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Last Updated: April 2, 2026, 2:48 am
Author: Getaka|Social: XLinkedIn
Stock Ticker - BSE: 500480 | NSE: CUMMINSIND

Cummins India Ltd: Intrinsic Value & Share Price Analysis

Fair Value

₹3,488.30Overvalued by 24.32%vs CMP ₹4,609.00

P/E (56.5) × ROE (28.8%) × BV (₹265.00) × DY (1.12%)

₹1,568.85Overvalued by 65.96%vs CMP ₹4,609.00
MoS: -193.8% (Negative)Confidence: 63/100 (Moderate)Models: 1 Fair, 8 Over
ModelCategoryValueWeightSignal
PE-ROEEarnings₹4,184.0523%Fair (-9.2%)
Graham NumberEarnings₹688.1417%Over (-85.1%)
Earnings PowerEarnings₹484.1311%Over (-89.5%)
DCFCash Flow₹1,943.1311%Over (-57.8%)
Net Asset ValueAssets₹264.717%Over (-94.3%)
EV/EBITDAEnterprise₹973.579%Over (-78.9%)
Earnings YieldEarnings₹794.207%Over (-82.8%)
ROCE CapitalReturns₹332.649%Over (-92.8%)
Revenue MultipleRevenue₹559.466%Over (-87.9%)
Consensus (9 models)₹1,568.85100%Overvalued
Key Drivers: Wide model spread (₹265–₹4,184) — high uncertainty.

PE-ROE · Graham · EPV · DCF · NAV · EV/EBITDA · DDM · Earnings Yield · ROCE Capital · Revenue Multiple | CoE: 12% · Terminal: 4% · EPS CAGR: 19.9%

*Investments are subject to market risks

Investment Snapshot

76
Cummins India Ltd scores 76/100 (Strong)
Based on 5 dimensions: health, institutional flow, earnings quality, momentum, and peer comparison
Stock Health92/100 · Strong
ROCE 37.6% ExcellentROE 28.8% ExcellentD/E 0.00 Low debtInterest Coverage 0.0x RiskyProfitable 5/5 years Consistent
Smart Money60/100 · Moderate
FII holding up 2.21% (6mo) AccumulatingDII holding down 2.24% MF sellingPromoter holding at 51.0% Stable
Earnings Quality75/100 · Strong
OPM expanding (15% → 20%) ImprovingWorking capital: 46 days (improving) Efficient
Quarterly Momentum68/100 · Strong
Revenue (4Q): +14% YoY GrowingProfit (4Q): +13% YoY Positive
Industry Rank65/100 · Strong
P/E 56.5 vs industry 35.8 Premium to peersROCE 37.6% vs industry 28.2% Above peersROE 28.8% vs industry 22.6% Above peers3Y sales CAGR: 19% Moderate

Weights: Health 30% · Earnings Quality 25% · Momentum 20% · Industry Rank 15% · Smart Money 10%. Scores are computed from reported financials and recalculated daily. Not investment advice.

Share Price and Basic Stock Data

Last Updated: April 2, 2026, 2:48 am

Market Cap 1,27,764 Cr.
Current Price 4,609
Intrinsic Value₹1,568.85
High / Low 4,987/2,580
Stock P/E56.5
Book Value 265
Dividend Yield1.12 %
ROCE37.6 %
ROE28.8 %
Face Value 2.00
PEG Ratio2.83

Stock P/E, Current Price, and Intrinsic Value Over Time

View Share Price Target for Cummins India Ltd

Competitors

Stock Name ⇩Market Cap ⇩Current Price ⇩High / Low ⇩Stock P/E ⇩Book Value ⇩Dividend Yield ⇩ROCE ⇩ROE ⇩Face Value ⇩
Cummins India Ltd 1,27,764 Cr. 4,609 4,987/2,58056.5 2651.12 %37.6 %28.8 % 2.00
Kirloskar Oil Engines Ltd 19,871 Cr. 1,367 1,530/57836.6 2320.48 %13.7 %15.4 % 2.00
Swaraj Engines Ltd 4,157 Cr. 3,421 4,726/3,30021.9 3233.05 %56.2 %41.9 % 10.0
Greaves Cotton Ltd 3,059 Cr. 131 245/12028.2 59.11.52 %5.13 %4.11 % 2.00
Industry Average38,712.75 Cr2,382.0035.80219.781.54%28.16%22.55%4.00

