Cummins Inc (CMI)vsRegal Beloit Corporation (RRX)
CMI
Cummins Inc
$553.36
-0.25%
INDUSTRIALS · Cap: $76.65B
RRX
Regal Beloit Corporation
$195.13
+2.98%
INDUSTRIALS · Cap: $12.61B
Smart Verdict
WallStSmart Research — data-driven comparison
Cummins Inc generates 467% more annual revenue ($33.67B vs $5.93B). CMI leads profitability with a 8.4% profit margin vs 4.7%. CMI appears more attractively valued with a PEG of 1.47. CMI earns a higher WallStSmart Score of 61/100 (C+).
CMI
Buy61
out of 100
Grade: C+
RRX
Buy57
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+37.7%
Fair Value
$960.80
Current Price
$553.36
$407.44 discount
Margin of Safety
-13.7%
Fair Value
$197.03
Current Price
$195.13
$1.90 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
Earnings expanding 54.7% YoY
Reasonable price relative to book value
Areas to Watch
Moderate valuation
1.1% revenue growth
Expensive relative to growth rate
4.3% revenue growth
Distress zone — elevated risk
ROE of 4.3% — below average capital efficiency
Comparative Analysis Report
WallStSmart ResearchBull Case : CMI
The strongest argument for CMI centers on Market Cap, Return on Equity, EPS Growth. PEG of 1.47 suggests the stock is reasonably priced for its growth.
Bull Case : RRX
The strongest argument for RRX centers on EPS Growth, Price/Book.
Bear Case : CMI
The primary concerns for CMI are P/E Ratio, Revenue Growth.
Bear Case : RRX
The primary concerns for RRX are PEG Ratio, Revenue Growth, Altman Z-Score. A P/E of 45.0x leaves little room for execution misses. Thin 4.7% margins leave little buffer for downturns.
Key Dynamics to Monitor
CMI carries more volatility with a beta of 1.13 — expect wider price swings.
RRX is growing revenue faster at 4.3% — sustainability is the question.
CMI generates stronger free cash flow (990M), providing more financial flexibility.
Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.
Bottom Line
CMI scores higher overall (61/100 vs 57/100). 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.
Regal Beloit Corporation
INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA
Regal Beloit Corporation designs, manufactures and sells electric motors, electric motion controls, and power generation and transmission products worldwide. The company is headquartered in Beloit, Wisconsin.
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