WallStSmart

Cummins Inc (CMI)vsErayak Power Solution Group Inc. Class A Ordinary Shares (RAYA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Cummins Inc generates 124138% more annual revenue ($33.67B vs $27.10M). CMI leads profitability with a 8.4% profit margin vs -2.1%. RAYA trades at a lower P/E of 0.1x. 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

RAYA

Avoid

29

out of 100

Grade: F

Growth: 4.0Profit: 2.0Value: 6.7Quality: 7.0
Piotroski: 3/9Altman Z: 2.11
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

Intrinsic value data unavailable for RAYA.

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

RAYA2 strengths · Avg: 10.0/10
P/E RatioValuation
0.1x10/10

Attractively priced relative to earnings

Price/BookValuation
0.0x10/10

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

RAYA4 concerns · Avg: 2.5/10
Market CapQuality
$3.51M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Return on EquityProfitability
-2.2%2/10

ROE of -2.2% — below average capital efficiency

Revenue GrowthGrowth
-26.8%2/10

Revenue declined 26.8%

Comparative Analysis Report

WallStSmart Research

Bull Case : CMI

The strongest argument for CMI centers on Market Cap, Return on Equity, EPS Growth.

Bull Case : RAYA

The strongest argument for RAYA centers on P/E Ratio, Price/Book.

Bear Case : CMI

The primary concerns for CMI are PEG Ratio, P/E Ratio, Revenue Growth.

Bear Case : RAYA

The primary concerns for RAYA are Market Cap, Piotroski F-Score, Return on Equity.

Key Dynamics to Monitor

CMI profiles as a value stock while RAYA is a turnaround play — different risk/reward profiles.

RAYA carries more volatility with a beta of 1.25 — expect wider price swings.

CMI is growing revenue faster at 1.1% — sustainability is the question.

CMI generates stronger free cash flow (990M), providing more financial flexibility.

Bottom Line

CMI scores higher overall (59/100 vs 29/100). Both earn "Buy" and "Avoid" 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.

Erayak Power Solution Group Inc. Class A Ordinary Shares

INDUSTRIALS · ELECTRICAL EQUIPMENT & PARTS · USA

Erayak Power Solution Group Inc., engages in the research and development, manufacture, and wholesale and retail of power solution products.

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