Question 1

What is Cummins's P/E ratio?

Accepted Answer

Cummins (CMI) P/E ratio is 33.8× as of June 5, 2026. The ratio is calculated by dividing market capitalisation by trailing twelve-month earnings (net income), using USD-normalised financials (IAS 21 exchange-rate translation for non-USD reporters).

Question 2

How is the P/E ratio calculated?

Accepted Answer

P/E = Share Price ÷ Trailing Twelve-Month (TTM) Diluted EPS, or equivalently Market Capitalisation ÷ TTM Net Income. All inputs are sourced from audited GAAP/IFRS filings and translated to USD using period-end exchange rates so the multiple is comparable across companies and currencies.

Question 3

What is the P/E ratio?

Accepted Answer

The price-to-earnings (P/E) ratio, also called the earnings multiple, measures how much investors pay per dollar of a company's trailing twelve-month (TTM) earnings. It is calculated as share price ÷ TTM diluted EPS (equivalent to market capitalisation ÷ TTM net income). A higher P/E implies the market is pricing in stronger future earnings growth or lower risk; a lower P/E can signal slower expected growth, higher risk, or potential undervaluation.

Question 4

What is a good P/E ratio for Cummins?

Accepted Answer

There is no universal "good" P/E. As a rule of thumb, the S&P 500 has historically averaged a P/E in the mid-to-high teens; mature, slow-growth businesses commonly trade in the 10–18× range, while high-growth or asset-light companies often trade at 25–50×+. What matters is the comparison to sector peers and to the company's own historical range. For Cummins specifically, the relevant sector benchmark is the current sector median of 27.8×.

Question 5

Is Cummins's P/E ratio high or low?

Accepted Answer

Cummins's P/E ratio of 33.8× is above its own 5-year average of 18.4× and above the sector median of 27.8×. That places the current reading at the 94th percentile of its 10-year history. A higher multiple usually reflects stronger expected growth, lower perceived risk, or higher returns on capital; a lower multiple reflects the opposite.

Question 6

What is Cummins's historical P/E ratio range?

Accepted Answer

In the available daily series, Cummins (CMI) P/E ratio has ranged from a low of 6.8× in 2005 to a high of 58.5× in 2024. The 5-year average is 18.4× and the 5-year median is 15.4×.

Question 7

What was Cummins's P/E ratio in 2025?

Accepted Answer

Cummins (CMI) P/E ratio at the end of 2025 was 24.8×. Annual values reflect the multiple on the last trading day of each calendar year, using the trailing twelve-month earnings figure available at that date.

Question 8

Why does Cummins's P/E ratio change over time?

Accepted Answer

Valuation multiples move with two inputs: the numerator (market capitalisation, which tracks the share price) and the denominator (earnings). Share-price changes — driven by interest rates, earnings expectations, risk appetite, and broader market sentiment — typically dominate short-term moves, while changes in the underlying fundamental drive the longer-term trend. As a result, the ratio can rise during stock-price rallies even if the business itself has not become more valuable, and fall during sell-offs even when fundamentals are improving.


