CMI vs. EMR: A Head-to-Head Stock Comparison

Updated on October 3, 2025

Here’s a clear look at CMI and EMR, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

Symbol	CMI	EMR
Company Name	Cummins Inc.	Emerson Electric Co.
Country	United States	United States
GICS Sector	Industrials	Industrials
GICS Industry	Machinery	Electrical Equipment
Market Capitalization	58.51 billion USD	73.83 billion USD
Exchange	NYSE	NYSE
Listing Date	February 21, 1973	June 1, 1972
Security Type	Common Stock	Common Stock

Historical Performance

This chart compares the performance of CMI and EMR by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

CMI vs. EMR: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

Symbol	CMI	EMR
5-Day Price Return	2.56%	-0.56%
13-Week Price Return	28.83%	-1.61%
26-Week Price Return	31.29%	15.49%
52-Week Price Return	31.15%	20.11%
Month-to-Date Return	0.54%	-0.62%
Year-to-Date Return	21.82%	5.85%
10-Day Avg. Volume	0.96M	3.68M
3-Month Avg. Volume	0.84M	3.17M
3-Month Volatility	21.00%	23.54%
Beta	1.13	1.29

Profitability

Return on Equity (TTM)

CMI

27.17%

Machinery Industry

Max: 33.68%
Q3: 20.05%
Median: 12.37%
Q1: 8.67%
Min: -7.69%

In the upper quartile for the Machinery industry, CMI’s Return on Equity of 27.17% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

EMR

13.06%

Electrical Equipment Industry

Max: 35.67%
Q3: 23.64%
Median: 11.74%
Q1: 6.08%
Min: -4.39%

EMR’s Return on Equity of 13.06% is on par with the norm for the Electrical Equipment industry, indicating its profitability relative to shareholder equity is typical for the sector.

CMI vs. EMR: A comparison of their Return on Equity (TTM) against their respective Machinery and Electrical Equipment industry benchmarks.

Net Profit Margin (TTM)

CMI

8.72%

Machinery Industry

Max: 19.72%
Q3: 11.07%
Median: 7.62%
Q1: 5.05%
Min: -1.52%

CMI’s Net Profit Margin of 8.72% is aligned with the median group of its peers in the Machinery industry. This indicates its ability to convert revenue into profit is typical for the sector.

EMR

14.92%

Electrical Equipment Industry

Max: 20.60%
Q3: 10.26%
Median: 5.83%
Q1: 2.92%
Min: -0.75%

A Net Profit Margin of 14.92% places EMR in the upper quartile for the Electrical Equipment industry, signifying strong profitability and more effective cost management than most of its peers.

CMI vs. EMR: A comparison of their Net Profit Margin (TTM) against their respective Machinery and Electrical Equipment industry benchmarks.

Operating Profit Margin (TTM)

CMI

12.28%

Machinery Industry

Max: 26.63%
Q3: 15.99%
Median: 11.27%
Q1: 7.72%
Min: -0.51%

CMI’s Operating Profit Margin of 12.28% is around the midpoint for the Machinery industry, indicating that its efficiency in managing core business operations is typical for the sector.

EMR

17.42%

Electrical Equipment Industry

Max: 26.24%
Q3: 14.53%
Median: 7.97%
Q1: 3.45%
Min: -5.64%

An Operating Profit Margin of 17.42% places EMR in the upper quartile for the Electrical Equipment industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

CMI vs. EMR: A comparison of their Operating Profit Margin (TTM) against their respective Machinery and Electrical Equipment industry benchmarks.

Profitability at a Glance

Symbol	CMI	EMR
Return on Equity (TTM)	27.17%	13.06%
Return on Assets (TTM)	9.02%	6.19%
Net Profit Margin (TTM)	8.72%	14.92%
Operating Profit Margin (TTM)	12.28%	17.42%
Gross Profit Margin (TTM)	25.96%	52.70%

Financial Strength

Current Ratio (MRQ)

CMI

1.64

Machinery Industry

Max: 3.13
Q3: 2.12
Median: 1.72
Q1: 1.34
Min: 0.77

CMI’s Current Ratio of 1.64 aligns with the median group of the Machinery industry, indicating that its short-term liquidity is in line with its sector peers.

EMR

0.85

Electrical Equipment Industry

Max: 3.31
Q3: 2.09
Median: 1.48
Q1: 1.09
Min: 0.85

EMR’s Current Ratio of 0.85 falls into the lower quartile for the Electrical Equipment industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

CMI vs. EMR: A comparison of their Current Ratio (MRQ) against their respective Machinery and Electrical Equipment industry benchmarks.

Debt-to-Equity Ratio (MRQ)

CMI

0.69

Machinery Industry

Max: 1.56
Q3: 0.79
Median: 0.44
Q1: 0.27
Min: 0.00

CMI’s Debt-to-Equity Ratio of 0.69 is typical for the Machinery industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

EMR

0.72

Electrical Equipment Industry

Max: 1.57
Q3: 0.96
Median: 0.57
Q1: 0.30
Min: 0.00

EMR’s Debt-to-Equity Ratio of 0.72 is typical for the Electrical Equipment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

CMI vs. EMR: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Machinery and Electrical Equipment industry benchmarks.

