AI Summary
✦ ClarthaCummins India is an industrial machinery company making engines, generator sets, and related power technologies. Engines drive core revenue through industrial, automotive, hydrogen, natural-gas, fire-pump, and G-drive applications. Lubes, components, aftertreatment systems, and service centers support recurring aftermarket revenue. Q1 FY27 delivered 16.9% revenue growth and 18.1% profit growth, though one-time items and leadership changes complicate underlying comparisons. Margins remained stable, indicating growth has not yet translated into operating leverage. ROE is unavailable, while debt/equity of 0.43 implies moderate leverage and potential amplification of shareholder returns and risks. At 63.7x earnings, the shares appear rich relative to the 16.9% revenue-growth rate. Positive sentiment reflects sustained power-demand opportunities, but valuation leaves limited room for execution delays, margin pressure, or weaker industrial investment.
Price Forecast
Probabilistic Range
Probabilistic lognormal cone using 1Y realized volatility and analyst-target drift when available.
Revenue Forecast
₹ CrEPS Forecast
₹ / shareMulti-factor synthesis of 5 key dimensions
From 22 analysts
Fundamentals
Fundamentals institutional score is 51 using growth durability 51.1.
Valuation
Valuation institutional score is 19 using relative multiple z-scores where peer dispersion is available.
Analyst Consensus
Analyst View institutional score is 44 using mean target upside 8.4%; dispersion penalty 24.4; recommendation breadth from available consensus.
Technical Structure
Technicals institutional score is 67 using EMA-20 continuation within 5% tolerance; VCP range/volume contraction proxy.
Market Sentiment
Recent news flow is balanced or not decisive enough to tilt the tape. Based on 9 recent ticker-linked news items.
Signal Summary
Market intelligence remains Mixed. technical structure provide support, while fundamentals and valuation remain considerations.
Composite weights: Fundamentals 25%, Valuation 20%, Analyst Consensus 20%, Technical Structure 20%, Market Sentiment 15%.
Key Data Points
Important Note: This is market intelligence, not investment advice. Always conduct your own research and consider your financial goals and risk tolerance.
Valuation Metrics
Trading 56.4% above historical median. Valuation is rising — currently in the strongly overvalued zone (z-score: +1.81). Confidence: 68%.
Live forward EPS implies next-12-month EPS of ₹118.04. Applying the stock's normalized valuation corridor produces a fair range of ₹3,843.38 to ₹5,582.11, with base value near ₹4,806.59 (-11.8% vs current price).
Live forward estimate anchored to the company's historical valuation corridor.
Forward EPS
₹118.04
Forward P/E
46.1x
Base Fair Value
₹4,806.59
Fair Range
₹3,843.38 - ₹5,582.11
Upside To Base
-11.8%
Estimate Source
Live forward EPS
Growth Estimate
+0.9%
5Y Average
31.06
Current
63.69
Overvalued
47.29
Undervalued
32.56
5Y Average
25.94
Current
53.40
Overvalued
36.37
Undervalued
13.04
5Y Average
15.45
Current
17.82
Overvalued
17.81
Undervalued
13.85
Peers & Comparison
Sector: Industrials · Theme: Industrial Machinery
| Company | Rev. Growth | Margin | P/E | vs Avg | 52W Perf. |
|---|---|---|---|---|---|
THERMAX LTD THERMAXIndustrial Machinery | +7.1% | 5.5% | 76.8x Premium | +26% vs avg | +24.0% |
KIRLOSKAR OIL ENG LTD KIRLOSENGIndustrial Machinery | +13.4% | 6.9% | 54.5x Fair | -11% vs avg | +137.0% |
HINDUSTAN AERONAUTICS LTD HALIndustrial Machinery | +1.8% | 27.5% | 36.1x Undervalued | -41% vs avg | +10.5% |
AIA ENGINEERING LIMITED AIAENGIndustrial Machinery | +9.4% | 28.7% | 35.2x Undervalued | -42% vs avg | +53.4% |
ABB INDIA LIMITED ABBHeavy Electrical Equipments | +12.1% | 21.3% | 102.7x Premium | +68% vs avg | +50.6% |
CUMMINS INDIA LTD trades in line with peers (64.0x vs avg 61.1x), reflecting a fair valuation within the Industrial Machinery cohort. Peers include THERMAX LTD, KIRLOSKAR OIL ENG LTD, HINDUSTAN AERONAUTICS LTD — selected based on business model, industry classification, market cap similarity, and business theme alignment.
Financials
Real statement data for revenue, earnings quality, conversion, and balance-sheet coverage. Monetary values are shown in Rs crore.
Latest revenue
₹3.43K CrJun 2026Latest net profit
₹543 CrJun 2026Latest EPS
₹19.59Jun 2026Net margin
18.0%Jun 2026Performance
Bars show revenue and net profit. The line shows net margin.
- Revenue
- Net income
- Net margin %
Earnings
Revenue is shown in crores. EPS is rupees per share.
- Revenue
- EPS
Revenue to profit conversion
Bridge from operating numbers to profit for the latest reported period.
Latest reported period: Jun 2026
Debt level and coverage
Debt, cash and free cash flow compared on the same crore scale.
- Debt
- Free cash flow
- Cash & equivalents
Results
| Metric | Jun 2023 | Sep 2023 | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Sales + | 2,209 | 1,900 | 2,534 | 2,316 | 2,304 | 2,492 | 3,086 | 2,457 | 2,907 | 3,170 | 3,055 | 3,011 | 3,426 |
| Expenses + | 1,868 | 1,561 | 1,996 | 1,772 | 1,837 | 2,011 | 2,486 | 1,937 | 2,283 | 2,475 | 2,420 | 2,369 | 2,810 |
| Operating Profit | 341 | 339 | 538 | 544 | 467 | 481 | 600 | 520 | 624 | 695 | 634 | 642 | 616 |
| OPM % | 15% | 18% | 21% | 24% | 20% | 19% | 19% | 21% | 21% | 22% | 21% | 21% | 18% |
| Other Income + | 117 | 132 | 112 | 204 | 132 | 161 | 121 | 212 | 197 | 196 | 13 | 264 | 161 |
| Interest | 8 | 7 | 6 | 6 | 5 | 3 | 3 | 5 | 3 | 3 | 5 | 2 | 4 |
| Depreciation | 36 | 38 | 42 | 42 | 44 | 45 | 48 | 46 | 48 | 49 | 50 | 51 | 53 |
| Profit before tax | 415 | 426 | 602 | 701 | 551 | 594 | 670 | 681 | 770 | 839 | 593 | 852 | 721 |
| Tax % | 24% | 23% | 24% | 20% | 24% | 24% | 23% | 23% | 23% | 24% | 24% | 24% | 25% |
| Net Profit + | 316 | 329 | 455 | 562 | 420 | 451 | 514 | 521 | 589 | 638 | 453 | 650 | 543 |
| EPS in Rs | 11.39 | 11.85 | 16.41 | 20.26 | 15.14 | 16.26 | 18.54 | 18.81 | 21.26 | 23.00 | 16.35 | 23.45 | 19.59 |
| Raw PDF |
All values in ₹ Crores unless otherwise stated. Source: Screener Master (Standalone).