Cummins Stock Forecast - Simple Exponential Smoothing
| CMI Stock | USD 571.78 0.00 0.00% |
Cummins Stock outlook is based on your current time horizon. We recommend always using this module together with an analysis of Cummins' historical fundamentals, such as revenue growth or operating cash flow patterns.
The relative strength index (RSI) of Cummins' stock price is under 65 suggesting that the stock is rather overbought by investors as of 26th of January 2026. The main point of the Relative Strength Index (RSI) is to track how fast people are buying or selling Cummins, making its price go up or down. Momentum 65
Buy Extended
Oversold | Overbought |
Quarterly Earnings Growth (0.34) | EPS Estimate Next Quarter 4.6948 | EPS Estimate Current Year 21.968 | EPS Estimate Next Year 25.8889 | Wall Street Target Price 558.0455 |
Using Cummins hype-based prediction, you can estimate the value of Cummins from the perspective of Cummins response to recently generated media hype and the effects of current headlines on its competitors. We also analyze overall investor sentiment towards Cummins using Cummins' stock options and short interest. It helps to benchmark the overall future attitude of investors towards Cummins using crowd psychology based on the activity and movement of Cummins' stock price.
Cummins Short Interest
A significant increase or decrease in Cummins' short interest from the previous month could be a good indicator of investor sentiment towards Cummins. Short interest can provide insight into the potential direction of Cummins stock and how bullish or bearish investors feel about the market overall.
200 Day MA 402.7423 | Short Percent 0.0135 | Short Ratio 1.98 | Shares Short Prior Month 1.9 M | 50 Day MA 516.4304 |
Cummins Relative Strength Index
The Simple Exponential Smoothing forecasted value of Cummins on the next trading day is expected to be 571.78 with a mean absolute deviation of 7.01 and the sum of the absolute errors of 420.86.Cummins Hype to Price Pattern
Investor biases related to Cummins' public news can be used to forecast risks associated with an investment in Cummins. The trend in average sentiment can be used to explain how an investor holding Cummins can time the market purely based on public headlines and social activities around Cummins. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Some investors profit by finding stocks that are overvalued or undervalued based on market sentiment. The correlation of Cummins' market sentiment to its price can help taders to make decisions based on the overall investors consensus about Cummins.
Cummins Implied Volatility | 0.34 |
Cummins' implied volatility exposes the market's sentiment of Cummins stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Cummins' implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Cummins stock will not fluctuate a lot when Cummins' options are near their expiration.
The Simple Exponential Smoothing forecasted value of Cummins on the next trading day is expected to be 571.78 with a mean absolute deviation of 7.01 and the sum of the absolute errors of 420.86. Cummins after-hype prediction price | USD 569.44 |
There is no one specific way to measure market sentiment using hype analysis or a similar predictive technique. This prediction method should be used in combination with more fundamental and traditional techniques such as stock price forecasting, technical analysis, analysts consensus, earnings estimates, and various momentum models.
Check out Historical Fundamental Analysis of Cummins to cross-verify your projections. Prediction based on Rule 16 of the current Cummins contract
Based on the Rule 16, the options market is currently suggesting that Cummins will have an average daily up or down price movement of about 0.0213% per day over the life of the 2026-04-17 option contract. With Cummins trading at USD 571.78, that is roughly USD 0.12 . If you think that the market is fully incorporating Cummins' daily price movement you should consider acquiring Cummins options at the current volatility level of 0.34%. But if you have an opposite viewpoint you should avoid it and even consider selling them.
Open Interest Against 2026-04-17 Cummins Option Contracts
Although open interest is a measure utilized in the options markets, it could be used to forecast Cummins' spot prices because the number of available contracts in the market changes daily, and new contracts can be created or liquidated at will. Since open interest in Cummins' options reflects these daily shifts, investors could use the patterns of these changes to develop long and short-term trading strategies for Cummins stock based on available contracts left at the end of a trading day.
