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CMI vs. TXT: Cummins vs. Textron Stock Comparison

How do Cummins (CMI) and Textron (TXT) 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 Textron (TXT) both fall under the Capital Goods industry group, but CMI is classified in Machinery while TXT is classified in Aerospace & Defense.

Company profile comparison for Cummins (CMI) and Textron (TXT)
Profile ItemCMITXT
NameCummins Inc.Textron Inc.
Country/RegionUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS Industry GroupCapital GoodsCapital Goods
GICS IndustryMachineryAerospace & Defense
GICS Sub-IndustryConstruction Machinery & Heavy Transportation EquipmentAerospace & Defense
Market Capitalization61.69 billion USD14.15 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateFebruary 21, 1973February 21, 1973
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

CMI
TXT
GSPC
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Cummins (CMI) vs. Textron (TXT), 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 Textron (TXT). Returns over one year are annualized.

Calendar-Year Returns

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

Performance Metrics

Price performance metrics for Cummins (CMI) and Textron (TXT)
MetricCMITXT
Total Return (1Y)-0.52%3.94%
Total Return (3Y, Annualized)31.79%4.49%
Total Return (5Y, Annualized)17.12%2.30%

Risk Profile

Drawdown History

CMI
TXT
GSPC
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Cummins (CMI) vs. Textron (TXT), 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 Textron (TXT). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Cummins (CMI) and Textron (TXT)
MetricCMITXT
Volatility (1Y, Annualized)36.83%29.18%
Beta (5Y)1.260.87
Max Drawdown (5Y)-38.12%-37.33%
Avg. Volume (3M)1.14M1.72M

Risk-Adjusted Performance

Risk-Return Positioning

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CMI and TXT 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 Textron (TXT)
MetricCMITXT
Sharpe Ratio (1Y)-0.13-0.01
Sortino Ratio (1Y)-0.18-0.02

Profitability

ROE (TTM)

Cummins (CMI) at 25.05% sits in the top ROE quartile, while Textron (TXT) at 12.48% is closer to the peer norm — stronger capital efficiency for CMI.

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%

TXT

Capital Goods industry group

12.48%

Max
40.55%
Q3
19.29%
TXT
12.48%
Median
12.12%
Q1
4.08%
Min
-17.12%
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Cummins (CMI) vs. Textron (TXT): A comparison of their ROE against the Capital Goods industry group benchmark.

Net Margin (TTM)

Both Cummins (CMI) at 9.26% and Textron (TXT) at 6.30% keep about the typical share of revenue as profit for their industries — neither bottom line stands out from peers.

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%

TXT

Capital Goods industry group

6.30%

Max
27.47%
Q3
12.10%
TXT
6.30%
Median
6.30%
Q1
1.40%
Min
-12.89%
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Cummins (CMI) vs. Textron (TXT): A comparison of their net margin against the Capital Goods industry group benchmark.

Operating Margin (TTM)

Both Cummins (CMI) at 13.95% and Textron (TXT) at 9.33% 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%

TXT

Capital Goods industry group

9.33%

Max
36.60%
Q3
18.33%
Median
11.12%
TXT
9.33%
Q1
5.14%
Min
-12.63%
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Cummins (CMI) vs. Textron (TXT): A comparison of their operating margin against the Capital Goods industry group benchmark.

Profitability Metrics

Profitability metrics for Cummins (CMI) and Textron (TXT)
MetricCMITXT
ROE (TTM)25.05%12.48%
ROA (TTM)7.60%4.51%
Net Margin (TTM)9.26%6.30%
Operating Margin (TTM)13.95%9.33%
Gross Margin (TTM)26.32%17.53%

Growth

Revenue Growth

Textron (TXT) at 8.01% 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.

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

EPS Growth

Textron (TXT) at 18.02% is around its peer norm for EPS growth, while Cummins (CMI) at -27.74% drops into the bottom quartile, signaling weaker earnings momentum.