2025	$70.54B	$2.84B	24.8×	+12.7×	Dec 31, 2025
2024	$47.90B	$3.95B	12.1×	-34.1×	Dec 31, 2024
2023	$33.99B	$735.00M	46.3×	+30.3×	Dec 31, 2023
2022	$34.24B	$2.15B	15.9×	+1.3×	Dec 31, 2022
2021	$31.08B	$2.13B	14.6×	-4.2×	Dec 31, 2021
2020	$33.61B	$1.79B	18.8×	+6.8×	Dec 31, 2020
2019	$27.11B	$2.26B	12.0×	+2.2×	Dec 31, 2019
2018	$21.01B	$2.14B	9.8×	-19.4×	Dec 31, 2018
2017	$29.22B	$999.00M	29.2×	+12.8×	Dec 31, 2017
2016	$22.91B	$1.39B	16.4×	+5.4×	Dec 31, 2016
2015	$15.45B	$1.40B	11.0×	-4.8×	Dec 31, 2015
2014	$26.09B	$1.65B	15.8×	-1.8×	Dec 31, 2014
2013	$26.04B	$1.48B	17.6×	+5.2×	Dec 31, 2013
2012	$20.41B	$1.65B	12.4×	+3.3×	Dec 31, 2012
2011	$16.77B	$1.85B	9.1×	-11.6×	Dec 31, 2011
2010	$21.54B	$1.04B	20.7×	-0.6×	Dec 31, 2010
2009	$9.10B	$428.00M	21.3×	+14.4×	Dec 31, 2009
2008	$5.20B	$755.00M	6.9×	-10.1×	Dec 31, 2008
2007	$12.54B	$739.00M	17.0×	+8.7×	Dec 31, 2007
2006	$5.91B	$715.00M	8.3×	-0.1×	Dec 31, 2006
2005	$4.59B	$550.00M	8.4×	-1.9×	Dec 31, 2005
2004	$3.59B	$350.00M	10.2×	-39.0×	Dec 31, 2004
2003	$2.32B	$47.00M	49.3×	+36.4×	Dec 31, 2003
2002	$1.09B	$85.00M	12.9×	—	Dec 31, 2002
2001	$1.45B	−$102.00M	—	—	Dec 31, 2001


Lennox International (LII)	20.6×
Paychex (PAYX)	20.6×
Copart (CPRT)	20.4×
Otis Worldwide (OTIS)	20.2×
Union Pacific (UNP)	19.9×
Allegion (ALLE)	19.7×
Alamo Group (ALG)	19.6×
Carlisle Companies (CSL)	18.8×
Automatic Data Processing (ADP)	18.8×
Snap-on (SNA)	18.5×
Brady (BRC)	18.5×
Canadian National Railway (CNI)	18.4×
United Rentals (URI)	18.4×
Pool (POOL)	18.1×
McGrath RentCorp (MGRC)	17.5×
A. O. Smith (AOS)	17.4×
FedEx (FDX)	16.9×
Textron (TXT)	16.6×
United Parcel Service (UPS)	15.9×
ABM Industries (ABM)	15.2×
Gartner (IT)	14.9×
AGCO (AGCO)	10.9×
Delta Air Lines (DAL)	9.7×
United Airlines Holdings (UAL)	8.2×
Versant Media Group, Inc. Class A (VSNT)	6.3×

P/E Ratio for Cummins (CMI)

P/E Ratio daily chart for Cummins (CMI)

Historical P/E Ratio for Cummins (CMI) from 2001 to 2025

About P/E Ratio at Cummins (CMI)

Cummins P/E Ratio by Year

Cummins P/E Ratio 2025: 24.8×

Cummins P/E Ratio 2024: 12.1×

Cummins P/E Ratio 2023: 46.3×

Cummins P/E Ratio 2022: 15.9×

Cummins P/E Ratio 2021: 14.6×

Sector peers by P/E Ratio — chart

Sector peers by P/E Ratio — table

Frequently asked questions

Cummins (CMI) Key Financials

P/E Ratio daily chart for Cummins (CMI)

Historical P/E Ratio for Cummins (CMI) from 2001 to 2025

About P/E Ratio at Cummins (CMI)

Cummins P/E Ratio by Year

Cummins P/E Ratio 2025: 24.8×

Cummins P/E Ratio 2024: 12.1×

Cummins P/E Ratio 2023: 46.3×

Cummins P/E Ratio 2022: 15.9×

Cummins P/E Ratio 2021: 14.6×

Sector peers by P/E Ratio — chart

Sector peers by P/E Ratio — table

Frequently asked questions

+What is Cummins's P/E ratio?

+How is the P/E ratio calculated?

+What is the P/E ratio?

+What is a good P/E ratio for Cummins?

+Is Cummins's P/E ratio high or low?

+What is Cummins's historical P/E ratio range?

+What was Cummins's P/E ratio in 2025?

+Why does Cummins's P/E ratio change over time?

Cummins (CMI) Key Financials