Cummins India (India) Buy Hold or Sell Recommendation
| CUMMINSIND | 3,002 140.10 4.90% |
Assuming the 90 days trading horizon and your above-average risk tolerance, our recommendation regarding Cummins India Limited is 'Strong Sell'. A buy or sell recommendation is an automated directive regarding whether to purchase or sell Cummins India Limited given historical horizon and risk tolerance. When we issue a 'buy' or 'sell' recommendation for Cummins India Limited, the advice is generated through an automated system that utilizes algorithms and statistical models.
Check out Cummins India Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note, we conduct extensive research on individual companies such as Cummins and provide practical buy, sell, or hold advice based on investors' constraints. Cummins India Limited. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in gross domestic product.
Cummins |
Execute Cummins India Buy or Sell Advice
The Cummins recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Cummins India Limited. Macroaxis does not own or have any residual interests in Cummins India Limited or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Cummins India's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Sell
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Very Small | Details | |
Economic Sensitivity | Moves indifferently to market moves | Details | |
Analyst Consensus | Not Available | Details | |
Reporting Quality (M-Score) | Inapplicable | Details |
Cummins India Trading Alerts and Improvement Suggestions
| Cummins India generated a negative expected return over the last 90 days | |
| Cummins India is unlikely to experience financial distress in the next 2 years | |
| About 51.0% of the company shares are held by company insiders | |
| Latest headline from news.google.com: Cummins India Limiteds largest shareholders are public companies with 51 percent ownership, institutions own 27 percent - Simply Wall St |
Cummins India Returns Distribution Density
The distribution of Cummins India's historical returns is an attempt to chart the uncertainty of Cummins India's future price movements. The chart of the probability distribution of Cummins India daily returns describes the distribution of returns around its average expected value. We use Cummins India Limited price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Cummins India returns is essential to provide solid investment advice for Cummins India.
| Mean Return | -0.24 | Value At Risk | -3.51 | Potential Upside | 3.99 | Standard Deviation | 2.31 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Cummins India historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Cummins India Cash Flow Accounts
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 (projected) | ||
| Change To Inventory | 127.5M | (1.7B) | (1.7B) | (459.9M) | (413.9M) | (434.6M) | |
| Change In Cash | (598.7M) | 558.3M | 2.2B | (968M) | (1.1B) | (1.1B) | |
| Free Cash Flow | 6.7B | 5.6B | 6.6B | 10.0B | 11.5B | 12.0B | |
| Depreciation | 1.3B | 1.4B | 1.4B | 1.6B | 1.8B | 1.9B | |
| Other Non Cash Items | (2.6B) | (5.6B) | (6.6B) | (4.2B) | (3.8B) | (3.6B) | |
| Dividends Paid | 3.9B | 4.4B | 6.2B | (8.6B) | (9.9B) | (9.4B) | |
| Capital Expenditures | 1.2B | 1.5B | 1.6B | 2.9B | 3.3B | 2.2B | |
| Net Income | 8.3B | 12.1B | 15.9B | 17.2B | 19.8B | 20.8B | |
| End Period Cash Flow | 1.2B | 1.8B | 4.0B | 3.0B | 3.4B | 3.6B | |
| Investments | (75.1M) | (7.6B) | 691.5M | (2.7B) | (2.4B) | (2.3B) | |
| Net Borrowings | 557.5M | 1.7B | (4.7B) | 3.7B | 4.2B | 4.5B | |
| Change To Netincome | (2.4B) | (747.2M) | (2.9B) | (2.9B) | (2.6B) | (2.5B) |
Cummins India Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Cummins India or Machinery sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Cummins India's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Cummins stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | -0.25 | |
β | Beta against Dow Jones | -0.03 | |
σ | Overall volatility | 2.26 | |
Ir | Information ratio | -0.07 |
Cummins India Volatility Alert
Cummins India Limited exhibits very low volatility with skewness of 0.01 and kurtosis of 1.11. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Cummins India's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Cummins India's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Cummins India Fundamentals Vs Peers
Comparing Cummins India's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Cummins India's direct or indirect competition across all of the common fundamentals between Cummins India and the related equities. This way, we can detect undervalued stocks with similar characteristics as Cummins India or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Cummins India's fundamental indicators could also be used in its relative valuation, which is a method of valuing Cummins India by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Cummins India to competition |
| Fundamentals | Cummins India | Peer Average |
| Return On Equity | 0.3 | -0.31 |
| Return On Asset | 0.15 | -0.14 |
| Profit Margin | 0.20 % | (1.27) % |
| Operating Margin | 0.21 % | (5.51) % |
| Current Valuation | 783.81 B | 16.62 B |
| Shares Outstanding | 277.2 M | 571.82 M |
| Shares Owned By Insiders | 51.22 % | 10.09 % |
| Shares Owned By Institutions | 28.03 % | 39.21 % |
| Price To Book | 11.39 X | 9.51 X |
| Price To Sales | 8.32 X | 11.42 X |
| Revenue | 90 B | 9.43 B |
| Gross Profit | 36.54 B | 27.38 B |
| EBITDA | 20.94 B | 3.9 B |
| Net Income | 17.21 B | 570.98 M |
| Cash And Equivalents | 9.9 B | 2.7 B |
| Total Debt | 1.27 B | 5.32 B |
| Book Value Per Share | 251.32 X | 1.93 K |
| Cash Flow From Operations | 12.85 B | 971.22 M |
| Earnings Per Share | 72.41 X | 3.12 X |
| Target Price | 3394.04 | |
| Number Of Employees | 3.07 K | 18.84 K |
| Beta | 0.91 | -0.15 |
| Market Capitalization | 851.65 B | 19.03 B |
| Total Asset | 89.71 B | 29.47 B |
| Retained Earnings | 53.84 B | 9.33 B |
| Working Capital | 38.85 B | 1.48 B |
| Annual Yield | 0.01 % | |
| Net Asset | 89.71 B | |
| Last Dividend Paid | 38.0 |
Cummins India Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Cummins . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
| Accumulation Distribution | 7141.14 | |||
| Daily Balance Of Power | 1.671838 | |||
| Rate Of Daily Change | 1.05 | |||
| Day Median Price | 2972.2 | |||
| Day Typical Price | 2982.2 | |||
| Market Facilitation Index | 3.0E-4 | |||
| Price Action Indicator | 100.05 | |||
| Period Momentum Indicator | 140.1 | |||
| Relative Strength Index | 45.49 |
About Cummins India Buy or Sell Advice
When is the right time to buy or sell Cummins India Limited? Buying financial instruments such as Cummins Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
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Additional Tools for Cummins Stock Analysis
When running Cummins India's price analysis, check to measure Cummins India's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Cummins India is operating at the current time. Most of Cummins India's value examination focuses on studying past and present price action to predict the probability of Cummins India's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Cummins India's price. Additionally, you may evaluate how the addition of Cummins India to your portfolios can decrease your overall portfolio volatility.