Cummins Inc (CMI)vsUniversal Health Services Inc (UHS)
CMI
Cummins Inc
$553.36
-0.25%
INDUSTRIALS · Cap: $76.65B
UHS
Universal Health Services Inc
$186.72
+0.43%
HEALTHCARE · Cap: $11.41B
Smart Verdict
WallStSmart Research — data-driven comparison
Cummins Inc generates 94% more annual revenue ($33.67B vs $17.36B). UHS leads profitability with a 8.6% profit margin vs 8.4%. UHS appears more attractively valued with a PEG of 1.29. UHS earns a higher WallStSmart Score of 76/100 (B+).
CMI
Buy61
out of 100
Grade: C+
UHS
Strong Buy76
out of 100
Grade: B+
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
+78.6%
Fair Value
$1081.08
Current Price
$186.72
$894.36 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
Attractively priced relative to earnings
Every $100 of equity generates 21 in profit
Reasonable price relative to book value
Earnings expanding 42.7% YoY
Areas to Watch
Moderate valuation
1.1% revenue growth
No major concerns identified
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 : UHS
The strongest argument for UHS centers on P/E Ratio, Return on Equity, Price/Book. PEG of 1.29 suggests the stock is reasonably priced for its growth.
Bear Case : CMI
The primary concerns for CMI are P/E Ratio, Revenue Growth.
Bear Case : UHS
No major red flags identified for UHS, but monitor valuation.
Key Dynamics to Monitor
UHS carries more volatility with a beta of 1.26 — expect wider price swings.
UHS is growing revenue faster at 9.1% — 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
UHS scores higher overall (76/100 vs 61/100). CMI offers better value entry with a 37.7% margin of safety. Both earn "Strong 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.
Universal Health Services Inc
HEALTHCARE · MEDICAL CARE FACILITIES · USA
UnitedHealth Group Incorporated is an American for-profit multinational managed healthcare and insurance company based in Minnetonka, Minnesota. It offers health care products and insurance services.
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