Cummins Intrinsic Value
Cummins intrinsic value. Cummins (CUMMINSIND) median intrinsic value is ₹1876.95 from 10 valuation models (range ₹1451–₹7564), vs current price ₹4835.00 — -61.2% downside (Trading Above Calculated Value), margin of safety -100.0%. Read Cummins dividend policy for the complete payout history and dividend yield track record.
CUMMINSIND Valuation Methods Summary — DCF, Graham Number & P/E
Cummins intrinsic value across 10 models vs current price ₹4835.00 — upside/downside and value range per method. For current market price and key ratios, visit CUMMINSIND screener.
| Method | Type | Intrinsic Value | Range | Upside/Downside | Details |
|---|---|---|---|---|---|
| P/E Based Valuation | earnings | ₹1450.50 | ₹1160.40 - ₹1740.60 | -70.0% | EPS: ₹93.72, Sector P/E: 12x |
| Book Value Method | asset | ₹1540.91 | ₹1386.82 - ₹1695.00 | -68.1% | Book Value/Share: ₹1540.91, P/B: 1.0x |
| Revenue Multiple Method | revenue | ₹1876.95 | ₹1689.26 - ₹2064.65 | -61.2% | Revenue/Share: ₹2346.18, P/S: 0.8x |
| EBITDA Multiple Method | earnings | ₹3739.64 | ₹3365.68 - ₹4113.60 | -22.7% | EBITDA: ₹3428.00Cr, EV/EBITDA: 6x |
| Simple DCF (5Y) | dcf | ₹4282.45 | ₹3425.96 - ₹5138.94 | -11.4% | CF Growth: 15.0%, Discount: 15% |
| PEG Ratio Method | growth | ₹1450.50 | ₹1305.45 - ₹1595.55 | -70.0% | EPS Growth: 8.0%, Fair P/E: 6.4x |
| Growth Adjusted P/E | growth | ₹1450.50 | ₹1305.45 - ₹1595.55 | -70.0% | Revenue Growth: 6.0%, Adj P/E: 8.2x |
| ROE Based Valuation | profitability | ₹7563.64 | ₹6807.28 - ₹8320.00 | +56.4% | ROE: 30.7%, P/E Multiple: 16x |
| Graham Defensive Method | conservative | ₹1802.59 | ₹1622.33 - ₹1982.85 | -62.7% | EPS: ₹93.72, BVPS: ₹1540.91 |
| Dividend Yield Method | dividend | ₹1885.71 | ₹1697.14 - ₹2074.28 | -61.0% | DPS: ₹66.00, Target Yield: 3.5% |
CUMMINSIND Intrinsic Value vs Market Price — All Valuation Models
Cummins fair value range ₹1451–₹7564 vs current market price ₹4835.00 across 10 valuation models. Compare with CUMMINSIND fundamental valuation to assess whether the stock is under or overvalued.
CUMMINSIND Intrinsic Value Analysis — Undervalued or Overvalued?
Cummins median intrinsic value ₹1876.95, current price ₹4835.00 — Trading Above Calculated Value by 61.2%, margin of safety -100.0%.
What is the intrinsic value of CUMMINSIND?
Based on our comprehensive analysis using 10 different valuation methods, the estimated intrinsic value of Cummins (CUMMINSIND) is ₹1876.95 (median value). With the current market price of ₹4835.00, this represents a -61.2% variance from our estimated fair value.
The valuation range spans from ₹1450.50 to ₹7563.64, indicating ₹1450.50 - ₹7563.64.
Is CUMMINSIND undervalued or overvalued?
Based on our multi-method analysis, Cummins (CUMMINSIND) appears to be trading above calculated value by approximately 61.2%.
CUMMINSIND Financial Health — Key Ratios vs Industry Benchmarks
Cummins financial ratios — ROE, debt-to-equity, profit margins and liquidity vs industry benchmarks and their impact on intrinsic value.
| Financial Metric | Current Value | Industry Benchmark | Assessment | Impact on Valuation |
|---|---|---|---|---|
| Return on Equity | 30.7% | Industry Standard: 15%+ | Above 15% | Measures shareholder return efficiency |
| Operating Margin | 20.0% | Industry Standard: 20%+ | Above 20% | Indicates operational efficiency level |
| Asset Turnover Ratio | 1.14x | Industry Standard: 1.0x+ | Above 1.0x | Measures asset utilization efficiency |
CUMMINSIND Cash Flow Quality — Operating & Free Cash Flow
Cummins operating cash flow, free cash flow, quality rating and sustainability score by period — key inputs to DCF intrinsic value calculation.
| Period | Operating Cash Flow | Free Cash Flow | Cash Flow Quality | Sustainability Score |
|---|---|---|---|---|
| March 2026 | ₹1,734 Cr | ₹1,734 Cr | Positive Free Cash Flow | 8/10 |
| March 2025 | ₹1,683 Cr | ₹1,394 Cr | Positive Free Cash Flow | 8/10 |
| March 2024 | ₹1,285 Cr | ₹1,161 Cr | Positive Free Cash Flow | 8/10 |
| March 2023 | ₹820 Cr | ₹820 Cr | Positive Free Cash Flow | 8/10 |
| March 2022 | ₹712 Cr | ₹425 Cr | Positive Free Cash Flow | 8/10 |