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

Updated on August 19, 2025

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

Company Profile

Symbol	CMI	SARO
Company Name	Cummins Inc.	StandardAero, Inc.
Country	United States	United States
GICS Sector	Industrials	Industrials
GICS Industry	Machinery	Aerospace & Defense
Market Capitalization	56.05 billion USD	9.42 billion USD
Exchange	NYSE	NYSE
Listing Date	February 21, 1973	October 2, 2024
Security Type	Common Stock	Common Stock

Historical Performance

This chart compares the performance of CMI and SARO 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. SARO: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

Symbol	CMI	SARO
5-Day Price Return	5.77%	1.99%
13-Week Price Return	23.05%	3.13%
26-Week Price Return	10.20%	5.52%
52-Week Price Return	39.82%	--
Month-to-Date Return	10.66%	0.42%
Year-to-Date Return	16.70%	15.79%
10-Day Avg. Volume	1.07M	1.62M
3-Month Avg. Volume	0.88M	2.49M
3-Month Volatility	26.31%	24.80%
Beta	1.05	1.25

Profitability

Return on Equity (TTM)

CMI

27.17%

Machinery Industry

Max: 34.68%
Q3: 19.06%
Median: 13.13%
Q1: 8.53%
Min: -4.87%

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.

SARO

3.97%

Aerospace & Defense Industry

Max: 43.89%
Q3: 22.42%
Median: 12.50%
Q1: 5.21%
Min: -6.24%

SARO’s Return on Equity of 3.97% is in the lower quartile for the Aerospace & Defense industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.

CMI vs. SARO: A comparison of their Return on Equity (TTM) against their respective Machinery and Aerospace & Defense industry benchmarks.

Net Profit Margin (TTM)

CMI

8.72%

Machinery Industry

Max: 19.74%
Q3: 11.24%
Median: 8.13%
Q1: 5.38%
Min: -1.11%

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.

SARO

1.30%

Aerospace & Defense Industry

Max: 14.54%
Q3: 8.08%
Median: 6.17%
Q1: 2.49%
Min: -1.63%

Falling into the lower quartile for the Aerospace & Defense industry, SARO’s Net Profit Margin of 1.30% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

CMI vs. SARO: A comparison of their Net Profit Margin (TTM) against their respective Machinery and Aerospace & Defense industry benchmarks.

Operating Profit Margin (TTM)

CMI

12.28%

Machinery Industry

Max: 26.63%
Q3: 16.15%
Median: 11.27%
Q1: 7.72%
Min: -4.91%

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.

SARO

7.27%

Aerospace & Defense Industry

Max: 16.63%
Q3: 10.38%
Median: 8.29%
Q1: 6.21%
Min: 0.95%

SARO’s Operating Profit Margin of 7.27% is around the midpoint for the Aerospace & Defense industry, indicating that its efficiency in managing core business operations is typical for the sector.

CMI vs. SARO: A comparison of their Operating Profit Margin (TTM) against their respective Machinery and Aerospace & Defense industry benchmarks.

Profitability at a Glance

Symbol	CMI	SARO
Return on Equity (TTM)	27.17%	3.97%
Return on Assets (TTM)	9.02%	1.15%
Net Profit Margin (TTM)	8.72%	1.30%
Operating Profit Margin (TTM)	12.28%	7.27%
Gross Profit Margin (TTM)	25.96%	14.55%

Financial Strength

Current Ratio (MRQ)

CMI

1.64

Machinery Industry

Max: 3.83
Q3: 2.32
Median: 1.72
Q1: 1.28
Min: 0.78

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.

SARO

2.00

Aerospace & Defense Industry

Max: 3.09
Q3: 1.98
Median: 1.23
Q1: 1.03
Min: 0.02

SARO’s Current Ratio of 2.00 is in the upper quartile for the Aerospace & Defense industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

CMI vs. SARO: A comparison of their Current Ratio (MRQ) against their respective Machinery and Aerospace & Defense industry benchmarks.

Debt-to-Equity Ratio (MRQ)

CMI

0.69

Machinery Industry

Max: 1.49
Q3: 0.75
Median: 0.44
Q1: 0.26
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.

SARO

0.96

Aerospace & Defense Industry

Max: 1.70
Q3: 1.04
Median: 0.68
Q1: 0.41
Min: 0.00

SARO’s Debt-to-Equity Ratio of 0.96 is typical for the Aerospace & Defense industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

CMI vs. SARO: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Machinery and Aerospace & Defense industry benchmarks.

