Cummins (XTER:CUM) ROE % Adjusted to Book Value: 3.62% (As of Mar. 2026)


XTER:CUM Cummins Inc XTER:CUM
84 GF Score
Price €581.60
GF Value €287.00
Valuation Significantly Overvalued
! 9 Warning Signs
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What is Cummins ROE % Adjusted to Book Value?

Cummins XTER:CUM 84 ROE % Adjusted to Book Value is 3.62% as of Mar. 2026. GuruFocus rates XTER:CUM with a GF Score™ of 84/100 and a GF Value™ of €287.00 (Significantly Overvalued). The stock has 9 warning signs investors should review.

Cummins's ROE % for the quarter that ended in Mar. 2026 was 21.32%. Cummins's PB Ratio for the quarter that ended in Mar. 2026 was 5.89. Cummins's ROE % Adjusted to Book Value for the quarter that ended in Mar. 2026 was 3.62%.


Cummins ROE % Adjusted to Book Value Related Terms


Cummins ROE % Adjusted to Book Value Historical Data

* Premium members only.

The historical data trend for Cummins's ROE % Adjusted to Book Value can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Cummins ROE % Adjusted to Book Value Chart

Cummins Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROE % Adjusted to Book Value
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.14 6.85 2.14 11.01 4.15

Cummins Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROE % Adjusted to Book Value Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 8.25 8.28 4.87 3.38 3.62

XTER:CUM vs EMR, ITW, PH: ROE % Adjusted to Book Value Comparison

For the Specialty Industrial Machinery subindustry, Cummins's ROE % Adjusted to Book Value, along with its competitors' market caps and ROE % Adjusted to Book Value data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Cummins ROE % Adjusted to Book Value vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Cummins's ROE % Adjusted to Book Value distribution charts can be found below:

* The bar in red indicates where Cummins's ROE % Adjusted to Book Value falls into.


XTER:CUM
84GF Score
Cummins Inc XTER:CUM
ROE % Adjusted to Book Value is just one metric. See GF Score™, valuation, warning signs, and more.
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Cummins ROE % Adjusted to Book Value Calculation

Cummins's ROE % Adjusted to Book Value for the fiscal year that ended in Dec. 2025 is calculated as

ROE % Adjusted to Book Value=ROE % / PB Ratio
=23.86% / 5.75
=4.15%

Cummins's ROE % Adjusted to Book Value for the quarter that ended in Mar. 2026 is calculated as

ROE % Adjusted to Book Value=ROE % / PB Ratio
=21.32% / 5.89
=3.62%

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

What does a ROE % Adjusted to Book Value of 3.62% mean?
Cummins (XTER:CUM) has a ROE % Adjusted to Book Value of 3.62% as of Mar. 2026. Return on equity adjusted to book is the ratio of return on equity to price-book ratio. View historical data on Cummins and its competitors.
Is Cummins' ROE % Adjusted to Book Value too high?
Cummins' current ROE % Adjusted to Book Value is 3.62%. Overall, Cummins has a GF Score™ of 84/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Cummins' ROE % Adjusted to Book Value compare to EMR and ITW?
Cummins' ROE % Adjusted to Book Value of 3.62% can be compared against companies in the Industrial Products industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % Adjusted to Book Value for an Industrial Products company?
A good ROE % Adjusted to Book Value depends on the Industrial Products industry context. However, ROE % Adjusted to Book Value should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % Adjusted to Book Value mean?
A high ROE % Adjusted to Book Value can signal that a stock is expensive relative to its fundamentals. Return on equity adjusted to book is the ratio of return on equity to price-book ratio. View historical data on Cummins and its competitors. Cummins's current ROE % Adjusted to Book Value is 3.62%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cummins stock overvalued right now?
Based on GuruFocus' analysis, Cummins (XTER:CUM) is currently considered Significantly Overvalued. The stock's GF Value™ is €287.00, compared to a current price of €581.60 — trading 102.6% above its estimated fair value. The current ROE % Adjusted to Book Value is 3.62%. Cummins' overall GF Score™ is 84/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % Adjusted to Book Value calculated?
ROE % Adjusted to Book Value is calculated from a company's financial statements. For Cummins (XTER:CUM), the current ROE % Adjusted to Book Value is 3.62% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Cummins (XTER:CUM) Overvalued in 2026?

Based on GuruFocus' analysis, Cummins stock appears to be overvalued. The current stock price of €581.60 is trading 102.6% above its estimated GF Value™ of €287.00. GuruFocus considers Cummins to be Significantly Overvalued.

Key valuation signals for XTER:CUM:

  • ROE % Adjusted to Book Value: 3.62%
  • GF Value™: €287.00 vs. price of €581.60 (102.6% above fair value)
  • GF Score™: 84/100 with 9 warning signs

No single metric tells the full story. See the XTER:CUM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Cummins Business Description

Address 500 Jackson Street, Box 3005, Columbus, IN, USA, 47202-3005
Cummins is a leading manufacturer of diesel and other engines used in heavy- and medium-duty commercial trucks, off-highway equipment, and locomotives, in addition to prime power and standby generators. The company also sells powertrain components, which include filtration products, transmissions, turbochargers, aftertreatment systems, and fuel systems. Sales are approximately 60% US and Canada and 40% rest of the world. Much of Cummins' foreign sales (China, India, and so forth) are through joint ventures. The company operates 650 distributors and over 19,000 dealer locations across 190 countries. Cummins' business model is unique as it competes with many of its heavy-duty truck manufacturer customers, which also make their own engines.
84GF Score

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ROE % Adjusted to Book Value is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€581.60
Price
€287.00
GF Value