Cummins Stock

Cummins ROCE 2025

Cummins ROCE

0.36

Ticker

CMI

ISIN

US2310211063

WKN

853121

In 2025, Cummins's return on capital employed (ROCE) was 0.36, a -4.66% increase from the 0.38 ROCE in the previous year.

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.

ROCE Details

Unraveling Cummins's Return on Capital Employed (ROCE)

Cummins's Return on Capital Employed (ROCE) is a financial metric that measures the company's profitability and efficiency with respect to the capital employed. It is calculated by dividing earnings before interest and tax (EBIT) by the employed capital. A higher ROCE indicates that the company is effectively utilizing its capital to generate profits.

Year-to-Year Comparison

Analyzing Cummins's ROCE annually provides valuable insights into its efficiency in using its capital to generate profits. An increasing ROCE indicates improved profitability and operational efficiency, whereas a decrease might signal potential issues in capital utilization or business operations.

Impact on Investments

Cummins's ROCE is a critical factor for investors and analysts for evaluating the company’s efficiency and profitability. A higher ROCE can make the company an attractive investment, as it often signifies that the firm is generating adequate profits from its employed capital.

Interpreting ROCE Fluctuations

Changes in Cummins’s ROCE are attributed to variations in EBIT or the capital employed. These fluctuations offer insights into the company’s operational efficiency, financial performance, and strategic financial management, assisting investors in making informed investment decisions.

Frequently Asked Questions about Cummins stock

What is the ROCE (Return on Capital Employed) of Cummins this year?

The ROCE of Cummins is 0.36 undefined this year.

How has the ROCE (Return on Capital Employed) of Cummins developed compared to the previous year?

The ROCE of Cummins has increased by -4.66% decreased compared to the previous year.

What does a high ROCE (Return on Capital Employed) mean for investors of Cummins?

A high Return on Capital Employed (ROCE) indicates that Cummins has efficient capital utilization and is able to achieve a higher return on its invested capital. This can be appealing to investors.

What does a low ROCE (Return on Capital Employed) mean for investors of Cummins?

A low ROCE (Return on Capital Employed) can indicate that Cummins has an inefficient utilization of its capital and may have difficulty in achieving a satisfactory return on its invested capital. This can be uncertain or unattractive for investors.

How does an increase in ROCE from Cummins impact the company?

An increase in the ROCE of Cummins can be an indicator of improved company efficiency and show that it is achieving higher profits in relation to its investments.

How does a reduction in the ROCE of Cummins affect the company?

A decrease in ROCE of Cummins can be an indicator of deteriorated efficiency of the company, indicating that it is generating lower profits in relation to its investments.

What are some factors that can influence the ROCE of Cummins?

Some factors that can affect Cummins's ROCE include efficiency in managing assets, profitability of investments, cost efficiency, and market conditions.

Why is the ROCE of Cummins so important for investors?

The ROCE of Cummins is important for investors as it is an indicator of the company's efficiency and shows how successful the company is in relation to its investments. A high ROCE can indicate strong financial performance of the company.

What strategic measures can Cummins take to improve the ROCE?

To improve the ROCE, Cummins can take measures such as increasing efficiency in asset management, optimizing investments, cost savings, and exploring new revenue sources. It is important for the company to conduct a thorough review of its operations to determine the best strategic actions to improve the ROCE.

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.