WallStSmart

Cummins Inc (CMI)vsInsperity Inc (NSP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Cummins Inc generates 394% more annual revenue ($33.67B vs $6.81B). CMI leads profitability with a 8.4% profit margin vs -0.1%. NSP appears more attractively valued with a PEG of 1.42. 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

NSP

Hold

36

out of 100

Grade: F

Growth: 3.3Profit: 2.0Value: 7.0Quality: 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
NSPUndervalued (+82.5%)

Margin of Safety

+82.5%

Fair Value

$171.88

Current Price

$35.57

$136.31 discount

UndervaluedFair: $171.88Overvalued

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

NSP0 strengths · Avg: 0/10

No standout strengths identified

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

NSP4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
3.4%4/10

3.4% revenue growth

Market CapQuality
$1.42B3/10

Smaller company, higher risk/reward

Price/BookValuation
29.2x2/10

Trading at 29.2x book value

Return on EquityProfitability
-9.8%2/10

ROE of -9.8% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull Case : CMI

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

Bull Case : NSP

PEG of 1.42 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 : NSP

The primary concerns for NSP are Revenue Growth, Market Cap, Price/Book.

Key Dynamics to Monitor

CMI profiles as a value stock while NSP is a turnaround play — different risk/reward profiles.

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

NSP is growing revenue faster at 3.4% — sustainability is the question.

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

Bottom Line

CMI scores higher overall (59/100 vs 36/100). NSP offers better value entry with a 82.5% margin of safety. 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.

Insperity Inc

INDUSTRIALS · STAFFING & EMPLOYMENT SERVICES · USA

Insperity, Inc. provides human resources (HR) and business solutions to improve business performance for small and medium-sized businesses. The company is headquartered in Kingwood, Texas.

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