Interest Coverage Ratio (TTM)

CMI

Machinery Industry

Max: 81.58
Q3: 37.68
Median: 13.76
Q1: 7.97
Min: -1.43

Interest Coverage Ratio data for CMI is currently unavailable.

EMR

18.57

Electrical Equipment Industry

Max: 44.15
Q3: 19.29
Median: 9.38
Q1: 0.98
Min: -19.47

EMR’s Interest Coverage Ratio of 18.57 is positioned comfortably within the norm for the Electrical Equipment industry, indicating a standard and healthy capacity to cover its interest payments.

CMI vs. EMR: A comparison of their Interest Coverage Ratio (TTM) against their respective Machinery and Electrical Equipment industry benchmarks.

Financial Strength at a Glance

Symbol	CMI	EMR
Current Ratio (MRQ)	1.64	0.85
Quick Ratio (MRQ)	0.87	0.63
Debt-to-Equity Ratio (MRQ)	0.69	0.72
Interest Coverage Ratio (TTM)	--	18.57

Growth

Revenue Growth

CMI vs. EMR: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

CMI vs. EMR: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

CMI

1.73%

Machinery Industry

Max: 4.55%
Q3: 2.66%
Median: 1.90%
Q1: 1.23%
Min: 0.00%

CMI’s Dividend Yield of 1.73% is consistent with its peers in the Machinery industry, providing a dividend return that is standard for its sector.

EMR

1.62%

Electrical Equipment Industry

Max: 3.04%
Q3: 1.58%
Median: 1.00%
Q1: 0.00%
Min: 0.00%

With a Dividend Yield of 1.62%, EMR offers a more attractive income stream than most of its peers in the Electrical Equipment industry, signaling a strong commitment to shareholder returns.

CMI vs. EMR: A comparison of their Dividend Yield (TTM) against their respective Machinery and Electrical Equipment industry benchmarks.

Dividend Payout Ratio (TTM)

CMI

34.07%

Machinery Industry

Max: 198.34%
Q3: 101.42%
Median: 62.79%
Q1: 29.85%
Min: 0.00%

CMI’s Dividend Payout Ratio of 34.07% is within the typical range for the Machinery industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

EMR

45.06%

Electrical Equipment Industry

Max: 165.68%
Q3: 71.84%
Median: 38.15%
Q1: 0.00%
Min: 0.00%

EMR’s Dividend Payout Ratio of 45.06% is within the typical range for the Electrical Equipment industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

CMI vs. EMR: A comparison of their Dividend Payout Ratio (TTM) against their respective Machinery and Electrical Equipment industry benchmarks.

Dividend at a Glance

Symbol	CMI	EMR
Dividend Yield (TTM)	1.73%	1.62%
Dividend Payout Ratio (TTM)	34.07%	45.06%

Valuation

Price-to-Earnings Ratio (TTM)

CMI

19.75

Machinery Industry

Max: 47.95
Q3: 30.11
Median: 22.35
Q1: 16.56
Min: 6.48

CMI’s P/E Ratio of 19.75 is within the middle range for the Machinery industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

EMR

27.79

Electrical Equipment Industry

Max: 65.02
Q3: 38.99
Median: 27.41
Q1: 19.88
Min: 8.37

EMR’s P/E Ratio of 27.79 is within the middle range for the Electrical Equipment industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

CMI vs. EMR: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Machinery and Electrical Equipment industry benchmarks.

Price-to-Sales Ratio (TTM)

CMI

1.72

Machinery Industry

Max: 4.97
Q3: 2.76
Median: 1.65
Q1: 1.04
Min: 0.04

CMI’s P/S Ratio of 1.72 aligns with the market consensus for the Machinery industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

EMR

4.15

Electrical Equipment Industry

Max: 7.01
Q3: 4.03
Median: 1.79
Q1: 1.10
Min: 0.47

EMR’s P/S Ratio of 4.15 is in the upper echelon for the Electrical Equipment industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

CMI vs. EMR: A comparison of their Price-to-Sales Ratio (TTM) against their respective Machinery and Electrical Equipment industry benchmarks.

Price-to-Book Ratio (MRQ)

CMI

3.83

Machinery Industry

Max: 7.29
Q3: 4.06
Median: 2.67
Q1: 1.54
Min: 0.52

CMI’s P/B Ratio of 3.83 is within the conventional range for the Machinery industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

EMR

3.77

Electrical Equipment Industry

Max: 10.97
Q3: 5.57
Median: 3.50
Q1: 1.66
Min: 0.64

EMR’s P/B Ratio of 3.77 is within the conventional range for the Electrical Equipment industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

CMI vs. EMR: A comparison of their Price-to-Book Ratio (MRQ) against their respective Machinery and Electrical Equipment industry benchmarks.

Valuation at a Glance

Symbol	CMI	EMR
Price-to-Earnings Ratio (TTM)	19.75	27.79
Price-to-Sales Ratio (TTM)	1.72	4.15
Price-to-Book Ratio (MRQ)	3.83	3.77
Price-to-Free Cash Flow Ratio (TTM)	31.96	26.89