What is the price-to-earnings ratio of Cummins?
The price-earnings ratio of Cummins is currently 1.71.
Cummins P/S 2025
Cummins P/S
1.71
Ticker
CMI
ISIN
US2310211063
WKN
853121
As of Oct 4, 2025, Cummins's P/S ratio stood at 1.71, a 20.42% change from the 1.42 P/S ratio recorded in the previous year.
The Cummins P/S history
Cummins Aktienanalyse
What does Cummins do?
Cummins Inc is a leading manufacturer of diesel engines, parts, and accessories, and also produces alternative and renewable energy systems. The company was founded in 1919 by William Glanton Irwin, Clessie Lyle Cummins, and others, with its headquarters in Columbus, Indiana, and now has subsidiaries in over 190 countries worldwide. The company was developed by Clessie Cummins, who was an engineer and racer. He had the idea to develop a more efficient diesel engine than those on the market at the time. Together with William Irwin and other co-founders, they established the Cummins Engine Company and developed engines from the beginning that were more reliable, efficient, and economical than their predecessors. Since its founding, Cummins Inc has developed a wide range of products, including diesel engines for heavy trucks, corporate applications such as power generation units, marine and rail propulsion, and alternative fuel systems. One of Cummins' most well-known products is the Dodge Ram Pickup Truck, equipped with the Cummins 6.7L turbo-diesel engine. Cummins Inc's strategy is to provide customers with comprehensive service, providing all the key attributes they need to be successful. By dividing the company into various segments such as commercial vehicles, power generation systems, as well as smaller engines and parts, it can offer customers a comprehensive range of products and services. The different divisions of the company work closely together to ensure that the customer receives a complete solution they require. In 2019, the company celebrated its 100th anniversary. In its fourth year of operation, Cummins expanded its business in Europe and sold its fully functional diesel engines to the Royal Navy of the United Kingdom. In 1925, the company began production of diesel engines for bus and truck traffic, and in 1952, Cummins developed and produced its first turbocharger system. In recent years, Cummins Inc has also increased its efforts towards sustainability and renewable energy, now offering products and services to support a wide range of applications including wind energy systems, solar systems, biofuels, and hybrid technologies. Overall, Cummins Inc is a leading provider of innovative and high-quality engines, parts, and accessories, offering customers a comprehensive solution that encompasses all aspects of their business. The company has proven throughout its nearly century-long history that it is continually able to meet the ever-changing demands of its customers and contribute to shaping the world and the economy. Cummins ist eines der beliebtesten Unternehmen auf Eulerpool.com.P/S Details
Decoding Cummins's P/S Ratio
Cummins's Price to Sales (P/S) Ratio is a crucial financial metric that measures the company's market valuation relative to its total sales revenue. It's calculated by dividing the company's market capitalization by its total sales over a specific period. A lower P/S ratio can indicate that the company is undervalued, while a higher ratio may suggest overvaluation.
Year-to-Year Comparison
Comparing Cummins's P/S ratio yearly provides insights into how the market perceives the company’s value relative to its sales. An increasing ratio over time can indicate growing investor confidence, while a decreasing trend might reflect concerns about the company’s revenue generation capabilities or market conditions.
Impact on Investments
The P/S ratio is instrumental for investors evaluating Cummins's stock. It offers insights into the company’s efficiency in generating sales and its market valuation. Investors use this ratio to compare similar companies within the same industry, aiding in selecting stocks that offer the best value for investment.
Interpreting P/S Ratio Fluctuations
Variations in Cummins’s P/S ratio can result from changes in the stock price, sales revenue, or both. Understanding these fluctuations is crucial for investors to evaluate the company’s current valuation and future growth potential, aligning their investment strategies accordingly.
Frequently Asked Questions about Cummins stock
How has the price-earnings ratio of Cummins changed compared to last year?
The price-to-earnings ratio of Cummins has increased by 20.42% increased compared to last year.
What consequences does a high price-earnings ratio have for investors?
A high price-to-earnings ratio indicates that the company's stock is relatively expensive and investors may potentially achieve a lower return.
What does a low price-earnings ratio mean?
A low price-earnings ratio means that the company's stock is relatively cheap and investors may potentially achieve a higher return.
Is the price-earnings ratio of Cummins high compared to other companies?
Yes, the price-to-earnings ratio of Cummins is high compared to other companies.
How does an increase in the price-earnings ratio of Cummins affect the company?
An increase in the price-earnings ratio of Cummins would lead to a higher market capitalization of the company, which in turn would lead to a higher valuation of the company.
How does a reduction in the price-to-earnings ratio of Cummins affect the company?
A decrease in the price-earnings ratio of Cummins would result in a lower market capitalization of the company, which in turn would lead to a lower valuation of the company.
What are some factors that influence the price-earnings ratio of Cummins?
Some factors that influence the price-earnings ratio of Cummins are the company's growth, financial position, industry development, and the overall economic situation.
How much dividend does Cummins pay?
Over the past 12 months, Cummins paid a dividend of 7 USD . This corresponds to a dividend yield of about 1.61 %. For the coming 12 months, Cummins is expected to pay a dividend of 10.28 USD.
What is the dividend yield of Cummins?
The current dividend yield of Cummins is 1.61 %.
When does Cummins pay dividends?
Cummins pays a quarterly dividend. This is distributed in the months of December, March, June, September.
How secure is the dividend of Cummins?
Cummins paid dividends every year for the past 0 years.
What is the dividend of Cummins?
For the upcoming 12 months, dividends amounting to 10.28 USD are expected. This corresponds to a dividend yield of 2.36 %.
In which sector is Cummins located?
Cummins is assigned to the 'Industry' sector.
Wann musste ich die Aktien von Cummins kaufen, um die vorherige Dividende zu erhalten?
To receive the latest dividend of Cummins from 9/4/2025 amounting to 2 USD, you needed to have the stock in your portfolio before the ex-date on 8/22/2025.
When did Cummins pay the last dividend?
The last dividend was paid out on 9/4/2025.
What was the dividend of Cummins in the year 2024?
In the year 2024, Cummins distributed 6.5 USD as dividends.
In which currency does Cummins pay out the dividend?
The dividends of Cummins are distributed in USD.
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Andere Kennzahlen von Cummins
Our stock analysis for Cummins Revenue stock includes important financial indicators such as revenue, profit, P/E ratio, P/S ratio, EBIT, as well as information on dividends. We also assess aspects such as stocks, market capitalization, debt, equity, and liabilities of Cummins Revenue. If you are looking for more detailed information on these topics, we offer comprehensive analyses on our subpages.
