CUMMINSIND.NS Cummins India Limited
INR·Price 5735.50·Mkt cap 1.59TComputed from the latest reported financials and the current market price.
Who's the real player?
A genuine play on this theme — most of its business sits right here.
Is the business healthy?
A mixed picture — real strengths, but soft spots in cash flow, returns or debt.
- High capital efficiency
- Strong growth quality
- Low accrual ratio
- Healthy interest coverage
Are the smart people buying?
No ownership-change data for this stock. Conviction is judged from capex and buyback signals alone.
- Promoter/insider ownership is high
- Institutional ownership is significant
- Capex growth signals belief in future
What is management saying?
No earnings-call transcript or filings found for this stock.
Is the price right?
Intrinsic value 1490.53 vs price 5735.50 — screens expensive on a cash-flow DCF (-74.0% to intrinsic). Base FCF growth of 15% is not believable for most companies over a long period, especially given a terminal growth rate of only 5%.
| Intrinsic / share | 1490.53 |
| Price | 5735.50 |
| Upside to intrinsic | -74.0% |
| Reverse-DCF implied g | 34.0% |
Base FCF 13.12B · growth 15.0% · discount 12.0% · terminal 5.0%.
Sensitivity — intrinsic value / share
Each cell is the intrinsic value at that growth (across →) and discount rate (down ↓). Center ★ is the base case. Cells green = above price (cheap), red = below (expensive).
| Growth rate → | |||||
|---|---|---|---|---|---|
| Disc ↓ ╲ g | 11% | 13% | 15% | 17% | 19% |
| 10% | 1602.54 | 1868.1 | 2176.48 | 2533.89 | 2947.34 |
| 11% | 1318.39 | 1529.88 | 1774.98 | 2058.55 | 2386.03 |
| 12% | 1116.52 | 1289.94 | ★ 1490.53 | 1722.17 | 1989.26 |
| 13% | 966 | 1111.31 | 1279.06 | 1472.44 | 1695.03 |
| 14% | 849.64 | 973.46 | 1116.13 | 1280.29 | 1468.94 |
Through the masters' eyes
Each investor's numeric rules, checked against this stock's metrics: exact math, no guesswork. Tap one to see which rules pass, fail, and what to judge yourself.
▶
Passes 2 of 2 of Peter Lynch's numeric checks. Still judge the non-numeric criteria below for yourself.
- Manageable debt (D/E ≤ 1.0) — now 0
- Solid liquidity (current ratio ≥ 1.5) — now 3.32
- A simple business you understand
- Which 'type' it is (fast grower, stalwart, cyclical…)
- A believable growth story
Couldn't check from available data: PEG ≤ 1 (growth cheap vs price) — not available; Earnings growth ≥ 15% — not available
▶
Passes 3 of 3 of Rakesh Jhunjhunwala's numeric checks. Still judge the non-numeric criteria below for yourself.
- ROE ≥ 18% — now 27.9%
- Net margin ≥ 10% — now 19.8%
- Conservative leverage (D/E ≤ 1.0) — now 0
- A large, scalable opportunity
- Trustworthy, ambitious management
- Conviction to hold through volatility
Couldn't check from available data: Earnings growth ≥ 15% — not available
▶
Passes 4 of 4 of Radhakishan Damani's numeric checks. Still judge the non-numeric criteria below for yourself.
- High returns on capital (ROCE ≥ 18%) — now 27%
- Very low debt (D/E ≤ 0.5) — now 0
- Consistent revenue (consistency ≥ 80%) — now 99.3%
- Positive net margin — now 19.8%
- A durable consumer franchise
- Pricing power
- A long runway, bought patiently
▶
Passes 2 of 2 of Raamdeo Agrawal's numeric checks. Still judge the non-numeric criteria below for yourself.
- Quality: ROCE ≥ 18% — now 27%
- Longevity: revenue consistency ≥ 70% — now 99.3%
- Durability of the growth (longevity)
- Quality and honesty of management
Couldn't check from available data: Growth: earnings CAGR ≥ 15% — not available; Price: PEG ≤ 2 — not available
▶
Passes 2 of 2 of Vijay Kedia's numeric checks. Still judge the non-numeric criteria below for yourself.
- ROE ≥ 15% — now 27.9%
- Manageable debt (D/E ≤ 1.0) — now 0
- Ambitious, capable management
- A small company with a large opportunity
- Patience to hold for years
Couldn't check from available data: Strong earnings growth ≥ 20% — not available
▶
Passes 4 of 5 of Warren Buffett's numeric checks. Still judge the non-numeric criteria below for yourself.
- ROE ≥ 15% — now 27.9%
- Net margin ≥ 10% — now 19.8%
- Positive free cash flow — now 12.4%
- Conservative leverage (D/E ≤ 1.0) — now 0
- Trades below intrinsic value (margin of safety ≥ 0) — now -284.8%
- A business you can understand
- A durable competitive moat
- Honest, capable management
▶
Passes 3 of 4 of Charlie Munger's numeric checks. Still judge the non-numeric criteria below for yourself.
- High returns on capital (ROCE ≥ 15%) — now 27%
- ROE ≥ 15% — now 27.9%
- Conservative leverage (D/E ≤ 1.0) — now 0
- Trades below intrinsic value (margin of safety ≥ 0) — now -284.8%
- A high-quality, understandable business
- A durable moat
- Management of integrity
▶
Passes 3 of 6 of Benjamin Graham's numeric checks. Still judge the non-numeric criteria below for yourself.
- Strong liquidity (current ratio ≥ 1.5) — now 3.32
- Debt below equity (D/E ≤ 1.0) — now 0
- Financially safe (Altman Z ≥ 3) — now 41.78
- P/E ≤ 15 — now 67.06
- P/B ≤ 1.5 — now 18.69
- Graham number: P/E × P/B ≤ 22.5 — now 1253.4
- A long record of stable earnings
- An uninterrupted dividend history
Financial statements (INR)
↗ sourceCash-flow lines highlighted — we trust cash over reported profit.
| Line | 2026 | 2025 | 2024 | 2023 | 2022 |
|---|---|---|---|---|---|
| Revenue | 119.50B | 102.19B | 88.60B | 76.41B | — |
| Operating income | 23.96B | 18.95B | 16.11B | 11.07B | — |
| EBITDA | 32.97B | 27.94B | 23.91B | 17.50B | — |
| Net income | 23.62B | 20.00B | 17.21B | 12.28B | — |
| Operating cash flow | 17.34B | 16.83B | 12.85B | 8.20B | — |
| Capex | -2.52B | -2.26B | -2.88B | -1.62B | — |
| Free cash flow | 14.83B | 14.57B | 9.97B | 6.58B | — |
| Total assets | 113.04B | 101.68B | 89.71B | 79.19B | — |
| Total equity | 84.75B | 75.61B | 66.12B | 57.58B | — |
| Total debt | 365.10M | 296.60M | 1.27B | 3.76B | — |
| Cash & equivalents | 5.00B | 2.35B | 3.00B | 3.97B | — |