CMI vs. TT: Cummins vs. Trane Technologies Stock Comparison

November 11, 2026

How do Cummins (CMI) and Trane Technologies (TT) 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 Trane Technologies (TT) both fall under the Capital Goods industry group, but CMI is classified in Machinery while TT is classified in Building Products.

Company profile comparison for Cummins (CMI) and Trane Technologies (TT)
Profile Item	CMI	TT
Name	Cummins Inc.	Trane Technologies plc
Country/Region	United States	Ireland
GICS Sector	Industrials	Industrials
GICS Industry Group	Capital Goods	Capital Goods
GICS Industry	Machinery	Building Products
GICS Sub-Industry	Construction Machinery & Heavy Transportation Equipment	Building Products
Market Capitalization	61.69 billion USD	87.94 billion USD
Currency	USD	USD
Exchange	NYSE	NYSE
Listing Date	February 21, 1973	March 17, 1980
Security Type	Common Stock	Common Stock

Price Performance

Cumulative Growth

CMI

GSPC

Cummins (CMI) vs. Trane Technologies (TT), 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 Trane Technologies (TT). Returns over one year are annualized.

Calendar-Year Returns

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

Performance Metrics

Price performance metrics for Cummins (CMI) and Trane Technologies (TT)
Metric	CMI	TT
Total Return (1Y)	-0.52%	-2.56%
Total Return (3Y, Annualized)	31.79%	25.06%
Total Return (5Y, Annualized)	17.12%	18.70%

Risk Profile

Drawdown History

CMI

GSPC

Cummins (CMI) vs. Trane Technologies (TT), 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 Trane Technologies (TT). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Cummins (CMI) and Trane Technologies (TT)
Metric	CMI	TT
Volatility (1Y, Annualized)	36.83%	30.26%
Beta (5Y)	1.26	1.18
Max Drawdown (5Y)	-38.12%	-39.76%
Avg. Volume (3M)	1.14M	1.24M

Risk-Adjusted Performance

Risk-Return Positioning

CMI and TT 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 Trane Technologies (TT)
Metric	CMI	TT
Sharpe Ratio (1Y)	-0.13	-0.23
Sortino Ratio (1Y)	-0.18	-0.31

Profitability

ROE (TTM)

Both Cummins (CMI) at 25.05% and Trane Technologies (TT) at 36.94% sit in the top peer quartile for ROE, suggesting each generates more profit from shareholders’ equity than typical industry peers.

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%

TT

Capital Goods industry group

36.94%

Max: 40.55%
TT: 36.94%
Q3: 19.29%
Median: 12.12%
Q1: 4.08%
Min: -17.12%

Cummins (CMI) vs. Trane Technologies (TT): A comparison of their ROE against the Capital Goods industry group benchmark.

Net Margin (TTM)

Trane Technologies (TT) at 13.56% 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%

TT

Capital Goods industry group

13.56%

Max: 27.47%
TT: 13.56%
Q3: 12.10%
Median: 6.30%
Q1: 1.40%
Min: -12.89%

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

Operating Margin (TTM)

Trane Technologies (TT) at 19.85% operates in the top operating margin quartile, ahead of Cummins (CMI) at 13.95%, which runs around its industry’s norm.

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%

TT

Capital Goods industry group

19.85%

Max: 36.60%
TT: 19.85%
Q3: 18.33%
Median: 11.12%
Q1: 5.14%
Min: -12.63%

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

Profitability Metrics

Profitability metrics for Cummins (CMI) and Trane Technologies (TT)
Metric	CMI	TT
ROE (TTM)	25.05%	36.94%
ROA (TTM)	7.60%	11.42%
Net Margin (TTM)	9.26%	13.56%
Operating Margin (TTM)	13.95%	19.85%
Gross Margin (TTM)	26.32%	34.99%

Growth

Revenue Growth

Trane Technologies (TT) at 7.48% 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. Trane Technologies (TT): A comparison of their Revenue Growth across different time periods.

