Cummins Historical Valuation
CMI Stock | USD 375.27 2.65 0.71% |
Some fundamental drivers such as market cap or Cummins enterprice value can be analyzed from historical perspective to project value of the company into the future. Some investors analyze Cummins valuation indicators such as Working Capital of 0.0 or Enterprise Value of 31.3 B to time the market or to short-sell their positions based on the trend in valuation ratios. It is a perfect tool to project the direction of Cummins's future value.
Cummins |
About Cummins Valuation Data Analysis
Valuation is the financial process of determining what Cummins is worth. Cummins valuation ratios put that insight into the context of a company's share price, where they serve as useful tools for evaluating and utilizing investment potential. Cummins valuation ratios help investors to determine whether Cummins Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Cummins with respect to the benefits of owning Cummins security.
Cummins Valuation Data Chart
Working Capital
The difference between a company's current assets and current liabilities, indicating the liquidity and operational efficiency of the business.Enterprise Value
Enterprise Value (or EV) is usually referred to as Cummins theoretical takeover price. In the event of an acquisition, an acquirer would have to take on Cummins debt, but would also pocket its cash. Enterprise Value is more accurate representation of Cummins value than its market capitalization because it takes into account all of Cummins existing debt. A measure of a company's total value, often used as a more comprehensive alternative to equity market capitalization that includes the market capitalization, plus total debt, minority interest and preferred shares, minus total cash and cash equivalents.Currently Active Assets on Macroaxis
When determining whether Cummins offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Cummins' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Cummins Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Cummins Stock:Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Cummins. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in population. For more detail on how to invest in Cummins Stock please use our How to Invest in Cummins guide.You can also try the Global Markets Map module to get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes.
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 0.277 | Dividend Share 6.86 | Earnings Share 15.27 | Revenue Per Share 245.499 | Quarterly Revenue Growth 0.003 |
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.