Interest Coverage Ratio (TTM)

CMI

Machinery Industry

Max: 67.55
Q3: 33.79
Median: 13.87
Q1: 7.97
Min: -1.43

Interest Coverage Ratio data for CMI is currently unavailable.

SARO

1.29

Aerospace & Defense Industry

Max: 36.57
Q3: 19.90
Median: 7.04
Q1: 2.40
Min: -7.63

In the lower quartile for the Aerospace & Defense industry, SARO’s Interest Coverage Ratio of 1.29 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.

CMI vs. SARO: A comparison of their Interest Coverage Ratio (TTM) against their respective Machinery and Aerospace & Defense industry benchmarks.

Financial Strength at a Glance

Symbol	CMI	SARO
Current Ratio (MRQ)	1.64	2.00
Quick Ratio (MRQ)	0.87	1.34
Debt-to-Equity Ratio (MRQ)	0.69	0.96
Interest Coverage Ratio (TTM)	--	1.29

Growth

Revenue Growth

CMI vs. SARO: 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. SARO: 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

1.82%

Machinery Industry

Max: 5.32%
Q3: 2.84%
Median: 1.87%
Q1: 1.09%
Min: 0.00%

CMI’s Dividend Yield of 1.82% is consistent with its peers in the Machinery industry, providing a dividend return that is standard for its sector.

SARO

0.00%

Aerospace & Defense Industry

Max: 2.03%
Q3: 1.22%
Median: 0.43%
Q1: 0.00%
Min: 0.00%

SARO currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

CMI vs. SARO: A comparison of their Dividend Yield (TTM) against their respective Machinery and Aerospace & Defense industry benchmarks.

Dividend Payout Ratio (TTM)

CMI

34.07%

Machinery Industry

Max: 202.17%
Q3: 98.65%
Median: 55.54%
Q1: 29.03%
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.

SARO

0.00%

Aerospace & Defense Industry

Max: 83.87%
Q3: 49.90%
Median: 16.48%
Q1: 0.00%
Min: 0.00%

SARO has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

CMI vs. SARO: A comparison of their Dividend Payout Ratio (TTM) against their respective Machinery and Aerospace & Defense industry benchmarks.

Dividend at a Glance

Symbol	CMI	SARO
Dividend Yield (TTM)	1.82%	0.00%
Dividend Payout Ratio (TTM)	34.07%	0.00%

Valuation

Price-to-Earnings Ratio (TTM)

CMI

18.72

Machinery Industry

Max: 53.66
Q3: 31.29
Median: 22.00
Q1: 16.18
Min: 7.00

CMI’s P/E Ratio of 18.72 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.

SARO

133.17

Aerospace & Defense Industry

Max: 65.97
Q3: 54.11
Median: 34.53
Q1: 23.66
Min: 0.00

At 133.17, SARO’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Aerospace & Defense industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

CMI vs. SARO: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Machinery and Aerospace & Defense industry benchmarks.

Price-to-Sales Ratio (TTM)

CMI

1.63

Machinery Industry

Max: 5.04
Q3: 2.72
Median: 1.67
Q1: 1.04
Min: 0.24

CMI’s P/S Ratio of 1.63 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.

SARO

1.73

Aerospace & Defense Industry

Max: 8.07
Q3: 4.49
Median: 2.42
Q1: 1.39
Min: 0.00

SARO’s P/S Ratio of 1.73 aligns with the market consensus for the Aerospace & Defense industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

CMI vs. SARO: A comparison of their Price-to-Sales Ratio (TTM) against their respective Machinery and Aerospace & Defense industry benchmarks.

Price-to-Book Ratio (MRQ)

CMI

3.83

Machinery Industry

Max: 7.23
Q3: 3.90
Median: 2.52
Q1: 1.47
Min: 0.49

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.

SARO

3.65

Aerospace & Defense Industry

Max: 13.67
Q3: 7.92
Median: 4.65
Q1: 2.68
Min: 0.82

SARO’s P/B Ratio of 3.65 is within the conventional range for the Aerospace & Defense 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. SARO: A comparison of their Price-to-Book Ratio (MRQ) against their respective Machinery and Aerospace & Defense industry benchmarks.

Valuation at a Glance

Symbol	CMI	SARO
Price-to-Earnings Ratio (TTM)	18.72	133.17
Price-to-Sales Ratio (TTM)	1.63	1.73
Price-to-Book Ratio (MRQ)	3.83	3.65
Price-to-Free Cash Flow Ratio (TTM)	30.30	--