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How to Buy Cummins Stock

Cummins Inc

Cummins is a specialty industrial machinery company located in Indiana, United States, which is part of the Industrials sector, and is traded under the ticker CMI on the NYSE exchange.

Cummins stock last closed at $256.11, down 0.16% from the previous day, and has increased 12.7% in one year. It has overperformed other stocks in the Specialty Industrial Machinery industry by 0.13 percentage points. Cummins stock is currently +38.98% from its 52-week low of $184.28, and -0.84% from its 52-week high of $258.27.

There are currently 141.02M CMI shares outstanding. The market value of CMI is $36.12B. In the last 24 hours, 924,892 CMI shares were traded.

How to Buy Cummins Stock

Wondering how to invest in Cummins stock? Here's how.
  1. Decide where to buy Cummins stock: You need to pick a stock brokerage, but don't worry - we've tested dozens of online stock brokerages and apps to help you determine where to buy Cummins stock.
  2. Sign up for your brokerage account: Sign up for 0% fee trading with the highest-rated brokerage we've found.
  3. Deposit funds into your brokerage account: Choose your payment method and add your details.
  4. Research Cummins stock: The Cummins ticker symbol is CMI. Is Cummins stock a good investment? Should you buy shares of CMI? How do CMI's underlying business fundamentals look? Do top analysts think Cummins is a good buy? Why has CMI's stock price moved recently? (Hint: Our stock market research website can help you figure out if CMI is a good stock to buy).
  5. Place your CMI trade: Decide if you will purchase CMI shares at the current market price or use a limit order to purchase CMI stock at a particular price.
  6. Keep tabs on your investment in CMI: Create a watchlist to important notifications about your position in Cummins stock.

Step 1: Decide where to buy Cummins stock

You need an online brokerage account in order to access the NYSE market and buy CMI stock.

A brokerage account enables you to buy and sell a number of financial instruments, such as stocks, bonds, mutual funds, and ETFs.

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Step 2: Sign up for your brokerage account

Now that you've selected the best brokerage, the next step is to fill out some personal info so you can buy CMI stock today.

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  2. Provide your personal info to open a new brokerage account.
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Step 3: Deposit funds into your brokerage account

Now that you've opened your account on investing apps, your next step is to transfer the money for your investment:

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Step 4: Research Cummins stock

After you have identified the best place to buy Cummins stock, it's important to evaluate their stock before you buy, so you can wrap your head around the risk and opportunity.

Cummins shares quick numbers

CMI Price
$256.11
1w %
2.98%
1y %
12.7%
5y %
43.07%
P/E
18.94x
P/B
4.31x
P/S
1.38x
PEG
0.44x
Revenue
$26.15B
Earnings
$1.91B
Fore. Rev. Growth
12.49%
Fore. Earn. Growth
53.5%
Market Cap
$36.12B
Next Earnings
N/A
Next Dividend
N/A

Fundamentals of Cummins

WallStreetZen was created to help average investors do more accurate fundamental analysis in minutes instead of hours.

You can view all of the due diligence checks on CMI's stock page.

Is CMI stock overvalued?

You can use a variety of different financial metrics, analyses, models, and charts to gauge CMI's true value.

Using relative valuations methods:

  • CMI may be undervalued based on its P/E ratio of 18.94x, relative to Specialty Industrial Machinery industry P/E ratio of 22.72x
  • CMI may be undervalued based on its P/B ratio of 4.31x, relative to Specialty Industrial Machinery industry P/B ratio of 4.77x
  • CMI could be undervalued based on its PEG ratio of 0.44x

You can access more valuation analysis on CMI's stock here.

CMI Financial Health Overview

Pros:

  • CMI earnings of $2.67B is not enough to cover its interest payments.
  • CMI's operating cash flow of $1.88B allows it to safely service it's debt of $8.12B.
  • There are more short-term assets than short-term liabilities on the CMI balance sheet.
  • There are more short-term assets than long-term liabilities on the CMI balance sheet.

Cons:

  • Total CMI debt is higher than 5 years ago, relative to shareholder equity.
  • CMI profit margin has gone down from 9.3% to 7.3% in the past year.
  • CMI has a relatively high debt to equity ratio of 2.41.

Is Cummins stock a Buy, Hold, or Sell, according to analysts?

Out of 6 Wall Street analysts who give ratings on CMI, the consensus analyst rating on CMI is a Buy

Please keep in mind that analyst forecasts are not recommendations, nor are they financial advice.

