
Industrials · Construction Machinery & Heavy Transportation Equipment
$716.50
-0.18%
Vol: 1.2M
Friday, June 19, 2026
Cummins (CMI) continues to outperform, with shares up about 24.8% over the past three months and trading around $735 on June 18, well ahead of the S&P 500. Citi analyst Kyle Menges maintained a Buy rating with a $770 price target, and the broader consensus is "Buy" with an average target near $740. Recent catalysts include contracts to supply natural-gas generators for large-scale data centers in West Texas and a new 120L natural-gas engine platform targeting pilot production in 2028 and full ramp by 2030, supporting a $9–$12B revenue outlook. The company also raised its 2030 financial targets at a recent analyst meeting and declared a $2.00 quarterly dividend. Key risk is cyclicality in its core Engine and Power Systems segments if industrial and freight demand weakens.
On June 17, 2026, Cummins announced an agreement with Circe Energy to supply its HSK78 and QSK60 high-performance natural gas generator sets for a scalable, behind-the-meter prime-power microgrid powering a High-Performance Computing data center campus in West Texas, with deliveries scheduled from 2026 through 2030. The stock rose about 4.42% to roughly $659 on the news, which reinforces the secular growth story for Cummins' Power Systems and Distribution segments tied to surging on-site data center generation demand. The deal validates management's earlier raised 2026 guidance and its $45-$50 billion 2030 revenue target with 20%+ EBITDA margin ambitions. Earlier in June, UBS upgraded Cummins to Buy from Neutral and lifted its price target to $850 from $565, citing double-digit Power business growth and a supportive North American truck cycle, projecting EPS rising from roughly $30 in 2026 to about $41 by 2028. The bear case is that much of the AI/data-center optimism is already priced into the stock after a strong multi-year run, leaving CMI vulnerable to any slowdown in hyperscaler capex or a weaker truck cycle. Execution risk on large capacity expansions and lumpy, project-based power orders also adds volatility to the growth narrative.
No material news in the last 48 hours.
No material news in the last 48 hours.
No material news in the last 48 hours.
No material news in the last 48 hours.
Evercore ISI raised its Cummins price target to $845 from $694 with an Outperform rating, while Truist raised its target to $815 from $730 with a Buy rating. The upgrades follow Cummins' Q1 results showing $8.4B revenue (up 3% YoY) and Power Systems revenue surging to $1.96B with EBITDA margin expanding to 29.5% from 23.6%, driven by data center demand. Cummins raised full-year 2026 revenue guidance to grow 8%-11% and increased its dividend to $2.00 from $1.82 (16th consecutive annual increase) with an ex-date of May 22. On May 14, VP Donald Jackson sold 730 shares valued at $518,972. At the May 12 annual meeting, shareholders elected eleven directors and supported the executive pay program.
Cummins held its annual meeting May 12 where shareholders re-elected all eleven directors and backed the executive pay program; proposals to split chair/CEO roles and expand charitable giving disclosure were rejected. The board declared a $2.00 quarterly dividend payable June 4 to holders of record May 22. VP Treasury & Tax Donald Jackson sold 730 shares on May 11 for ~$519K. Earlier in May, the company posted strong Q1 results ($8.4B revenue) and raised full-year revenue guidance to up 8-11% (from 3-8%) on record Power Systems performance, with data center backup power demand and North America truck markets improving. Evercore ISI raised its price target to $845 from $694, while JPMorgan, Barclays, Morgan Stanley, Citi and Truist also revised. Shares trade around $716.
Evercore ISI hiked its Cummins price target to $845 from $694 with an Outperform rating, and Truist raised its target to $815 from $730 with a Buy, following Q1 2026 results on May 5 where revenue rose 3% to $8.4B and management raised full-year 2026 revenue guidance to up 8-11% from prior expectations. Growth was led by record performance in the Power Systems segment, where demand for data-center backup power surged, partially offset by cyclical weakness in North America truck. Cummins' board also declared a $2.00 quarterly dividend payable June 4 to holders of record May 22, and shareholders approved the full board slate and executive pay at the May 12 annual meeting. Why it matters: data-center backup-power demand has become a powerful new earnings driver for Cummins, the dual price-target hikes signal Street conviction in the upgrade cycle and the stock at ~$716 is near its 52-week high of $718. The bear case: Cummins took charges on the wind-down of its low-pressure fuel-cell business, North America truck remains weak, and an aggressive guidance bump leaves limited room for further upside surprise.
