P/E RatioValuation
31.1x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
1.1%4/10

1.1% revenue growth

HSII4 concerns · Avg: 3.3/10
P/E RatioValuation
34.3x4/10

Premium valuation, high expectations priced in

Market CapQuality
$1.23B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
7.5%3/10

ROE of 7.5% — below average capital efficiency

Profit MarginProfitability
3.1%3/10

3.1% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : CMI

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

Bull Case : HSII

The strongest argument for HSII centers on Price/Book, Revenue Growth. Revenue growth of 15.9% demonstrates continued momentum. PEG of 1.05 suggests the stock is reasonably priced for its growth.

Bear Case : CMI

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

Bear Case : HSII

The primary concerns for HSII are P/E Ratio, Market Cap, Return on Equity. Thin 3.1% margins leave little buffer for downturns.

Key Dynamics to Monitor

CMI profiles as a value stock while HSII is a growth play — different risk/reward profiles.

CMI carries more volatility with a beta of 1.14 — expect wider price swings.

HSII is growing revenue faster at 15.9% — sustainability is the question.

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

Bottom Line

CMI scores higher overall (59/100 vs 56/100). 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.

Heidrick & Struggles International

INDUSTRIALS · STAFFING & EMPLOYMENT SERVICES · USA

Heidrick & Struggles International, Inc., provides executive search and consulting services to companies and business leaders worldwide. The company is headquartered in Chicago, Illinois.

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