Cummins India Limited (CUMMINSIND.NS) stock analysis

In our weekly check, Cummins India Limited is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 17 pass, warnings: 4, red flags: 4.

About Cummins India Limited

Cummins India Limited is an Industrials company (Industrial - Machinery) based in India, listed on NSE as CUMMINSIND.NS.

What our checks show for CUMMINSIND.NS

Red flags

• The gross margin fell by 4.2 points, to 28.7%: costs are rising faster than prices.
• The dividend takes 5961% of profit: little cushion if profit falls.
• The price is 50.9 times earnings (P/E): the market already pays for a lot of future growth.
• The stock has fallen as much as 76% from a peak. Would you have held through that?

Warning signs

• Operating profit covers interest only 2 times: a weak year could make the payments hard.
• Analysts expect the net margin to shrink by 0.3 points from today's 19.4%.
• Recovering from its deepest fall took about 2.3 years.
• Thinly traded (about 447 thousand shares a day): buying and selling can move the price.

Strengths

• Debt is low: 0x equity.
• The net margin rose by 4.3 points over 5 years, to 19.4%.
• Analysts expect earnings per share to grow about 16.7% a year over the next years.
• Analysts expect revenue to grow about 17.3% a year over the next years.
• Revenue grew 16% a year over the last 3 years.
• Earnings per share grew 24.4% a year over the last 3 years.

Next earnings report: 2026-11-04

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Questions

What grade does Cummins India Limited (CUMMINSIND.NS) have?

In our weekly check, Cummins India Limited is graded B (A to F). Of 25 checks on debt, profit, cash flow and trend: 17 pass, warnings: 4, red flags: 4. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of CUMMINSIND.NS stock?

This week's biggest flags for Cummins India Limited: Gross margin falling, Dividend stretched, High P/E. In total 8 of 25 checks show a warning or a red flag.

What does Cummins India Limited do?

Cummins India Limited is an Industrials company (Industrial - Machinery) based in India, listed on NSE as CUMMINSIND.NS.

When does Cummins India Limited report earnings next?

The next earnings report is expected on 2026-11-04. We re-run the checks every week, so the grade can change after it.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-24

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