Cummins announced a $2.00 quarterly dividend on May 13, 2026 (up from $1.82, marking the 16th consecutive year of increases), payable June 4 to shareholders of record May 22. VP Jennifer Mary Bush sold 5,000 shares on May 12 at $694.13-$699.10 in open-market transactions. Multiple analysts (JPMorgan, Barclays, Morgan Stanley, Citi, Truist, Wells Fargo, UBS, BofA, Bernstein, Argus) raised PTs around May 6 following Q1 results: revenue of $8.4B beat estimates and FY2026 revenue guidance was raised to +8%-11% growth, but EPS of $4.71 missed the $5.61 consensus by 16%. Power Systems is benefiting from data center demand while North American truck markets remain weak. A $199M Q1 charge related to divesting the low-pressure fuel cell business signals a strategic pivot. Bear case: heavy truck market weakness persists, EPS missed materially despite revenue beat, and insider selling at near-record share prices may concern some investors.
Cummins shareholders elected eleven directors at the May 12, 2026 annual meeting and strongly supported the executive compensation plan, while rejecting proposals to split the Chair/CEO roles and expand charitable giving disclosures. On May 13, the board declared a $2.00 quarterly dividend payable June 4. Recent multi-analyst revisions (JPMorgan, Barclays, Morgan Stanley, Citi, Truist on May 6) raised the fair-value estimate to ~$643. Wells Fargo added Cummins to its Q2 Tactical Ideas List. Q1 2026 revenue beat at $8.4B (+3% YoY), driven by Power Systems surge (EBITDA margin 29.5%) from data center demand, though GAAP EPS of $4.71 missed by 15%. FY26 revenue guidance raised to 8-11% growth.
On May 12, 2026, Cummins declared a $2.00 quarterly dividend payable June 4 to holders of record May 22. The dividend follows a strong May 5 Q1 2026 report: revenue of $8.4B (+3% YoY, slightly above $8.34B consensus), and management raised 2026 revenue guidance to +8% to +11%. Power Systems revenue surged to $1.96B with EBITDA margin expanding to 29.5% from 23.6% on robust data center power generation demand, favorable pricing, and tariff recoveries. The company returned $519M to shareholders in Q1 and recorded charges on the sale of its low-pressure fuel cell business. Insider selling activity: CHRO Marvin Boakye sold 3,481 shares on May 8; VP Nathan Stoner sold 607 shares May 11. Bear case: Q1 GAAP EPS of $4.71 missed $5.61 consensus and was down from $5.96 YoY; truck weakness offsetting Power Systems strength signals cyclical risk if data center capex normalizes.
Cummins raised its full-year 2026 revenue guidance to +8% to +11% (from prior range) after Q1 revenue of $8.4B (+3% YoY) was driven by surging power generation demand (notably data centers) that more than offset a 20% drop in North America truck unit volumes; international revenue rose 16% on China strength. The Board declared a $2.00 quarterly dividend payable June 4. On May 6, Evercore ISI raised its target to $845 from $694 and Truist to $815 from $730, with JPMorgan, Barclays, Morgan Stanley and Citi also revising higher. CMI is up ~116% over the past year. The company also recorded charges on the sale of its low-pressure fuel cell business as it refocuses Accelera.
Cummins raised its full-year 2026 revenue guidance to 8-11% growth (from prior outlook) and EBITDA to 17.75-18.50% on stronger demand across multiple markets, particularly North America on-highway and power generation. Q1 2026 revenue rose 3% YoY to $8.4B and beat consensus, with GAAP EPS of $4.71. Power Systems revenue surged to $1.96B with EBITDA margin expanding to 29.5% from 23.6%, driven by data center power generation demand outpacing expectations along with favorable pricing and tariff recoveries. The quarter included a $199M ($1.44/share) charge from the sale of the low-pressure fuel cell business. Cummins returned $519M to shareholders. Stock traded up 4.5% to $686.50 immediately post-results. Insider selling continued: HR chief sold 3,481 shares across multiple May 8 trades, and VP-China ABO Nathan Stoner sold 607 shares on May 11. Cummins was named to Ethisphere's 2026 World's Most Ethical Companies. Risk: North America truck weakness (sales -6%) offsets some of the power-gen strength.
| Company | Price | Day | 1M | Fwd P/E | Beta | Mkt Cap |
|---|---|---|---|---|---|---|
| CATCATERPILLAR | $991.23 | +3.69% | +13.0% | 32.8x | 1.60 | $454.1B |
| CMICUMMINS | $716.50 | -0.18% | +7.0% | 21.1x | 1.24 | $98.9B |
| PCARPACCAR | $119.03 | +1.44% | +6.5% | 17.6x | 0.99 | $62.6B |
| WABWABTEC | $274.80 | +1.08% | +5.7% | 22.5x | 0.94 | $46.5B |
| GEGENERAL | $359.14 | +0.59% | +19.1% | 41.2x | 1.38 | $373.7B |
| GEVGE | $1,111.86 | +6.01% | +8.3% | 45.3x | 1.04 | $298.2B |
Price above both MAs — bullish structure.