Latest CMI Analyst Ratings

Dillon Cumming, a bottom 14% analyst from Morgan Stanley maintains CMI with a hold rating and lowers their CMI price target from $264.00 to $262.00, on Jan 20, 2023.

Jamie Cook, a bottom 12% analyst from Credit Suisse maintains CMI with a buy rating and raises their CMI price target from $266.00 to $304.00, on Nov 4, 2022.

Nicole Deblase, a top 9% analyst from Deutsche Bank maintains CMI with a hold rating and raises their CMI price target from $221.00 to $225.00, on Oct 13, 2022.

Timothy Thein, a top 5% analyst from Citigroup maintains CMI with a strong buy rating and raises their CMI price target from $220.00 to $265.00, on Aug 16, 2022.

Chad Dillard, a top 8% analyst from Bernstein downgrades CMI to a hold rating and lowers their CMI price target from $238.00 to $190.00, on Jul 20, 2022.

You can dig deeper into what analysts are saying on the Cummins stock forecast page.

CMI Trading Indicators

SMA10
250.14
SMA20
247.54
SMA50
244.79
SMA100
236.06
SMA200
221.69
MACD
2.65
MACD Signal
1.79
MACD Histogram
0.86
RSI
55.3
Stochastic %K
85.76
Stochastic %D
86.96
StochRSI %K
85.64
StochRSI %D
84.42

How is CMI performing as a company?

Last year, CMI earnings were $1.91B. Over the last 5 year, CMI's earnings have grown by 6.5% per year. This was slower than the Specialty Industrial Machinery industry average of 8.69%.

Last year, CMI revenue was $26.15B. In the past five year, CMI's revenue has grown by 6.1% per year. This was faster than the Specialty Industrial Machinery industry average of 3.27%.

Learn more about CMI's earnings and revenue performance here.

Are CMI executives and large shareholders buying or selling the stock?

Over the past 12 months, executives and large shareholders at CMI have sold more shares than they have bought.

Franklin R. Changdiaz, Director of CMI, was the latest CMI insider to sell. They sold $797,888.00 worth of CMI stock on Nov 16, 2022.

Learn more about who owns CMI stock here.

Can I get consistent income from CMI stock?

Cummins pays a dividend of 2.36%, compared to the Specialty Industrial Machinery industry's average dividend yield of 1.37%. If you owned $1,000 of CMI stock, you would have received $23.58 in the past 12 months.

Cummins dividend payments have consistently grown over the past decade and have remained stable.

Dig into more data about Cummins dividend yield and history here.

CMI Social Trading Data

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Step 5: Place your CMI trade

You have two main types of orders:

  • Market order: A market order is an order to buy or sell a security at the best possible price.
    Market orders are generally fine for most investors.
  • Limit order: A limit order is an order to buy or sell a security at a specific price (or better).
    If you want to be certain you're buying or selling at a specific dollar amount limit, place a limit order.

Click the Open button and your broker will execute your order.

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Step 6: Keep tabs on your investment in CMI

Now that you own some shares in CMI, you'll want to keep up with your shares.

Make a watchlist to get notified of important updates regarding your CMI stock.

CMI Feed

How to Buy Stock in Cummins

To summarize, here are the 6 steps to buy Cummins stock:

  1. Decide where to buy Cummins stock
  2. Sign up for your brokerage account
  3. Deposit funds into your brokerage account
  4. Research Cummins stock
  5. Place your CMI trade
  6. Keep tabs on your investment in CMI

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If you want to keep tabs on your new investment in Cummins, create a watchlist on WallStreetZen today.

NYSE: CMI
$256.11-0.40 (-0.16%)
Updated Feb 3, 2023
Open eToro Account
NYSE: CMI
$256.11-0.40 (-0.16%)
Updated Feb 3, 2023
Open eToro Account

FAQ

How much does it cost to buy one Cummins share?

As of Feb 3, 2023, it costs $256.11 to buy one share of Cummins stock.

Remember, eToro's fractional share buying allows you to buy partial shares of stocks and ETFs. Even if you only have $100, you can buy 0.39 shares of CMI.

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Is now a good time to buy Cummins stock?

According to 6 Wall Street analysts who monitor Cummins, their consensus recommendation is to buy Cummins stock.

What is the best way to buy Cummins stock?

One way to place an order for Cummins stock is with a brokerage account.
WallStreetZen does not provide financial advice and does not issue recommendations or offers to buy stock or sell any security.

Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.