Cummins Inc (CMI)vsUnited Airlines Holdings Inc (UAL)
CMI
Cummins Inc
$660.75
+0.58%
INDUSTRIALS · Cap: $91.35B
UAL
United Airlines Holdings Inc
$93.00
+1.92%
INDUSTRIALS · Cap: $30.18B
Smart Verdict
WallStSmart Research — data-driven comparison
United Airlines Holdings Inc generates 80% more annual revenue ($60.47B vs $33.67B). CMI leads profitability with a 8.4% profit margin vs 6.1%. CMI appears more attractively valued with a PEG of 1.81. UAL earns a higher WallStSmart Score of 70/100 (B-).
CMI
Buy59
out of 100
Grade: C
UAL
Strong Buy70
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-62.4%
Fair Value
$368.86
Current Price
$660.75
$291.89 premium
Margin of Safety
+14.4%
Fair Value
$133.16
Current Price
$93.00
$40.16 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
Attractively priced relative to earnings
Earnings expanding 84.5% YoY
Every $100 of equity generates 26 in profit
Reasonable price relative to book value
Generating 3.1B in free cash flow
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
1.1% revenue growth
6.1% margin — thin
Operating margin of 4.3%
Expensive relative to growth rate
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : CMI
The strongest argument for CMI centers on Market Cap, Return on Equity, EPS Growth.
Bull Case : UAL
The strongest argument for UAL centers on P/E Ratio, EPS Growth, Return on Equity. Revenue growth of 10.6% demonstrates continued momentum.
Bear Case : CMI
The primary concerns for CMI are PEG Ratio, P/E Ratio, Revenue Growth.
Bear Case : UAL
The primary concerns for UAL are Profit Margin, Operating Margin, PEG Ratio. Debt-to-equity of 2.39 is elevated, increasing financial risk.
Key Dynamics to Monitor
UAL carries more volatility with a beta of 1.29 — expect wider price swings.
UAL is growing revenue faster at 10.6% — sustainability is the question.
UAL generates stronger free cash flow (3.1B), providing more financial flexibility.
Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.
Bottom Line
UAL scores higher overall (70/100 vs 59/100) and 10.6% revenue growth. Both earn "Strong 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.
United Airlines Holdings Inc
INDUSTRIALS · AIRLINES · USA
United Airlines Holdings, Inc. (formerly known as United Continental Holdings, Inc., UAL Corporation, Allegis Corporation and founded originally as UAL, Inc.) is a publicly traded airline holding company headquartered in the Willis Tower in Chicago. UAH owns and operates United Airlines, Inc.
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