All Competitor Stocks of Cummins India Ltd

Quarterly Result

MetricDec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025
Sales 2,1811,9262,2091,9002,5342,3162,3042,4923,0862,4572,9073,1703,055
Expenses 1,7681,6001,8681,5611,9961,7721,8372,0112,4861,9372,2832,4752,420
Operating Profit 412326341339538544467481600520624695634
OPM % 19%17%15%18%21%24%20%19%19%21%21%22%21%
Other Income 10413111713211220413216112121219719613
Interest 3787665335335
Depreciation 34373638424244454846484950
Profit before tax 479413415426602701551594670681770839593
Tax % 25%23%24%23%24%20%24%24%23%23%23%24%24%
Net Profit 360318316329455562420451514521589638453
EPS in Rs 12.9911.4911.3911.8516.4120.2615.1416.2618.5418.8121.2623.0016.35

Last Updated: February 6, 2026, 6:16 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: February 23, 2026, 8:16 pm

MetricMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025TTM
Sales 3,9774,4064,7095,0775,0825,6595,1584,3296,1407,7448,95910,33911,589
Expenses 3,2803,6743,9344,2764,3454,7954,5673,7295,2606,5027,1978,2719,116
Operating Profit 6977327758027388645906008801,2431,7612,0682,472
OPM % 18%17%16%16%15%15%11%14%14%16%20%20%21%
Other Income 178287226208279293308349425406566626618
Interest 411017151620161216271515
Depreciation 5380818594110119126134140158183193
Profit before tax 8189379109089081,0307598081,1591,4922,1432,4962,883
Tax % 27%16%17%19%22%30%17%24%24%24%23%24%
Net Profit 6007867547357087236296188871,1301,6611,9062,201
EPS in Rs 21.6528.3527.2126.5025.5626.0722.7022.2931.9940.7659.9168.7579.42
Dividend Payout % 60%49%51%53%59%65%62%67%58%61%63%75%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-20242024-2025
YoY Net Profit Growth (%)31.00%-4.07%-2.52%-3.67%2.12%-13.00%-1.75%43.53%27.40%46.99%14.75%
Change in YoY Net Profit Growth (%)0.00%-35.07%1.55%-1.15%5.79%-15.12%11.25%45.28%-16.13%19.60%-32.24%

Cummins India Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2014-2015 to 2024-2025.

Growth

Compounded Sales Growth
10 Years:9%
5 Years:15%
3 Years:19%
TTM:21%
Compounded Profit Growth
10 Years:10%
5 Years:25%
3 Years:35%
TTM:16%
Stock Price CAGR
10 Years:14%
5 Years:53%
3 Years:48%
1 Year:2%
Return on Equity
10 Years:21%
5 Years:23%
3 Years:27%
Last Year:29%

Last Updated: September 5, 2025, 2:25 am

Balance Sheet

Last Updated: December 4, 2025, 1:08 am

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Sep 2025
Equity Capital 55555555555555555555555555
Reserves 2,5102,8313,4263,6873,9314,0754,1204,3514,7975,3136,1086,9637,283
Borrowings 000251252309504334123731203024
Other Liabilities 1,2081,4351,0091,0481,2941,4141,2751,2571,5401,7712,2152,5582,621
Total Liabilities 3,7734,3224,4905,0415,5315,8545,9545,6976,8057,5128,4989,6069,984
Fixed Assets 9191,2341,2891,5002,0192,0132,2642,1852,2042,2222,2952,3642,366
CWIP 9617151946338159801286141978572
Investments 4954653347075492858243696151,0851,2159571,630
Other Assets 2,2622,4522,3482,3702,9253,3972,7863,0153,9254,1644,8916,2005,916
Total Assets 3,7734,3224,4905,0415,5315,8545,9545,6976,8057,5128,4989,6069,984

Reserves and Borrowings Chart

Cash Flow

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025
Cash from Operating Activity + 3614986927466345505997887078111,2801,689
Cash from Investing Activity + 55-56-214-482-13316-20225-57487-247-580
Cash from Financing Activity + -426-423-468-225-473-523-411-872-77-684-1,133-1,166
Net Cash Flow -91910392943-14-6056214-100-57
Free Cash Flow -1071682025145442773626747786579991,459
CFO/OP 85%93%111%116%111%91%129%145%109%94%101%109%

Free Cash Flow

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025
Free Cash Flow697.00732.00775.00551.00486.00555.0086.00567.00468.00-372.00-119.00-28.00

Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)

Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.

