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Cummins (CMI) Dips More Than Broader Markets: What You Should Know
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In the latest trading session, Cummins (CMI - Free Report) closed at $246.26, marking a -0.65% move from the previous day. This move lagged the S&P 500's daily loss of 0.02%. Meanwhile, the Dow gained 0.03%, and the Nasdaq, a tech-heavy index, added 5.44%.
Heading into today, shares of the engine maker had gained 1.54% over the past month, lagging the Auto-Tires-Trucks sector's gain of 8.38% and the S&P 500's gain of 4.57% in that time.
Cummins will be looking to display strength as it nears its next earnings release, which is expected to be February 6, 2023. The company is expected to report EPS of $4.83, up 69.47% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $7.36 billion, up 25.82% from the year-ago period.
Any recent changes to analyst estimates for Cummins should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.96% lower. Cummins is holding a Zacks Rank of #4 (Sell) right now.
Investors should also note Cummins's current valuation metrics, including its Forward P/E ratio of 12.19. Its industry sports an average Forward P/E of 13.57, so we one might conclude that Cummins is trading at a discount comparatively.
We can also see that CMI currently has a PEG ratio of 1.34. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Automotive - Internal Combustion Engines stocks are, on average, holding a PEG ratio of 1.34 based on yesterday's closing prices.
The Automotive - Internal Combustion Engines industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 226, which puts it in the bottom 11% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Cummins (CMI) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Cummins (CMI - Free Report) closed at $246.26, marking a -0.65% move from the previous day. This move lagged the S&P 500's daily loss of 0.02%. Meanwhile, the Dow gained 0.03%, and the Nasdaq, a tech-heavy index, added 5.44%.
Heading into today, shares of the engine maker had gained 1.54% over the past month, lagging the Auto-Tires-Trucks sector's gain of 8.38% and the S&P 500's gain of 4.57% in that time.
Cummins will be looking to display strength as it nears its next earnings release, which is expected to be February 6, 2023. The company is expected to report EPS of $4.83, up 69.47% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $7.36 billion, up 25.82% from the year-ago period.
Any recent changes to analyst estimates for Cummins should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.96% lower. Cummins is holding a Zacks Rank of #4 (Sell) right now.
Investors should also note Cummins's current valuation metrics, including its Forward P/E ratio of 12.19. Its industry sports an average Forward P/E of 13.57, so we one might conclude that Cummins is trading at a discount comparatively.
We can also see that CMI currently has a PEG ratio of 1.34. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Automotive - Internal Combustion Engines stocks are, on average, holding a PEG ratio of 1.34 based on yesterday's closing prices.
The Automotive - Internal Combustion Engines industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 226, which puts it in the bottom 11% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.