CUMMINS INC. vs LAM RESEARCH CORPORATION, two Industrial Machinery stocks. A side-by-side on valuation, growth, margins, returns, and what each price is betting.
Where CMI and LRCX diverge most: on revenue growth, CMI reads +2.9% and LRCX reads +25.9%; on p/s, CMI reads 2.09 and LRCX reads 17.25. The rest of the comparable metrics sit closer together. What CMI's price implies is a bet that sits within the historical range (whole-company basis). What LRCX's price implies is a somewhat stretched bet versus history (whole-company basis). The bull and bear cases for each are in their full reports below.
| Metric | CMI | LRCX |
|---|---|---|
| Price | $523.32 | $318.81 |
| Market cap | $72.5B | $400.8B |
| Sector | Industrial Machinery | Industrial Machinery |
| Stage | Mature | Mature |
| Implied growth (priced in) | +16.8% | — |
| P/E | 26.8 | 55.4 |
| P/B | 5.21 | 32.14 |
| P/S | 2.09 | 17.25 |
| EV/EBITDA | 15.1 | 46.2 |
| Revenue growth | +2.9% | +25.9% |
| Gross margin | 26.1% | 51.8% |
| Operating margin | 13.5% | 37.4% |
| Net margin | 8.2% | 31.3% |
| Return on equity | 20.3% | 58.3% |
| Return on assets | 7.9% | 30.9% |
| Return on invested capital | 13.8% | 47.0% |
| FCF yield | 4.7% | 1.2% |
| Dividend yield | 1.5% | 0.3% |
| Debt / equity | 0.52 | 0.30 |
| Current ratio | 1.73 | 2.63 |
| Altman Z (solvency) | 4.29 | 9.91 |
| Piotroski F (quality) | 7 / 9 | 5 / 9 |
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The stronger value is highlighted per metric where one is strictly better on that single number; it is not an overall verdict on either company. For informational and research purposes only. Not investment advice. Not a recommendation to buy, sell, or hold any security. boothcheck is not a registered investment adviser. Past performance does not guarantee future results.