In Week of Mar 28, 2026, Cummins India Ltd (Gensets) is outperforming Nifty 500 with +18.2% relative strength. Fundamentals: Weak. On a 6-week streak.
Weekly presence in the outperformers list. Green = beating Nifty 500 by 10%+ that week.
Based on Q3 FY26 (December 2025) earnings • Updated Feb 22, 2026
What: 26% YoY growth in distribution business offsetting powergen weakness
Impact: +₹200 Cr revenue
“Distribution business sales at 939 crores, 26% increase over last year and 18% increase over last quarter”
What: Sustained cost reduction efforts reversing margin compression
“Our improvement actions to improve the material cost they will continue”
What: Management's confidence in recovery across all key segments
Impact: +₹300 Cr revenue
“We expect to have double-digit revenue growth over the previous fiscal year which is supported by demand across all our key segments”
Earnings deceleration risks from management commentary
Trigger: Powergen demand doesn't recover in H2 FY26
Impact: -200 bps margin impact
Management view: Power gen domestic sales are at 1,69 crores. There's a 16% decrease over last year and a 20% decrease over last quarter.
Monitor: Powergen segment growth rate
Trigger: Supplier benefits expire without replacement
Impact: -150 bps margin impact
Management view: The one-time supplier benefits the mix that is not repeatable
Monitor: Gross margin trend
Key quotes from recent conference calls
“Distribution business sales are at 939 crores, 26% increase over last year and 18% increase over last quarter. — Management”
“There is there is our own effort to improve material cost and also some one-time supplier benefits. So the one-time supplier benefits the mix that is not repeatable. Uh our bene our improvement actions to improve the material cost they will continue. — Management”
“Regarding the sales outlook for the financial year 26, we expect to have double-digit revenue growth over the previous fiscal year which is supported by demand across all our key segments. — Management”
Forward-looking targets from management for FY26
Revenue Growth Target
10%
Implied PAT Growth
8%
Key Milestones
• Double-digit revenue growth in FY26
Revenue, profit and margin growth rates
| Metric | YoY | 3Y CAGR | Trend |
|---|---|---|---|
| Revenue | -1% | +19% | Inflection Down |
| PAT (Net Profit) | -13% | +29% | Stable |
| OPM | 21.0% | +200 bps | Expanding |
The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Feb 22, 2026.
Based on publicly available financial data. This is educational research, not investment advice.
Cummins India Ltd's latest quarterly results (Dec 2025) show
Cummins India Ltd's profit is declining with an stable trend.
Cummins India Ltd's revenue growth trend is inflecting downward.
Cummins India Ltd's operating margin is expanding.
Cummins India Ltd's long-term compounding rates
Cummins India Ltd's earnings growth is stable with weakening on a sequential basis.
Cummins India Ltd's trailing twelve month (TTM) performance
Cummins India Ltd appears fairly valued based on our fair value analysis.
Cummins India Ltd's current PE ratio is 55.1x.
Cummins India Ltd's current PE is 55.1x.
Cummins India Ltd's price-to-book ratio is 16.3x.
Cummins India Ltd is rated Weak with a fundamental score of 37/100. This score is calculated from objective financial metrics
Cummins India Ltd has a debt-to-equity ratio of N/A.
Cummins India Ltd's return ratios over recent years
Cummins India Ltd's operating cash flow is positive (FY2025).
Cummins India Ltd's current dividend yield is 1.11%.
Cummins India Ltd's shareholding pattern (Dec 2025)
Cummins India Ltd's promoter holding has remained stable recently.
Cummins India Ltd has been outperforming Nifty 500 for 6 consecutive weeks, indicating building momentum.
Cummins India Ltd is an established outperformer with 6 weeks of consecutive Nifty 500 outperformance.
Cummins India Ltd has 3 key growth catalysts identified from recent earnings analysis
Cummins India Ltd has 2 key risks worth monitoring
In Q3 FY26 (December 2025), Cummins India Ltd's management highlighted
Cummins India Ltd's management has provided the following forward guidance for FY26
Based on quantitative research signals, here is why Cummins India Ltd may be worth studying
Cummins India Ltd investment thesis summary:
Cummins India Ltd's forward outlook based on current data signals
The above FAQs are generated from publicly available earnings data and conference call transcripts. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.
