WallStSmart

Cummins Inc (CMI)vsNextera Energy Inc (NEE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Cummins Inc generates 22% more annual revenue ($33.89B vs $27.87B). NEE leads profitability with a 29.4% profit margin vs 7.9%. CMI appears more attractively valued with a PEG of 1.85. NEE earns a higher WallStSmart Score of 67/100 (B-).

CMI

Hold

47

out of 100

Grade: D+

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

NEE

Strong Buy

67

out of 100

Grade: B-

Growth: 7.3Profit: 7.5Value: 5.0Quality: 3.0
Piotroski: 3/9Altman Z: 0.72
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 NEE.

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

NEE4 strengths · Avg: 9.5/10
Operating MarginProfitability
30.2%10/10

Strong operational efficiency at 30.2%

EPS GrowthGrowth
160.0%10/10

Earnings expanding 160.0% YoY

Market CapQuality
$194.60B9/10

Large-cap with strong market position

Profit MarginProfitability
29.4%9/10

Keeps 29 of every $100 in revenue as profit

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

NEE4 concerns · Avg: 3.0/10
PEG RatioValuation
2.124/10

Expensive relative to growth rate

Debt/EquityHealth
1.753/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Free Cash FlowQuality
$-580.00M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : CMI

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

Bull Case : NEE

The strongest argument for NEE centers on Operating Margin, EPS Growth, Market Cap. Profitability is solid with margins at 29.4% and operating margin at 30.2%.

Bear Case : CMI

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

Bear Case : NEE

The primary concerns for NEE are PEG Ratio, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.75 is elevated, increasing financial risk.

Key Dynamics to Monitor

CMI profiles as a value stock while NEE is a mature play — different risk/reward profiles.

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

NEE is growing revenue faster at 7.3% — sustainability is the question.

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

Bottom Line

NEE scores higher overall (67/100 vs 47/100), backed by strong 29.4% margins. Both earn "Strong 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.

Nextera Energy Inc

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

NextEra Energy, Inc. is an American energy company with about 46 gigawatts of generating capacity, revenues of over $17 billion in 2017, and about 14,000 employees throughout the US and Canada. Its subsidiaries include Florida Power & Light (FPL), NextEra Energy Resources, NextEra Energy Partners, Gulf Power Company, and NextEra Energy Services.

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