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

Growth Metrics

Growth metrics for Cummins (CMI) and Textron (TXT)
MetricCMITXT
Revenue Growth (YoY)-1.27%8.01%
Revenue Growth (3Y CAGR)6.25%4.77%
EPS Growth (YoY)-27.74%18.02%
EPS Growth (3Y CAGR)10.68%8.42%

Financial Strength

Current Ratio (MRQ)

Both Cummins (CMI) at 1.74 and Textron (TXT) at 1.80 carry current ratio within their industries’ typical mid-ranges, suggesting balanced short-term liquidity relative to peers.

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

TXT

Capital Goods industry group

1.80

Max
5.22
Q3
2.95
Median
2.08
TXT
1.80
Q1
1.43
Min
0.36
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Cummins (CMI) vs. Textron (TXT): A comparison of their current ratio against the Capital Goods industry group benchmark.

Debt / Equity (MRQ)

Both Cummins (CMI) at 0.52 and Textron (TXT) at 0.52 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

TXT

Capital Goods industry group

0.52

Max
2.33
Q3
1.12
Median
0.60
TXT
0.52
Q1
0.29
Min
0.00
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Cummins (CMI) vs. Textron (TXT): 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 Textron (TXT)
MetricCMITXT
Current Ratio (MRQ)1.741.80
Debt / Equity (MRQ)0.520.52
Net Debt / EBITDA0.621.54

Dividends

Dividend Yield (TTM)

Cummins (CMI) at 1.83% delivers top-quartile income for its industry, while Textron (TXT) at 0.09% 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%

TXT

Capital Goods industry group

0.09%

Max
2.66%
Q3
1.14%
Median
0.24%
TXT
0.09%
Q1
0.00%
Min
0.00%
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Cummins (CMI) vs. Textron (TXT): A comparison of their dividend yield against the Capital Goods industry group benchmark.

Dividend Payout Ratio (TTM)

Textron (TXT) at 1.44% pays out a band-typical share of earnings, while Cummins (CMI) at 34.21% distributes more than its industry norm — less retained, thinner cover.

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%

TXT

Capital Goods industry group

1.44%

Max
67.39%
Q3
28.02%
Median
6.86%
TXT
1.44%
Q1
0.00%
Min
0.00%
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Cummins (CMI) vs. Textron (TXT): A comparison of their payout ratio against the Capital Goods industry group benchmark.

Dividend Metrics

Dividend metrics for Cummins (CMI) and Textron (TXT)
MetricCMITXT
Dividend Yield (TTM)1.83%0.09%
Dividend Payout Ratio (TTM)34.21%1.44%

Valuation

P/E Ratio (TTM)

Both Cummins (CMI) at 18.78 and Textron (TXT) at 15.03 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

TXT

Capital Goods industry group

15.03

Max
59.38
Q3
35.92
Median
25.41
Q1
19.47
TXT
15.03
Min
3.03
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Cummins (CMI) vs. Textron (TXT): A comparison of their P/E ratio against the Capital Goods industry group benchmark.

P/S Ratio (TTM)

Textron (TXT) at 0.92 sits in the cheaper P/S ratio quartile while Cummins (CMI) at 1.72 prices around its industry’s middle — TXT costs less per dollar of sales, though read it alongside growth and margins.

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

TXT

Capital Goods industry group

0.92

Max
7.54
Q3
3.76
Median
2.15
Q1
1.03
TXT
0.92
Min
0.03
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Cummins (CMI) vs. Textron (TXT): A comparison of their P/S ratio against the Capital Goods industry group benchmark.

P/B Ratio (MRQ)

Textron (TXT) at 1.74 sits in the lower P/B ratio quartile against book while Cummins (CMI) at 4.63 is valued near its industry’s middle — TXT is cheaper on assets, though weigh it against ROE and asset quality.

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

TXT

Capital Goods industry group

1.74

Max
9.66
Q3
5.00
Median
3.12
Q1
1.81
TXT
1.74
Min
-1.08
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Cummins (CMI) vs. Textron (TXT): A comparison of their P/B ratio against the Capital Goods industry group benchmark.

Valuation Metrics

Valuation metrics for Cummins (CMI) and Textron (TXT)
MetricCMITXT
P/E Ratio (TTM)18.7815.03
P/S Ratio (TTM)1.720.92
P/B Ratio (MRQ)4.631.74
Free Cash Flow Yield (TTM)4.06%5.35%