$349.84
Above FV▼ -37.2% against the close used
Model range $158.88 – $493.46
The lowest and highest of the models that produced a value. This is the spread of the methods, not a price target.
Bear$158.88Fair value$349.84Bull$493.46
FairClose
52-week traded range
52W low $407.9852W high $727.59
The 52-week range is measured from the stored price history, not estimated.
Trading above the consensus fair value
Cummins closed at $556.75, 59.1% above the consensus fair value of $349.84 drawn from 9 valuation models.
Financial DNA score 57/100 — Good. P/E of 27.2x against the 20x sector multiple the P/E model uses.
Quantitative summary only — not investment advice.
DCF Valuation
$305.61
-45.1%
Σ[CF×(1+g)^n/(1.10)^n] + TV/(1.10)^10
g=7.8%, r=10%, tg=3%, n=10yr
Graham Number
$206.88
-62.8%
√(22.5 × EPS × BVPS)
EPS=20.5, BVPS=92.79 · outside Graham range (P/E 27.2, P/B 6) — asset-light, treat as a rough floor
P/E Fair Value
$410.00
-26.4%
EPS × 20x (sector P/E)
EPS=20.5, Sector P/E=20x
Peter Lynch (PEG)
$158.88
-71.5%
EPS × Growth% (PEG = 1 is fair)
EPS=20.5, g=7.8%
EV/EBITDA
$493.46
-11.4%
(EBITDA × 13.9x − Net Debt) ÷ Shares
EBITDA=5.13B
Dividend Discount (DDM)
$365.27
-34.4%
D1 ÷ (r − g) where D1 = D0×(1+g)
D0=7.63, r=10%, g=7.8%
Book Value (P/B)
$394.83
-29.1%
BVPS × (ROE−g)÷(r−g) [Justified P/B — RIM-based]
BVPS=92.79, ROE=23%, g=6%, r=10%
Reverse DCF
$556.75
+0.0%
Solve for g: Price = Σ[EPS×(1+g)^n/(1.10)^n] + TV
Implied: 11.3% | Historical: 7.8%
Margin of Safety
$230.62
-58.6%
Avg(DCF, Graham, P/E) × 75% (25% safety buffer)
Avg fair value=307.5, MoS=25%
Computed on September 12, 2026 from the most recent annual report on file and that day's closing price. Where a company has seen its earnings move sharply since its last annual report, this figure will lag the market.
Educational data only. Not a recommendation to buy, sell or hold any security.