Please note that to derive more accurate forecasting about market movement from the current Cummins' open interest, investors have to compare it to Cummins' spot prices. As Ford's stock price increases, high open interest indicates that money is entering the market, and the market is strongly bullish. Conversely, if the price of Cummins is decreasing and there is high open interest, that is a sign that the bearish trend will continue, and investors may react by taking short positions in Cummins. So, decreasing or low open interest during a bull market indicates that investors are becoming uncertain of the depth of the bullish trend, and a reversal in sentiment will likely follow.
Cummins Additional Predictive Modules
Most predictive techniques to examine Cummins price help traders to determine how to time the market. We provide a combination of tools to recognize potential entry and exit points for Cummins using various technical indicators. When you analyze Cummins charts, please remember that the event formation may indicate an entry point for a short seller, and look at other indicators across different periods to confirm that a breakdown or reversion is likely to occur.| Cycle Indicators | ||
| Math Operators | ||
| Math Transform | ||
| Momentum Indicators | ||
| Overlap Studies | ||
| Pattern Recognition | ||
| Price Transform | ||
| Statistic Functions | ||
| Volatility Indicators | ||
| Volume Indicators |
Cummins Simple Exponential Smoothing Price Forecast For the 27th of January
Given 90 days horizon, the Simple Exponential Smoothing forecasted value of Cummins on the next trading day is expected to be 571.78 with a mean absolute deviation of 7.01, mean absolute percentage error of 79.36, and the sum of the absolute errors of 420.86.Please note that although there have been many attempts to predict Cummins Stock prices using its time series forecasting, we generally do not recommend using it to place bets in the real market. The most commonly used models for forecasting predictions are the autoregressive models, which specify that Cummins' next future price depends linearly on its previous prices and some stochastic term (i.e., imperfectly predictable multiplier).
Cummins Stock Forecast Pattern
| Backtest Cummins | Cummins Price Prediction | Buy or Sell Advice |
Cummins Forecasted Value
In the context of forecasting Cummins' Stock value on the next trading day, we examine the predictive performance of the model to find good statistically significant boundaries of downside and upside scenarios. Cummins' downside and upside margins for the forecasting period are 569.89 and 573.67, respectively. We have considered Cummins' daily market price to evaluate the above model's predictive performance. Remember, however, there is no scientific proof or empirical evidence that traditional linear or nonlinear forecasting models outperform artificial intelligence and frequency domain models to provide accurate forecasts consistently.
Model Predictive Factors
The below table displays some essential indicators generated by the model showing the Simple Exponential Smoothing forecasting method's relative quality and the estimations of the prediction error of Cummins stock data series using in forecasting. Note that when a statistical model is used to represent Cummins stock, the representation will rarely be exact; so some information will be lost using the model to explain the process. AIC estimates the relative amount of information lost by a given model: the less information a model loses, the higher its quality.| AIC | Akaike Information Criteria | 120.6467 |
| Bias | Arithmetic mean of the errors | -2.207 |
| MAD | Mean absolute deviation | 7.0143 |
| MAPE | Mean absolute percentage error | 0.0139 |
| SAE | Sum of the absolute errors | 420.86 |
Predictive Modules for Cummins
There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Cummins. Regardless of method or technology, however, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.Cummins After-Hype Price Density Analysis
As far as predicting the price of Cummins at your current risk attitude, this probability distribution graph shows the chance that the prediction will fall between or within a specific range. We use this chart to confirm that your returns on investing in Cummins or, for that matter, your successful expectations of its future price, cannot be replicated consistently. Please note, a large amount of money has been lost over the years by many investors who confused the symmetrical distributions of Stock prices, such as prices of Cummins, with the unreliable approximations that try to describe financial returns.
Next price density |
| Expected price to next headline |
Cummins Estimiated After-Hype Price Volatility
In the context of predicting Cummins' stock value on the day after the next significant headline, we show statistically significant boundaries of downside and upside scenarios based on Cummins' historical news coverage. Cummins' after-hype downside and upside margins for the prediction period are 567.55 and 628.96, respectively. We have considered Cummins' daily market price in relation to the headlines to evaluate this method's predictive performance. Remember, however, there is no scientific proof or empirical evidence that news-based prediction models outperform traditional linear, nonlinear models or artificial intelligence models to provide accurate predictions consistently.
