Cummins Inc (CMI)vsQualcomm Incorporated (QCOM)
CMI
Cummins Inc
$679.55
-0.49%
INDUSTRIALS · Cap: $94.23B
QCOM
Qualcomm Incorporated
$219.09
+8.17%
TECHNOLOGY · Cap: $230.92B
Smart Verdict
WallStSmart Research — data-driven comparison
Qualcomm Incorporated generates 31% more annual revenue ($44.49B vs $33.89B). QCOM leads profitability with a 22.3% profit margin vs 7.9%. QCOM appears more attractively valued with a PEG of 0.82. QCOM earns a higher WallStSmart Score of 71/100 (B).
CMI
Hold47
out of 100
Grade: D+
QCOM
Strong Buy71
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-58.4%
Fair Value
$378.02
Current Price
$679.55
$301.53 premium
Margin of Safety
+0.5%
Fair Value
$220.22
Current Price
$219.09
$1.13 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Every $100 of equity generates 22 in profit
Mega-cap, among the largest globally
Every $100 of equity generates 36 in profit
Earnings expanding 173.0% YoY
Safe zone — low bankruptcy risk
Keeps 22 of every $100 in revenue as profit
Growing faster than its price suggests
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
2.7% revenue growth
7.9% margin — thin
Trading at 10.2x book value
Revenue declined 3.5%
Comparative Analysis Report
WallStSmart ResearchBull Case : CMI
The strongest argument for CMI centers on Market Cap, Return on Equity.
Bull Case : QCOM
The strongest argument for QCOM centers on Market Cap, Return on Equity, EPS Growth. Profitability is solid with margins at 22.3% and operating margin at 22.1%. PEG of 0.82 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 : QCOM
The primary concerns for QCOM are Price/Book, Revenue Growth.
Key Dynamics to Monitor
CMI profiles as a value stock while QCOM is a declining play — different risk/reward profiles.
QCOM carries more volatility with a beta of 1.49 — expect wider price swings.
CMI is growing revenue faster at 2.7% — sustainability is the question.
QCOM generates stronger free cash flow (1.9B), providing more financial flexibility.
Bottom Line
QCOM scores higher overall (71/100 vs 47/100), backed by strong 22.3% 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.
Qualcomm Incorporated
TECHNOLOGY · SEMICONDUCTORS · USA
Qualcomm is an American multinational corporation headquartered in San Diego, California, and incorporated in Delaware. It creates semiconductors, software, and services related to wireless technology. It owns patents critical to the 5G, 4G, CDMA2000, TD-SCDMA and WCDMA mobile communications standards.
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