Cummins Inc (CMI)vsResources Connection Inc (RGP)
CMI
Cummins Inc
$671.01
+5.02%
INDUSTRIALS · Cap: $88.34B
RGP
Resources Connection Inc
$4.24
+3.67%
INDUSTRIALS · Cap: $141.09M
Smart Verdict
WallStSmart Research — data-driven comparison
Cummins Inc generates 6839% more annual revenue ($33.67B vs $485.23M). CMI leads profitability with a 8.4% profit margin vs -20.2%. RGP appears more attractively valued with a PEG of 0.80. CMI earns a higher WallStSmart Score of 59/100 (C).
CMI
Buy59
out of 100
Grade: C
RGP
Hold45
out of 100
Grade: D
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
+88.6%
Fair Value
$34.63
Current Price
$4.24
$30.39 discount
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
Reasonable price relative to book value
Growing faster than its price suggests
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
1.1% revenue growth
Smaller company, higher risk/reward
ROE of -42.1% — below average capital efficiency
Revenue declined 16.6%
Earnings declined 10.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : CMI
The strongest argument for CMI centers on Market Cap, Return on Equity, EPS Growth.
Bull Case : RGP
The strongest argument for RGP centers on Price/Book, PEG Ratio. PEG of 0.80 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 : RGP
The primary concerns for RGP are Market Cap, Return on Equity, Revenue Growth.
Key Dynamics to Monitor
CMI profiles as a value stock while RGP is a turnaround play — different risk/reward profiles.
CMI carries more volatility with a beta of 1.14 — 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 45/100). RGP offers better value entry with a 88.6% margin of safety. 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.
Resources Connection Inc
INDUSTRIALS · CONSULTING SERVICES · USA
Resources Connection, Inc. provides consulting services to business clients under the name Resources Global Professionals in North America, Europe and Asia Pacific. The company is headquartered in Irvine, California.
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