CMI vs. HON: Cummins vs. Honeywell Stock Comparison

November 11, 2026

How do Cummins (CMI) and Honeywell (HON) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Cummins (CMI) and Honeywell (HON) both fall under the Capital Goods industry group, but CMI is classified in Machinery while HON is classified in Industrial Conglomerates.

Company profile comparison for Cummins (CMI) and Honeywell (HON)
Profile Item	CMI	HON
Name	Cummins Inc.	Honeywell International Inc.
Country/Region	United States	United States
GICS Sector	Industrials	Industrials
GICS Industry Group	Capital Goods	Capital Goods
GICS Industry	Machinery	Industrial Conglomerates
GICS Sub-Industry	Construction Machinery & Heavy Transportation Equipment	Industrial Conglomerates
Market Capitalization	61.69 billion USD	69.74 billion USD
Currency	USD	USD
Exchange	NYSE	Nasdaq
Listing Date	February 21, 1973	January 2, 1962
Security Type	Common Stock	Common Stock

Price Performance

Cumulative Growth

CMI

HON

GSPC

Cummins (CMI) vs. Honeywell (HON), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Cummins (CMI) and Honeywell (HON). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Cummins (CMI) and Honeywell (HON). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Cummins (CMI) and Honeywell (HON)
Metric	CMI	HON
Total Return (1Y)	-0.52%	14.14%
Total Return (3Y, Annualized)	31.79%	9.90%
Total Return (5Y, Annualized)	17.12%	2.32%

Risk Profile

Drawdown History

CMI

HON

GSPC

Cummins (CMI) vs. Honeywell (HON), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Cummins (CMI) and Honeywell (HON). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Cummins (CMI) and Honeywell (HON)
Metric	CMI	HON
Volatility (1Y, Annualized)	36.83%	27.11%
Beta (5Y)	1.26	0.80
Max Drawdown (5Y)	-38.12%	-25.21%
Avg. Volume (3M)	1.14M	2.82M

Risk-Adjusted Performance

Risk-Return Positioning

CMI and HON are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Cummins (CMI) and Honeywell (HON)
Metric	CMI	HON
Sharpe Ratio (1Y)	-0.13	0.36
Sortino Ratio (1Y)	-0.18	0.52

Profitability

ROE (TTM)

Both companies show strong equity returns, but Honeywell (HON) at 44.39% is the standout with ROE above its industry range; Cummins (CMI) at 25.05% also sits in the top quartile.

CMI

Capital Goods industry group

25.05%

Max: 40.55%
CMI: 25.05%
Q3: 19.29%
Median: 12.12%
Q1: 4.08%
Min: -17.12%

HON

Capital Goods industry group

44.39%

HON: 44.39%
Max: 40.55%
Q3: 19.29%
Median: 12.12%
Q1: 4.08%
Min: -17.12%

Cummins (CMI) vs. Honeywell (HON): A comparison of their ROE against the Capital Goods industry group benchmark.

Net Margin (TTM)

Honeywell (HON) at 18.68% retains a top-quartile share of revenue as profit, ahead of Cummins (CMI) at 9.26%, which keeps about the industry-typical share.

CMI

Capital Goods industry group

9.26%

Max: 27.47%
Q3: 12.10%
CMI: 9.26%
Median: 6.30%
Q1: 1.40%
Min: -12.89%

HON

Capital Goods industry group

18.68%

Max: 27.47%
HON: 18.68%
Q3: 12.10%
Median: 6.30%
Q1: 1.40%
Min: -12.89%

Cummins (CMI) vs. Honeywell (HON): A comparison of their net margin against the Capital Goods industry group benchmark.

Operating Margin (TTM)

Both Cummins (CMI) at 13.95% and Honeywell (HON) at 16.92% run core operations about as efficiently as their industries’ norm — neither stands out on operating profitability.

CMI

Capital Goods industry group

13.95%

Max: 36.60%
Q3: 18.33%
CMI: 13.95%
Median: 11.12%
Q1: 5.14%
Min: -12.63%

HON

Capital Goods industry group

16.92%

Max: 36.60%
Q3: 18.33%
HON: 16.92%
Median: 11.12%
Q1: 5.14%
Min: -12.63%

Cummins (CMI) vs. Honeywell (HON): A comparison of their operating margin against the Capital Goods industry group benchmark.

Profitability Metrics

Profitability metrics for Cummins (CMI) and Honeywell (HON)
Metric	CMI	HON
ROE (TTM)	25.05%	44.39%
ROA (TTM)	7.60%	7.13%
Net Margin (TTM)	9.26%	18.68%
Operating Margin (TTM)	13.95%	16.92%
Gross Margin (TTM)	26.32%	37.21%

Growth

Revenue Growth

Honeywell (HON) at 7.85% is around its peer norm for revenue growth, while Cummins (CMI) at -1.27% drops into the bottom quartile, signaling weaker demand or pricing momentum.

Cummins (CMI) vs. Honeywell (HON): A comparison of their Revenue Growth across different time periods.

EPS Growth

Honeywell (HON) at -8.27% is around its peer norm for EPS growth, while Cummins (CMI) at -27.74% drops into the bottom quartile, signaling weaker earnings momentum.

Cummins (CMI) vs. Honeywell (HON): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Cummins (CMI) and Honeywell (HON)
Metric	CMI	HON
Revenue Growth (YoY)	-1.27%	7.85%
Revenue Growth (3Y CAGR)	6.25%	1.82%
EPS Growth (YoY)	-27.74%	-8.27%
EPS Growth (3Y CAGR)	10.68%	3.20%

Financial Strength

Current Ratio (MRQ)

Cummins (CMI) at 1.74 keeps current ratio within its industry’s typical mid-range, while Honeywell (HON) at 0.96 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for HON.

