WallStSmart

Cummins Inc (CMI)vsHerc Holdings Inc (HRI)

VS

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

Buy

59

out of 100

Grade: C

Growth: 6.7Profit: 6.5Value: 3.3Quality: 6.8
Piotroski: 6/9Altman Z: 2.91

HRI

Buy

55

out of 100

Grade: C-

Growth: 6.7Profit: 4.0Value: 5.7Quality: 4.3
Piotroski: 3/9Altman Z: 1.11
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CMISignificantly Overvalued (-61.7%)

Margin of Safety

-61.7%

Fair Value

$370.38

Current Price

$671.01

$300.63 premium

UndervaluedFair: $370.38Overvalued
HRISignificantly Overvalued (-15.7%)

Margin of Safety

-15.7%

Fair Value

$156.30

Current Price

$131.60

$24.70 premium

UndervaluedFair: $156.30Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CMI3 strengths · Avg: 8.7/10
Market CapQuality
$88.34B9/10

Large-cap with strong market position

Return on EquityProfitability
23.9%9/10

Every $100 of equity generates 24 in profit

EPS GrowthGrowth
41.4%8/10

Earnings expanding 41.4% YoY

HRI3 strengths · Avg: 9.3/10
PEG RatioValuation
0.0610/10

Growing faster than its price suggests

Revenue GrowthGrowth
32.3%10/10

Revenue surging 32.3% year-over-year

Price/BookValuation
2.2x8/10

Reasonable price relative to book value

Areas to Watch

CMI3 concerns · Avg: 4.0/10
PEG RatioValuation
1.764/10

Expensive relative to growth rate

P/E RatioValuation
31.1x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
1.1%4/10

1.1% revenue growth

HRI4 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Return on EquityProfitability
-0.3%2/10

ROE of -0.3% — below average capital efficiency

EPS GrowthGrowth
-79.0%2/10

Earnings declined 79.0%

Altman Z-ScoreHealth
1.112/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull 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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