Cummins Inc. (CMI), with a market cap of $45.6 billion, is a leading global designer, manufacturer, and distributor of diesel and natural gas engines, as well as powertrain components like fuel systems, turbochargers, and transmissions. Headquartered in Columbus, Indiana, the company serves original equipment manufacturers (OEMs), distributors, and dealers through a network of company-owned and independent facilities. The global power solutions leader is expected to announce its fiscal third-quarter earnings for 2024 on Tuesday, November 5. 

Ahead of the event, analysts expect CMI to report a profit of $4.89 per share on a diluted basis, up 3.4% from $4.73 per share in the year-ago quarter. The company missed the consensus estimates in two of the last four quarters while beating the forecast on two other occasions. In the previous quarter, CMI exceeded the EPS consensus estimate by 8.5%, thanks to robust North American sales.

For the full year, analysts expect CMI to report EPS of $19.96, up 1.4% from $19.69 in fiscal 2023.

CMI stock has surged 50.9% over the past 52 weeks, outperforming the S&P 500’s ($SPX) 38.5% gains and Industrial Select Sector SPDR Fund’s (XLI) 38.9% returns over the same time frame.

Cummins has capitalized on strong demand and an innovative approach, resulting in impressive price momentum. The company’s dedication to advancing technology has not only enhanced its product lineup but also solidified its competitive stance in the industry.

On Aug. 1, CMI stock surged 4.9% after delivering impressive Q2 earnings results. The company reported a profit of $726 million, or $5.26 per share, surpassing Wall Street's expectation of $4.85 per share. Furthermore, its revenue of $8.8 billion exceeded analysts' forecasts of $8.28 billion.

Analysts’ consensus opinion on CMI stock is neutral, with a “Hold” rating overall. Out of 17 analysts covering the stock, four advise a “Strong Buy” rating, one suggests a “Moderate Buy” rating, 10 give a “Hold” rating, one suggests a “Moderate Sell” rating, and the remaining analyst recommends a “Strong Sell.” 

The average analyst price target for CMI is $333.57, indicating a potential marginal upswing from the current price levels. 

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On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.