What is Zacks Research’s Estimate for Cummins Q3 Earnings?

Posted by Francis Steltz on Aug 26th, 2026

Cummins Inc. (NYSE:CMI – Free Report) – Investment analysts at Zacks Research boosted their Q3 2026 earnings per share (EPS) estimates for Cummins in a note issued to investors on Tuesday, August 25th. Zacks Research analyst Team now expects that the company will post earnings of $8.51 per share for the quarter, up from their previous estimate of $8.32. Zacks Research has a “Hold” rating on the stock. The consensus estimate for Cummins’ current full-year earnings is $30.06 per share. Zacks Research also issued estimates for Cummins’ Q1 2027 earnings at $7.10 EPS, Q3 2027 earnings at $9.25 EPS, Q4 2027 earnings at $9.49 EPS, FY2027 earnings at $34.10 EPS, Q2 2028 earnings at $10.50 EPS and FY2028 earnings at $40.91 EPS.

Several other brokerages also recently weighed in on CMI. Truist Financial set a $894.00 price target on shares of Cummins in a research report on Wednesday, August 5th. JPMorgan Chase & Co. upped their price objective on Cummins from $600.00 to $725.00 and gave the company a “neutral” rating in a research report on Wednesday, May 6th. UBS Group cut their target price on Cummins from $850.00 to $835.00 and set a “buy” rating on the stock in a research note on Wednesday, August 5th. Wells Fargo & Company lifted their target price on Cummins from $794.00 to $874.00 and gave the stock an “overweight” rating in a report on Wednesday, June 17th. Finally, Robert W. Baird set a $700.00 price target on Cummins in a research note on Wednesday, May 6th. Twelve research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $745.64.

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Cummins Stock Up 0.3%

Shares of Cummins stock opened at $573.19 on Wednesday. The company has a 50-day simple moving average of $656.14 and a two-hundred day simple moving average of $628.10. The stock has a market capitalization of $78.91 billion, a PE ratio of 29.29, a price-to-earnings-growth ratio of 1.36 and a beta of 1.24. Cummins has a 52-week low of $389.52 and a 52-week high of $737.76. The company has a debt-to-equity ratio of 0.48, a quick ratio of 1.13 and a current ratio of 1.73.

Cummins (NYSE:CMI – Get Free Report) last posted its quarterly earnings results on Tuesday, August 4th. The company reported $6.73 earnings per share (EPS) for the quarter, missing the consensus estimate of $7.21 by ($0.48). Cummins had a return on equity of 25.29% and a net margin of 7.82%.The company had revenue of $9.46 billion during the quarter, compared to analysts’ expectations of $9.33 billion. During the same period in the prior year, the firm earned $6.43 EPS. Cummins’s revenue for the quarter was up 9.4% compared to the same quarter last year.

Hedge Funds Weigh In On Cummins

Institutional investors have recently made changes to their positions in the business. Persistent Asset Partners Ltd purchased a new position in shares of Cummins in the second quarter worth approximately $26,000. Elevation Wealth Partners LLC raised its position in Cummins by 91.7% in the second quarter. Elevation Wealth Partners LLC now owns 46 shares of the company’s stock worth $33,000 after acquiring an additional 22 shares during the period. Cedar Mountain Advisors LLC raised its position in Cummins by 1,500.0% in the first quarter. Cedar Mountain Advisors LLC now owns 48 shares of the company’s stock worth $26,000 after acquiring an additional 45 shares during the period. Activest Wealth Management boosted its stake in shares of Cummins by 537.5% during the 4th quarter. Activest Wealth Management now owns 51 shares of the company’s stock worth $26,000 after acquiring an additional 43 shares during the last quarter. Finally, Wellington Shields Capital Management LLC purchased a new position in shares of Cummins during the 4th quarter worth $27,000. Institutional investors own 83.46% of the company’s stock.

Insider Buying and Selling

In other Cummins news, VP Earl Newsome sold 698 shares of the business’s stock in a transaction on Monday, August 24th. The shares were sold at an average price of $572.22, for a total transaction of $399,409.56. Following the completion of the sale, the vice president directly owned 4,479 shares in the company, valued at approximately $2,562,973.38. The trade was a 13.48% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Company insiders own 0.30% of the company’s stock.

Cummins Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, September 3rd. Shareholders of record on Friday, August 21st will be given a $2.20 dividend. This is a boost from Cummins’s previous quarterly dividend of $2.00. The ex-dividend date of this dividend is Friday, August 21st. This represents a $8.80 dividend on an annualized basis and a yield of 1.5%. Cummins’s payout ratio is presently 44.97%.

Key Cummins News

Here are the key news stories impacting Cummins this week:

Positive Sentiment: Zacks raises earnings forecasts across multiple periods: Zacks Research increased its EPS estimates for Q3 2026 to $8.51 from $8.32, Q1 2027 to $7.10 from $6.88, Q3 2027 to $9.25 from $9.02, Q4 2027 to $9.49 from $9.04, FY2027 to $34.10 from $33.57, Q2 2028 to $10.50 from $9.88 and FY2028 to $40.91 from $40.40. The broad-based revisions signal improving expectations for Cummins’ future profitability. Cummins stock coverage
Positive Sentiment: AI-related power demand provides a potential growth catalyst: Analysts and financial media are highlighting Cummins’ generator and backup-power systems as beneficiaries of hyperscalers’ expected investment in AI infrastructure. Rising demand for reliable electricity at data centers could expand opportunities beyond the company’s traditional engine markets. Hyperscalers will spend $750 billion on AI
Positive Sentiment: Higher dividend supports shareholder returns: Cummins’ quarterly dividend was raised to $2.20 per share from $2.00, equal to an annualized $8.80 payout and an approximately 1.5% yield. The increase reinforces the company’s income appeal, although the payout is not a new announcement. Cummins insider trading report
Neutral Sentiment: Analyst stance remains cautious: Despite raising estimates, Zacks Research maintained a Hold rating. Cummins also trades at a relatively elevated earnings multiple, making execution and delivery on projected growth important for further upside.
Negative Sentiment: Vice president sold shares: VP Earl Newsome sold 698 shares for approximately $399,410, reducing his direct holdings by 13.48%. The transaction is small relative to Cummins’ market value but represents a modest negative insider-sentiment signal. Cummins VP stock sale

About Cummins

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Cummins Inc (NYSE: CMI) is a global power technology company that designs, manufactures, distributes and services a broad portfolio of diesel and natural gas engines, electrified powertrains, power generation systems and related components. Founded in 1919 and headquartered in Columbus, Indiana, Cummins has grown into one of the world’s leading suppliers of internal combustion engines and a provider of technologies that reduce emissions and improve fuel efficiency.

The company’s product lineup includes heavy-, medium- and light-duty engines for on-highway and off-highway applications, generator sets and power systems for commercial and industrial use, and key engine components such as turbochargers, fuel systems, air handling, filtration and aftertreatment solutions.