Valuation check: CMI's ROE is 21.13%, above the Industrials sector average of 20.55%.
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+ Follow21.13%
Return on Equity measures how efficiently a company uses shareholders' equity to generate profits. A higher ROE indicates better profitability relative to equity.
Cummins (CMI) currently reports a ROE of 21.13%. That is above the Industrials sector average of 20.55%. Use the charts on this page to explore Cummins's ROE history and peer comparisons.
Cummins's ROE of 21.13% is higher than the Industrials sector average of 20.55%. That is roughly 2.9% above the sector mean. A reading higher peers can reflect different growth expectations, capital structure, or profitability — so it is worth checking the peer comparison chart before drawing conclusions.
There is no universal 'good' ROE, but Cummins's current 21.13% should be judged against Industrials norms (sector average: 20.55%) and against CMI's own history. Strong, stable readings often indicate durable competitive advantage; volatile or declining ones deserve a closer look at margins and capital efficiency.
Start with the current ROE of 21.13%, then check the historical chart for trend and the peer comparison chart for relative positioning. The Industrials average is 20.55%. From there, open related valuation or income-statement pages for Cummins, and consider following CMI for alerts when major investors trade the stock.
Cummins is classified in the Industrials sector. On ROE, it currently shows 21.13% versus a sector average near 20.55%. Sector peers often share similar capital intensity and growth regimes, so relative rankings inside Industrials are usually more informative than comparing CMI with unrelated industries.