Cummins India Limited designs, manufactures, distributes, and services engines, generator sets, and related technologies in India.
Price History & Performance
|Historical stock prices|
|Current Share Price||₹910.15|
|52 Week High||₹429.00|
|52 Week Low||₹1,065.00|
|1 Month Change||-9.62%|
|3 Month Change||6.57%|
|1 Year Change||93.38%|
|3 Year Change||31.35%|
|5 Year Change||6.71%|
|Change since IPO||1,533.60%|
Recent News & Updates
|500480||IN Machinery||IN Market|
Return vs Industry: 500480 matched the Indian Machinery industry which returned 92.7% over the past year.
Return vs Market: 500480 exceeded the Indian Market which returned 68.3% over the past year.
Stable Share Price: 500480 is less volatile than 75% of Indian stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: 500480's weekly volatility (5%) has been stable over the past year.
About the Company
Cummins India Limited designs, manufactures, distributes, and services engines, generator sets, and related technologies in India. The company operates through three business units: Engine Business, Power Systems Business, and Distribution Business. The Engine Business manufactures and markets diesel and natural gas engines ranging from 50 HP to 600 HP for low, medium, and heavy-duty on-highway commercial vehicle markets, as well as off-highway commercial equipment industry comprising construction and compressor.
Cummins India Fundamentals Summary
|500480 fundamental statistics|
Is 500480 overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|500480 income statement (TTM)|
|Cost of Revenue||₹32.83b|
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
Oct 27, 2021
|Earnings per share (EPS)||29.90|
|Net Profit Margin||16.41%|
How did 500480 perform over the long term?See historical performance and comparison
1.8%Current Dividend Yield
Is Cummins India undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: 500480 (₹910.15) is trading above our estimate of fair value (₹700.74)
Significantly Below Fair Value: 500480 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: 500480 is poor value based on its PE Ratio (30.4x) compared to the Indian Machinery industry average (23.5x).
PE vs Market: 500480 is poor value based on its PE Ratio (30.4x) compared to the Indian market (22.2x).
Price to Earnings Growth Ratio
PEG Ratio: 500480 is poor value based on its PEG Ratio (3.5x)
Price to Book Ratio
PB vs Industry: 500480 is overvalued based on its PB Ratio (5.4x) compared to the IN Machinery industry average (1.9x).
How is Cummins India forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 500480's forecast earnings growth (8.8% per year) is above the savings rate (6.7%).
Earnings vs Market: 500480's earnings (8.8% per year) are forecast to grow slower than the Indian market (19.2% per year).
High Growth Earnings: 500480's earnings are forecast to grow, but not significantly.
Revenue vs Market: 500480's revenue (10.6% per year) is forecast to grow slower than the Indian market (12.9% per year).
High Growth Revenue: 500480's revenue (10.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 500480's Return on Equity is forecast to be low in 3 years time (18.2%).
How has Cummins India performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 500480 has high quality earnings.
Growing Profit Margin: 500480's current net profit margins (16.4%) are higher than last year (14%).
Past Earnings Growth Analysis
Earnings Trend: 500480's earnings have declined by 2% per year over the past 5 years.
Accelerating Growth: 500480's earnings growth over the past year (36.8%) exceeds its 5-year average (-2% per year).
Earnings vs Industry: 500480 earnings growth over the past year (36.8%) underperformed the Machinery industry 74.7%.
Return on Equity
High ROE: 500480's Return on Equity (17.8%) is considered low.
How is Cummins India's financial position?
Financial Position Analysis
Short Term Liabilities: 500480's short term assets (₹32.6B) exceed its short term liabilities (₹11.1B).
Long Term Liabilities: 500480's short term assets (₹32.6B) exceed its long term liabilities (₹2.0B).
Debt to Equity History and Analysis
Debt Level: 500480's debt to equity ratio (0.9%) is considered satisfactory.
Reducing Debt: 500480's debt to equity ratio has reduced from 1.8% to 0.9% over the past 5 years.
Debt Coverage: 500480's debt is well covered by operating cash flow (1986.1%).
Interest Coverage: 500480 earns more interest than it pays, so coverage of interest payments is not a concern.
What is Cummins India current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 500480's dividend (1.76%) is higher than the bottom 25% of dividend payers in the Indian market (0.33%).
High Dividend: 500480's dividend (1.76%) is in the top 25% of dividend payers in the Indian market (1.35%)
Stability and Growth of Payments
Stable Dividend: 500480's dividend payments have been volatile in the past 10 years.
Growing Dividend: 500480's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (50.1%), 500480's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: 500480's dividends in 3 years are forecast to be covered by earnings (66.4% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Ashwath Ram (50 yo)
Mr. Ashwath Ram has been Managing Director of Cummins India Limited since August 17, 2019 and has been its Executive Director since 2019. He is Managing Director at Tata Cummins Private Limited. Mr. Ram se...
CEO Compensation Analysis
Compensation vs Market: Ashwath's total compensation ($USD321.03K) is below average for companies of similar size in the Indian market ($USD580.85K).
Compensation vs Earnings: Ashwath's compensation has been consistent with company performance over the past year.
Experienced Management: 500480's management team is not considered experienced ( 1.5 years average tenure), which suggests a new team.
Experienced Board: 500480's board of directors are considered experienced (4 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Cummins India Limited's employee growth, exchange listings and data sources
- Name: Cummins India Limited
- Ticker: 500480
- Exchange: BSE
- Founded: 1962
- Industry: Construction Machinery and Heavy Trucks
- Sector: Capital Goods
- Market Cap: ₹252.294b
- Shares outstanding: 277.20m
- Website: https://www.cummins.com/en/in/company/cummins-india?locset=IN
Number of Employees
- Cummins India Limited
- Cummins India Office Campus
- Tower A, 5th Floor
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/10/18 15:11|
|End of Day Share Price||2021/10/18 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.