Current Value
Cummins is very steady at this time. Analysis and calculation of next after-hype price of Cummins is based on 3 months time horizon.
Cummins Stock Price Outlook Analysis
Have you ever been surprised when a price of a Company such as Cummins is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Cummins backward and forwards among themselves. Have you ever observed a lot of a particular company's price movement is driven by press releases or news about the company that has nothing to do with actual earnings? Usually, hype to individual companies acts as price momentum. If not enough favorable publicity is forthcoming, the Stock price eventually runs out of speed. So, the rule of thumb here is that as long as this news hype has nothing to do with immediate earnings, you should pay more attention to it. If you see this tendency with Cummins, there might be something going there, and it might present an excellent short sale opportunity.
| Expected Return | Period Volatility | Hype Elasticity | Related Elasticity | News Density | Related Density | Expected Hype |
0.55 | 1.89 | 2.34 | 1.62 | 7 Events / Month | 7 Events / Month | In about 7 days |
| Latest traded price | Expected after-news price | Potential return on next major news | Average after-hype volatility | |
571.78 | 569.44 | 0.41 |
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Cummins Hype Timeline
On the 26th of January Cummins is traded for 571.78. The entity has historical hype elasticity of -2.34, and average elasticity to hype of competition of 1.62. Cummins is expected to decline in value after the next headline, with the price expected to drop to 569.44. The average volatility of media hype impact on the company price is about 44.47%. The price depreciation on the next news is expected to be -0.41%, whereas the daily expected return is currently at 0.55%. The volatility of related hype on Cummins is about 64.31%, with the expected price after the next announcement by competition of 573.40. About 87.0% of the company shares are held by institutions such as insurance companies. The company has Price/Earnings To Growth (PEG) ratio of 2.37. Cummins recorded earning per share (EPS) of 19.27. The entity last dividend was issued on the 21st of November 2025. The firm had 2:1 split on the 3rd of January 2008. Considering the 90-day investment horizon the next expected press release will be in about 7 days. Check out Historical Fundamental Analysis of Cummins to cross-verify your projections.Cummins Related Hype Analysis
Having access to credible news sources related to Cummins' direct competition is more important than ever and may enhance your ability to predict Cummins' future price movements. Getting to know how Cummins' peers react to changing market sentiment, related social signals, and mainstream news is a great way to find investing opportunities and time the market. The summary table below summarizes the essential lagging indicators that can help you analyze how Cummins may potentially react to the hype associated with one of its peers.
| HypeElasticity | NewsDensity | SemiDeviation | InformationRatio | PotentialUpside | ValueAt Risk | MaximumDrawdown | |||
| ITW | Illinois Tool Works | 0.35 | 9 per month | 1.44 | (0.02) | 2.40 | (2.82) | 6.43 | |
| CNI | Canadian National Railway | 0.08 | 8 per month | 1.16 | 0.01 | 2.27 | (1.65) | 6.71 | |
| ROP | Roper Technologies | (4.01) | 9 per month | 0.00 | (0.31) | 1.54 | (2.35) | 7.40 | |
| FDX | FedEx | (4.82) | 8 per month | 0.69 | 0.21 | 2.58 | (1.59) | 7.76 | |
| NSC | Norfolk Southern | 0.05 | 9 per month | 0.00 | (0.08) | 1.98 | (1.66) | 5.69 | |
| AME | Ametek Inc | (0.31) | 9 per month | 0.65 | 0.13 | 2.39 | (1.39) | 9.36 | |
| URI | United Rentals | 40.47 | 9 per month | 0.00 | (0.09) | 3.90 | (3.19) | 7.99 | |
| PCAR | PACCAR Inc | (1.47) | 8 per month | 0.74 | 0.18 | 3.68 | (1.63) | 7.16 | |
| CP | Canadian Pacific Railway | (1.00) | 34 per month | 0.00 | (0.10) | 2.48 | (2.05) | 6.94 | |
| CSX | CSX Corporation | 0.05 | 27 per month | 1.24 | (0.06) | 1.98 | (2.05) | 5.63 |
Other Forecasting Options for Cummins
For every potential investor in Cummins, whether a beginner or expert, Cummins' price movement is the inherent factor that sparks whether it is viable to invest in it or hold it better. Cummins Stock price charts are filled with many 'noises.' These noises can hugely alter the decision one can make regarding investing in Cummins. Basic forecasting techniques help filter out the noise by identifying Cummins' price trends.Cummins Related Equities
One of the popular trading techniques among algorithmic traders is to use market-neutral strategies where every trade hedges away some risk. Because there are two separate transactions required, even if one position performs unexpectedly, the other equity can make up some of the losses. Below are some of the equities that can be combined with Cummins stock to make a market-neutral strategy. Peer analysis of Cummins could also be used in its relative valuation, which is a method of valuing Cummins by comparing valuation metrics with similar companies.