Free Cash Flow Chart

Financial Efficiency Indicators

MonthMar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025
Debtor Days 727873699582809174758581
Inventory Days 839274636063627465625957
Days Payable 738169688583759689808987
Cash Conversion Cycle 828878647162676850575551
Working Capital Days 435678485758407139364846
ROCE %33%31%29%25%21%24%17%19%21%27%36%38%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthMar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025
Promoters 51.00%51.00%51.00%51.00%51.00%51.00%51.00%51.00%51.00%51.00%51.00%51.00%
FIIs 13.99%14.37%16.45%16.51%17.36%17.95%17.50%18.09%17.21%17.50%18.35%19.42%
DIIs 23.61%23.76%21.97%23.36%22.86%22.24%22.50%21.80%22.84%22.53%21.73%20.60%
Government 0.20%0.20%0.20%0.20%0.14%0.14%0.11%0.10%0.10%0.10%0.10%0.10%
Public 11.20%10.67%10.36%8.93%8.63%8.66%8.89%9.00%8.85%8.86%8.82%8.87%
No. of Shareholders 1,22,4481,19,8831,28,9711,17,9051,20,0431,50,0971,64,9431,77,2281,62,4961,59,6651,60,0271,66,210

Shareholding Pattern Chart

No. of Shareholders

Cummins India Ltd: Intrinsic Value & Share Price Analysis - Shareholder trend analysis

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
HDFC Mid Cap Fund 4,498,204 2.01 1849.894,448,2042025-12-15 01:18:361.12%
ICICI Prudential Large Cap Fund 1,440,583 0.77 592.441,544,6692026-01-26 08:21:43-6.74%
Nippon India Growth Mid Cap Fund 1,300,000 1.28 534.63N/AN/AN/A
Axis Midcap Fund 1,176,328 1.57 483.761,336,7052026-02-23 08:15:56-12%
Sundaram Mid Cap Fund 1,119,311 3.56 460.321,157,0212026-02-23 08:15:56-3.26%
Kotak Large & Midcap Fund 900,000 1.23 370.13N/AN/AN/A
ICICI Prudential Business Cycle Fund 803,066 2.09 330.26824,0142026-01-26 08:21:43-2.54%
Mirae Asset Large & Midcap Fund 738,378 0.72 303.661,171,1902026-02-23 01:20:47-36.95%
Aditya Birla Sun Life ELSS Tax Saver Fund 713,678 1.96 293.5770,8702026-01-26 08:21:43-7.42%
Axis ELSS Tax Saver Fund 679,166 0.85 279.31N/AN/AN/A

