Cummins stock reports strong Q2 sales as guidance rises

Published on 10/04/2026 at 21:18 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Cummins stock closed at USD 528.32 on October 2 after a 9.4 percent Q2 revenue increase. Management raised 2026 sales guidance to 10 percent to 13 percent.

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Cummins stock (ISIN US2310211063) closed at USD 528.32 on the NYSE on October 2, 2026, gaining 2.19 percent from the previous close. The move comes as the power-equipment maker works through a stronger second half after Q2 revenue rose 9.4 percent year over year to USD 9.46 billion, according to Financial Report Insights on September 25, 2026.

Guidance moves higher

Cummins raised its full-year 2026 revenue-growth guidance to 10 percent to 13 percent from 8 percent to 11 percent. The company also lifted its EBITDA margin outlook to 18.0 percent to 18.5 percent, with demand from power generation and data centers providing the main growth support.

The Q2 earnings mix was positive but uneven. Net income increased 4.7 percent to USD 932 million and diluted EPS rose 4.7 percent to USD 6.73, while the operating margin fell to 13.5 percent from 14.2 percent in Q2 2025, according to Financial Report Insights. Sales growth therefore translated into a smaller earnings increase, a key test for the upgraded outlook.

Data centers offset truck risks

Power Systems revenue reached USD 2.26 billion in Q2, up 19 percent, while its EBITDA margin expanded to 24.5 percent from 22.8 percent. The comparison matters because the company continues to balance accelerating data-center power demand against softer margin trends in several truck-related businesses.

Analyst caution centers on the same tension. Markets Insider reported on September 30, 2026, that UBS cut its price target from USD 835 to USD 741 while retaining a Buy rating. The firm cited uncertainty over EPA policy effects on 2027 and 2028 revenue and margins.

Consensus remains above the market

MarketBeat reported on September 23, 2026, that 18 analysts supported a Moderate Buy consensus, with an average price target of USD 745.12. That target lies 41.03 percent above the October 2 price of USD 528.32, while JPMorgan had reduced its own target from USD 690 to USD 600 and kept a Neutral rating.

Stock remains below yearly high

Cummins stock closed at USD 528.32 on October 2, 2026, after trading between USD 521.42 and USD 531.25 during the session. The price stood 28.39 percent below the 52-week high of USD 737.76 and above the 52-week low of USD 400.72, while market capitalization was USD 72.7 billion.