| Risk & Return | Correlation |
Cummins Market Strength Events
Market strength indicators help investors to evaluate how Cummins stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Cummins shares will generate the highest return on investment. By undertsting and applying Cummins stock market strength indicators, traders can identify Cummins entry and exit signals to maximize returns.
| Accumulation Distribution | 0.0229 | |||
| Rate Of Daily Change | 1.0 | |||
| Day Median Price | 577.4 | |||
| Day Typical Price | 575.53 | |||
| Market Facilitation Index | 13.36 | |||
| Price Action Indicator | (5.62) | |||
| Relative Strength Index | 65.28 |
Cummins Risk Indicators
The analysis of Cummins' basic risk indicators is one of the essential steps in accurately forecasting its future price. The process involves identifying the amount of risk involved in Cummins' investment and either accepting that risk or mitigating it. Along with some essential techniques for forecasting cummins stock prices, we also provide a set of basic risk indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.
| Mean Deviation | 1.48 | |||
| Semi Deviation | 1.16 | |||
| Standard Deviation | 1.9 | |||
| Variance | 3.61 | |||
| Downside Variance | 2.36 | |||
| Semi Variance | 1.34 | |||
| Expected Short fall | (1.75) |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential investments, we recommend comparing similar equities with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
Story Coverage note for Cummins
The number of cover stories for Cummins depends on current market conditions and Cummins' risk-adjusted performance over time. The coverage that generates the most noise at a given time depends on the prevailing investment theme that Cummins is classified under. However, while its typical story may have numerous social followers, the rapid visibility can also attract short-sellers, who usually are skeptical about Cummins' long-term prospects. So, having above-average coverage will typically attract above-average short interest, leading to significant price volatility.
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Cummins Short Properties
Cummins' future price predictability will typically decrease when Cummins' long traders begin to feel the short-sellers pressure to drive the price lower. The predictive aspect of Cummins often depends not only on the future outlook of the potential Cummins' investors but also on the ongoing dynamics between investors with different trading styles. Because the market risk indicators may have small false signals, it is better to identify suitable times to hedge a portfolio using different long/short signals. Cummins' indicators that are reflective of the short sentiment are summarized in the table below.
| Common Stock Shares Outstanding | 139.1 M | |
| Cash And Short Term Investments | 2.3 B |
Check out Historical Fundamental Analysis of Cummins to cross-verify your projections. For more detail on how to invest in Cummins Stock please use our How to Invest in Cummins guide.You can also try the Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
Is Construction Machinery & Heavy Transportation Equipment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Cummins. If investors know Cummins will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Cummins listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.34) | Dividend Share 7.46 | Earnings Share 19.27 | Revenue Per Share | Quarterly Revenue Growth (0.02) |
The market value of Cummins is measured differently than its book value, which is the value of Cummins that is recorded on the company's balance sheet. Investors also form their own opinion of Cummins' value that differs from its market value or its book value, called intrinsic value, which is Cummins' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Cummins' market value can be influenced by many factors that don't directly affect Cummins' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Cummins' value and its price as these two are different measures arrived at by different means. Investors typically determine if Cummins is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Cummins' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.