With a market cap of $48.3 billion, Cummins Inc. (CMI) is a global industrial powerhouse renowned for designing, manufacturing, distributing, and servicing a diverse array of power solutions. The Columbus, Indiana-based company produces diesel, natural-gas, hybrid, and electric engines, along with generators, aftertreatment systems, turbochargers, filtration, and more across five key business segments: Engines, Components, Distribution, Power Systems, and its zero-emission “Accelera” brand.

The company is expected to release its Q2 2025 earnings before the market opens on Thursday, Aug. 5. Ahead of this event, analysts expect Cummins to post adjusted earnings of $4.94 per share, down 6.1% from $5.26 per share in the same quarter last year. On the bright side, the company has surpassed Wall Street's bottom-line estimates in each of the past four quarters.

For fiscal 2025, analysts expect CMI to report an adjusted EPS of $20.63, a 3.5% fall from $21.37 in fiscal 2024. However, its earnings are expected to improve 17.6% year-over-year to $24.26 per share in fiscal 2026.

Shares of CMI have climbed 17.5% over the past 52 weeks, outpacing the S&P 500 Index's ($SPX) 13.6% rise but lagging behind the Industrial Select Sector SPDR Fund’s (XLI) 20.6% gain during the same period.

On May 5, Cummins shares saw a marginal uptick after the company posted Q1 results. Revenue came in at $8.2 billion, down 2.7% year-over-year but still 1.2% above analyst forecasts, thanks to robust sales in China and record performance in its power systems segment. While EPS fell 57.5% to $5.96 due to higher costs and a tough comparison base, it still beat consensus estimates by a solid 23.7%, reinforcing investor confidence.

Analysts' consensus view on Cummins is cautiously upbeat, with a "Moderate Buy" rating overall. Among 18 analysts covering the stock, six suggest a "Strong Buy," 11 give a "Hold," and one recommends a "Strong Sell” rating. Its mean price target of $353.93 represents a 1% premium to current price levels.