Cummins Inc (CMI)vsQuanex Building Products (NX)
CMI
Cummins Inc
$715.76
+6.06%
INDUSTRIALS · Cap: $90.90B
NX
Quanex Building Products
$20.11
+2.65%
INDUSTRIALS · Cap: $899.93M
Smart Verdict
WallStSmart Research — data-driven comparison
Cummins Inc generates 1723% more annual revenue ($33.67B vs $1.85B). CMI leads profitability with a 8.4% profit margin vs -13.0%. NX appears more attractively valued with a PEG of 0.66. CMI earns a higher WallStSmart Score of 59/100 (C).
CMI
Buy59
out of 100
Grade: C
NX
Hold47
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-60.5%
Fair Value
$373.25
Current Price
$715.76
$342.51 premium
Margin of Safety
+77.3%
Fair Value
$98.50
Current Price
$20.11
$78.39 discount
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
Reasonable price relative to book value
Growing faster than its price suggests
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 8.0x book value
1.1% revenue growth
2.3% revenue growth
Smaller company, higher risk/reward
Operating margin of 0.7%
ROE of -28.2% — below average capital efficiency
Comparative Analysis Report
WallStSmart ResearchBull Case : CMI
The strongest argument for CMI centers on Market Cap, Return on Equity, EPS Growth.
Bull Case : NX
The strongest argument for NX centers on Price/Book, PEG Ratio. PEG of 0.66 suggests the stock is reasonably priced for its growth.
Bear Case : CMI
The primary concerns for CMI are PEG Ratio, P/E Ratio, Price/Book.
Bear Case : NX
The primary concerns for NX are Revenue Growth, Market Cap, Operating Margin.
Key Dynamics to Monitor
CMI profiles as a value stock while NX is a turnaround play — different risk/reward profiles.
CMI carries more volatility with a beta of 1.14 — expect wider price swings.
NX is growing revenue faster at 2.3% — sustainability is the question.
CMI generates stronger free cash flow (990M), providing more financial flexibility.
Bottom Line
CMI scores higher overall (59/100 vs 47/100). NX offers better value entry with a 77.3% 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.
Quanex Building Products
INDUSTRIALS · BUILDING PRODUCTS & EQUIPMENT · USA
Quanex Building Products Corporation (NX) is a prominent manufacturer of innovative engineered materials and components for the building and construction sector, distinguished by its dedication to quality and sustainability. The company's extensive product offerings encompass energy-efficient window and door systems, alongside advanced engineered wood products, effectively addressing the needs of both residential and commercial markets. With an emphasis on operational excellence and a strong foundation in material science, Quanex utilizes its proprietary technologies to provide exceptional value, securing a competitive position in a rapidly evolving industry landscape focused on sustainable construction practices.
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