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Cummins CMI Interest coverage

Interest coverage at other companies

Caterpillar logo
CaterpillarCAT
6.1×-1.5×
Wabtec logo
WabtecWAB
7.3×-1.0×
Eaton Corporation logo
Eaton CorporationETN
16.5×-20.2×
Parker-Hannifin logo
Parker-HannifinPH
11.6×+1.2×
Woodward logo
WoodwardWWD
15.2×+4.9×
Howmet Aerospace logo
Howmet AerospaceHWM
116.6×+111×

Other financials

Income statement

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Revenue$8.4B+2.7%
Gross profit$2.2B+4.1%
Operating income$949.0M-16.3%
Net income$680.0M-20.0%
EPS (diluted)$4.71-21.0%

Balance sheet

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Cash & equivalents$2.6B+70.6%
Total debt$8.0B+25.0%
Total equity$12.4B+13.1%
Total assets$34.4B+5.9%

Cash flow

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Operating cash flow$309.0M+10,400%
CapEx$189.0M+16.7%
Free cash flow$120.0M+173%

Valuation

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Market cap$98.92B+72.5%
Enterprise value$104.33B+66.2%
P/E35.5×+15.6×
P/S2.9×+1.2×

Profitability

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Gross margin25.4%+0.1pp
Operating margin11.3%-0.4pp
Net margin8.2%-0.3pp

Returns & leverage

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Return on equity23.9%-5.0pp
Debt / equity0.6×+0.1×
Current ratio1.7×+0.4×

Where this comes from

Calculated from Cummins’s reported figures.

Based on trailing twelve months.

The official record: Cummins’s 10-Q, filed May 5, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Cummins's interest coverage?
Cummins (CMI) reported interest coverage of 11.7× in Q1 2026.
How has Cummins's interest coverage changed year-over-year?
Cummins's interest coverage increased by 5.8% year-over-year, from 11.1× to 11.7×.
What is the long-term trend for Cummins's interest coverage?
Over 2 years (2021 to 2025), Cummins's interest coverage has grown at a -30.6% compound annual growth rate (CAGR), from 98.2× to 47.4×.
What does interest coverage mean?
How many times the company's operating profit covers its interest bill.
How do you interpret interest coverage?
Higher is safer; below ~2× is a warning that earnings provide little cushion against the debt burden. Debt-free companies have no interest expense and the ratio is left blank.
How does interest coverage compare across companies?
Comparable across leveraged non-financials; less relevant for net-cash companies with negligible interest.