Cummins Inc (CMI)vsHerc Holdings Inc (HRI)
CMI
Cummins Inc
$671.01
+5.02%
INDUSTRIALS · Cap: $88.34B
HRI
Herc Holdings Inc
$131.60
-1.76%
INDUSTRIALS · Cap: $4.39B
Smart Verdict
WallStSmart Research — data-driven comparison
Cummins Inc generates 623% more annual revenue ($33.67B vs $4.65B). CMI leads profitability with a 8.4% profit margin vs -0.1%. HRI appears more attractively valued with a PEG of 0.06. CMI earns a higher WallStSmart Score of 59/100 (C).
CMI
Buy59
out of 100
Grade: C
HRI
Buy55
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-61.7%
Fair Value
$370.38
Current Price
$671.01
$300.63 premium
Margin of Safety
-15.7%
Fair Value
$156.30
Current Price
$131.60
$24.70 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Every $100 of equity generates 24 in profit
Earnings expanding 41.4% YoY
Growing faster than its price suggests
Revenue surging 32.3% year-over-year
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
1.1% revenue growth
Weak financial health signals
ROE of -0.3% — below average capital efficiency
Earnings declined 79.0%
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : CMI
The strongest argument for CMI centers on Market Cap, Return on Equity, EPS Growth.
Bull Case : HRI
The strongest argument for HRI centers on PEG Ratio, Revenue Growth, Price/Book. Revenue growth of 32.3% demonstrates continued momentum. PEG of 0.06 suggests the stock is reasonably priced for its growth.
Bear Case : CMI
The primary concerns for CMI are PEG Ratio, P/E Ratio, Revenue Growth.
Bear Case : HRI
The primary concerns for HRI are Piotroski F-Score, Return on Equity, EPS Growth.
Key Dynamics to Monitor
CMI profiles as a value stock while HRI is a hypergrowth play — different risk/reward profiles.
HRI carries more volatility with a beta of 1.82 — expect wider price swings.
HRI is growing revenue faster at 32.3% — sustainability is the question.
CMI generates stronger free cash flow (990M), providing more financial flexibility.
Bottom Line
CMI scores higher overall (59/100 vs 55/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Cummins Inc
INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA
Cummins is a Columbus, Indiana based multinational corporation that designs, manufactures, and distributes engines, filtration, and power generation products. Cummins also services engines and related equipment, including fuel systems, controls, air handling, filtration, emission control, electrical power generation systems, and trucks.
Herc Holdings Inc
INDUSTRIALS · RENTAL & LEASING SERVICES · USA
Herc Holdings Inc. is an equipment rental provider primarily in the United States and internationally. The company is headquartered in Bonita Springs, Florida.
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