CMI

Capital Goods industry group

1.74

Max: 5.22
Q3: 2.95
Median: 2.08
CMI: 1.74
Q1: 1.43
Min: 0.36

HON

Capital Goods industry group

0.96

Max: 5.22
Q3: 2.95
Median: 2.08
Q1: 1.43
HON: 0.96
Min: 0.36

Cummins (CMI) vs. Honeywell (HON): A comparison of their current ratio against the Capital Goods industry group benchmark.

Debt / Equity (MRQ)

Both Cummins (CMI) at 0.52 and Honeywell (HON) at 0.76 fund their balance sheets with roughly industry-typical debt-to-equity mixes.

CMI

Capital Goods industry group

0.52

Max: 2.33
Q3: 1.12
Median: 0.60
CMI: 0.52
Q1: 0.29
Min: 0.00

HON

Capital Goods industry group

0.76

Max: 2.33
Q3: 1.12
HON: 0.76
Median: 0.60
Q1: 0.29
Min: 0.00

Cummins (CMI) vs. Honeywell (HON): A comparison of their debt-to-equity ratio against the Capital Goods industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Cummins (CMI) and Honeywell (HON)
Metric	CMI	HON
Current Ratio (MRQ)	1.74	0.96
Debt / Equity (MRQ)	0.52	0.76
Net Debt / EBITDA	0.62	1.23

Dividends

Dividend Yield (TTM)

Cummins (CMI) at 1.83% earns its spot in the top quartile of its industry’s yields; Honeywell (HON) at 3.63% is past the top of its own peer range — territory where a dividend-safety check matters more than the headline number.

CMI

Capital Goods industry group

1.83%

Max: 2.66%
CMI: 1.83%
Q3: 1.14%
Median: 0.24%
Q1: 0.00%
Min: 0.00%

HON

Capital Goods industry group

3.63%

HON: 3.63%
Max: 2.66%
Q3: 1.14%
Median: 0.24%
Q1: 0.00%
Min: 0.00%

Cummins (CMI) vs. Honeywell (HON): A comparison of their dividend yield against the Capital Goods industry group benchmark.

Dividend Payout Ratio (TTM)

Both Cummins (CMI) at 34.21% and Honeywell (HON) at 38.87% pay out an above-typical share of earnings for their industries, leaving thinner cover if profits dip.

CMI

Capital Goods industry group

34.21%

Max: 67.39%
CMI: 34.21%
Q3: 28.02%
Median: 6.86%
Q1: 0.00%
Min: 0.00%

HON

Capital Goods industry group

38.87%

Max: 67.39%
HON: 38.87%
Q3: 28.02%
Median: 6.86%
Q1: 0.00%
Min: 0.00%

Cummins (CMI) vs. Honeywell (HON): A comparison of their payout ratio against the Capital Goods industry group benchmark.

Dividend Metrics

Dividend metrics for Cummins (CMI) and Honeywell (HON)
Metric	CMI	HON
Dividend Yield (TTM)	1.83%	3.63%
Dividend Payout Ratio (TTM)	34.21%	38.87%

Valuation

P/E Ratio (TTM)

Both Cummins (CMI) at 18.78 and Honeywell (HON) at 10.91 sit in the cheaper earnings-multiple quartile for P/E ratio, with the market paying less for a dollar of trailing earnings than it pays for typical peers.

CMI

Capital Goods industry group

18.78

Max: 59.38
Q3: 35.92
Median: 25.41
Q1: 19.47
CMI: 18.78
Min: 3.03

HON

Capital Goods industry group

10.91

Max: 59.38
Q3: 35.92
Median: 25.41
Q1: 19.47
HON: 10.91
Min: 3.03

Cummins (CMI) vs. Honeywell (HON): A comparison of their P/E ratio against the Capital Goods industry group benchmark.

P/S Ratio (TTM)

On P/S ratio, both Cummins (CMI) at 1.72 and Honeywell (HON) at 1.85 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.

CMI

Capital Goods industry group

1.72

Max: 7.54
Q3: 3.76
Median: 2.15
CMI: 1.72
Q1: 1.03
Min: 0.03

HON

Capital Goods industry group

1.85

Max: 7.54
Q3: 3.76
Median: 2.15
HON: 1.85
Q1: 1.03
Min: 0.03

Cummins (CMI) vs. Honeywell (HON): A comparison of their P/S ratio against the Capital Goods industry group benchmark.

P/B Ratio (MRQ)

On P/B ratio, both Cummins (CMI) at 4.63 and Honeywell (HON) at 3.12 are valued close to their industries’ norm against book — neither stands out from peers.

CMI

Capital Goods industry group

4.63

Max: 9.66
Q3: 5.00
CMI: 4.63
Median: 3.12
Q1: 1.81
Min: -1.08

HON

Capital Goods industry group

3.12

Max: 9.66
Q3: 5.00
HON: 3.12
Median: 3.12
Q1: 1.81
Min: -1.08

Cummins (CMI) vs. Honeywell (HON): A comparison of their P/B ratio against the Capital Goods industry group benchmark.

Valuation Metrics

Valuation metrics for Cummins (CMI) and Honeywell (HON)
Metric	CMI	HON
P/E Ratio (TTM)	18.78	10.91
P/S Ratio (TTM)	1.72	1.85
P/B Ratio (MRQ)	4.63	3.12
Free Cash Flow Yield (TTM)	4.06%	10.07%