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 25Mar 24Mar 23Mar 22Mar 21
FaceValue 2.002.002.002.002.00
Basic EPS (Rs.) 72.1562.0744.3133.6822.91
Diluted EPS (Rs.) 72.1562.0744.3133.6822.91
Cash EPS (Rs.) 69.2058.9741.9335.2923.42
Book Value[Excl.RevalReserv]/Share (Rs.) 272.78238.54207.73185.60167.80
Book Value[Incl.RevalReserv]/Share (Rs.) 272.78238.54207.73185.60167.80
Revenue From Operations / Share (Rs.) 374.84324.68280.38222.62157.29
PBDIT / Share (Rs.) 91.1677.4856.1340.8130.87
PBIT / Share (Rs.) 84.4871.7451.0035.9226.29
PBT / Share (Rs.) 83.9170.6949.9040.2525.68
Net Profit / Share (Rs.) 62.5253.2336.8030.4018.83
NP After MI And SOA / Share (Rs.) 72.1562.0744.3133.6822.91
PBDIT Margin (%) 24.3123.8620.0118.3319.62
PBIT Margin (%) 22.5322.0918.1916.1316.71
PBT Margin (%) 22.3821.7717.7918.0816.32
Net Profit Margin (%) 16.6816.3913.1213.6511.97
NP After MI And SOA Margin (%) 19.2419.1115.8015.1314.56
Return on Networth / Equity (%) 26.4426.0221.3218.1413.65
Return on Capital Employeed (%) 29.6028.7623.4518.5415.03
Return On Assets (%) 19.6619.1815.5013.1210.66
Total Debt / Equity (X) 0.000.010.060.070.00
Asset Turnover Ratio (%) 1.091.071.030.960.72
Current Ratio (X) 3.102.892.702.532.94
Quick Ratio (X) 2.662.432.222.112.43
Inventory Turnover Ratio (X) 10.645.195.575.564.13
Dividend Payout Ratio (NP) (%) 24.9428.9927.0823.7430.55
Dividend Payout Ratio (CP) (%) 22.8326.5424.2720.7325.45
Earning Retention Ratio (%) 75.0671.0172.9276.2669.45
Cash Earning Retention Ratio (%) 77.1773.4675.7379.2774.55
Interest Coverage Ratio (X) 159.4378.3895.8193.0351.06
Interest Coverage Ratio (Post Tax) (X) 110.3554.9164.7059.4132.14
Enterprise Value (Cr.) 82035.7181968.9844122.4630121.0524546.27
EV / Net Operating Revenue (X) 7.909.115.684.885.63
EV / EBITDA (X) 32.4638.1728.3626.6328.68
MarketCap / Net Operating Revenue (X) 8.149.265.815.055.85
Retention Ratios (%) 75.0571.0072.9176.2569.44
Price / BV (X) 11.1812.617.846.055.48
Price / Net Operating Revenue (X) 8.149.265.815.055.85
EarningsYield 0.020.020.020.020.02

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

About the Company - Qualitative Analysis

Cummins India Ltd. is a Public Limited Listed company incorporated on 17/02/1962 and has its registered office in the State of Maharashtra, India. Company's Corporate Identification Number(CIN) is L29112PN1962PLC012276 and registration number is 012276. Currently Company is involved in the business activities of Manufacture of general purpose machinery. Company's Total Operating Revenue is Rs. 10339.40 Cr. and Equity Capital is Rs. 55.44 Cr. for the Year ended 31/03/2025.
INDUSTRYADDRESSCONTACT
EnginesCummins India Office Campus, Tower A, 5th Floor, Pune Maharashtra 411045Contact not found
Management
NamePosition Held
Mr. Jennifer Mary BushChairperson (NonExe. & NonInd.Director)
Ms. Shveta AryaManaging Director
Mr. Cornelius O'SullivanNon Executive Director
Mr. Donald JacksonNon Executive Director
Ms. RekhaIndependent Director
Ms. Lira GoswamiIndependent Director
Mr. Sekhar NatarajanIndependent Director
Mr. Farokh N SubedarIndependent Director

FAQ

What is the intrinsic value of Cummins India Ltd and is it undervalued?

As of 12 April 2026, Cummins India Ltd's intrinsic value is ₹1568.85, which is 65.96% lower than the current market price of ₹4,609.00, suggesting the stock is overvalued. This is calculated using the PE ratio method factoring in ROE (28.8 %), book value (₹265), dividend yield (1.12 %), and 5-year EPS CAGR.

What is the current share price and 52-week range of Cummins India Ltd?

Cummins India Ltd is trading at ₹4,609.00 as of 12 April 2026, with a FY2026-2027 high of ₹4,987 and low of ₹2,580. The stock is currently near its 52-week high. Market cap stands at ₹1,27,764 Cr..

How does Cummins India Ltd's P/E ratio compare to its industry?

Cummins India Ltd has a P/E ratio of 56.5, which is above the industry average of 35.80. The premium over industry average may reflect growth expectations or speculative interest.

Is Cummins India Ltd financially healthy?

Key indicators for Cummins India Ltd: ROCE of 37.6 % indicates efficient capital utilization; ROE of 28.8 % shows strong shareholder returns. Dividend yield is 1.12 %.

Is Cummins India Ltd profitable and how is the profit trend?

Cummins India Ltd reported a net profit of ₹1,906 Cr in Mar 2025 on revenue of ₹10,339 Cr. Compared to ₹887 Cr in Mar 2022, the net profit shows an improving trend.

Does Cummins India Ltd pay dividends?

Cummins India Ltd has a dividend yield of 1.12 % at the current price of ₹4,609.00. The company pays dividends, though the yield is modest.

Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in Cummins India Ltd. Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE
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