Cummins Inc (CMI)vsHSBC Holdings PLC ADR (HSBC)
CMI
Cummins Inc
$679.55
-0.49%
INDUSTRIALS · Cap: $94.23B
HSBC
HSBC Holdings PLC ADR
$90.16
+1.34%
FINANCIAL SERVICES · Cap: $313.47B
Smart Verdict
WallStSmart Research — data-driven comparison
HSBC Holdings PLC ADR generates 88% more annual revenue ($63.77B vs $33.89B). HSBC leads profitability with a 35.0% profit margin vs 7.9%. HSBC appears more attractively valued with a PEG of 1.23. HSBC earns a higher WallStSmart Score of 61/100 (C+).
CMI
Hold47
out of 100
Grade: D+
HSBC
Buy61
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-58.4%
Fair Value
$378.02
Current Price
$679.55
$301.53 premium
Intrinsic value data unavailable for HSBC.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Every $100 of equity generates 22 in profit
Mega-cap, among the largest globally
Keeps 35 of every $100 in revenue as profit
Strong operational efficiency at 49.7%
Attractively priced relative to earnings
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
2.7% revenue growth
7.9% margin — thin
3.3% revenue growth
2.6% earnings growth
Distress zone — elevated risk
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : CMI
The strongest argument for CMI centers on Market Cap, Return on Equity.
Bull Case : HSBC
The strongest argument for HSBC centers on Market Cap, Profit Margin, Operating Margin. Profitability is solid with margins at 35.0% and operating margin at 49.7%. PEG of 1.23 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 : HSBC
The primary concerns for HSBC are Revenue Growth, EPS Growth, Altman Z-Score. Debt-to-equity of 2.79 is elevated, increasing financial risk.
Key Dynamics to Monitor
CMI carries more volatility with a beta of 1.27 — expect wider price swings.
HSBC is growing revenue faster at 3.3% — sustainability is the question.
Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.
Bottom Line
HSBC scores higher overall (61/100 vs 47/100), backed by strong 35.0% margins. Both earn "Buy" and "Hold" 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.
HSBC Holdings PLC ADR
FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA
HSBC Holdings plc offers banking and financial products and services globally. The company is headquartered in London, the United Kingdom.
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