EPS Growth

Trane Technologies (TT) at 15.48% 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. Trane Technologies (TT): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Cummins (CMI) and Trane Technologies (TT)
Metric	CMI	TT
Revenue Growth (YoY)	-1.27%	7.48%
Revenue Growth (3Y CAGR)	6.25%	10.06%
EPS Growth (YoY)	-27.74%	15.48%
EPS Growth (3Y CAGR)	10.68%	20.17%

Financial Strength

Current Ratio (MRQ)

Cummins (CMI) at 1.74 keeps current ratio within its industry’s typical mid-range, while Trane Technologies (TT) at 1.12 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for TT.

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

TT

Capital Goods industry group

1.12

Max: 5.22
Q3: 2.95
Median: 2.08
Q1: 1.43
TT: 1.12
Min: 0.36

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

Debt / Equity (MRQ)

Both Cummins (CMI) at 0.52 and Trane Technologies (TT) at 0.46 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

TT

Capital Goods industry group

0.46

Max: 2.33
Q3: 1.12
Median: 0.60
TT: 0.46
Q1: 0.29
Min: 0.00

Cummins (CMI) vs. Trane Technologies (TT): 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 Trane Technologies (TT)
Metric	CMI	TT
Current Ratio (MRQ)	1.74	1.12
Debt / Equity (MRQ)	0.52	0.46
Net Debt / EBITDA	0.62	0.66

Dividends

Dividend Yield (TTM)

Cummins (CMI) at 1.83% delivers top-quartile income for its industry, while Trane Technologies (TT) at 1.04% pays a more typical yield — both are credible income propositions, CMI the richer one.

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%

TT

Capital Goods industry group

1.04%

Max: 2.66%
Q3: 1.14%
TT: 1.04%
Median: 0.24%
Q1: 0.00%
Min: 0.00%

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

Dividend Payout Ratio (TTM)

Both Cummins (CMI) at 34.21% and Trane Technologies (TT) at 28.42% 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%

TT

Capital Goods industry group

28.42%

Max: 67.39%
TT: 28.42%
Q3: 28.02%
Median: 6.86%
Q1: 0.00%
Min: 0.00%

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

Dividend Metrics

Dividend metrics for Cummins (CMI) and Trane Technologies (TT)
Metric	CMI	TT
Dividend Yield (TTM)	1.83%	1.04%
Dividend Payout Ratio (TTM)	34.21%	28.42%

Valuation

P/E Ratio (TTM)

Cummins (CMI) at 18.78 sits in the cheaper P/E ratio quartile, while Trane Technologies (TT) at 27.92 is closer to its industry’s usual earnings multiple — a discount for CMI, though growth and earnings durability still matter.

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

TT

Capital Goods industry group

27.92

Max: 59.38
Q3: 35.92
TT: 27.92
Median: 25.41
Q1: 19.47
Min: 3.03

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

P/S Ratio (TTM)

Cummins (CMI) at 1.72 is priced about in line with its industry on P/S ratio, while Trane Technologies (TT) at 3.79 sits in the pricier quartile — TT costs more per dollar of sales.

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

TT

Capital Goods industry group

3.79

Max: 7.54
TT: 3.79
Q3: 3.76
Median: 2.15
Q1: 1.03
Min: 0.03

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

P/B Ratio (MRQ)

Cummins (CMI) at 4.63 is valued about in line with its industry on P/B ratio, while Trane Technologies (TT) at 9.66 carries an above-peer premium to book — TT is pricier on assets.

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

TT

Capital Goods industry group

9.66

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

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

Valuation Metrics

Valuation metrics for Cummins (CMI) and Trane Technologies (TT)
Metric	CMI	TT
P/E Ratio (TTM)	18.78	27.92
P/S Ratio (TTM)	1.72	3.79
P/B Ratio (MRQ)	4.63	9.66
Free Cash Flow Yield (TTM)	4.06%	3.94%