Burst of Rare Inflow Signals Drives Cummins Upward

CMI produces diesel, natural gas, electric and hybrid powertrains and powertrain-related components for a wide range of industrial applications. Its third-quarter fiscal 2025 earnings report showed net income of $536 million ($3.86 per share), a record $3.2 billion in distribution segment revenue, as well as strong demand for various projects in North America and abroad. The company reports again on Feb. 5.

No wonder CMI shares are up 11% this year – and they could rise more. MoneyFlows data shows how Big Money investors are again betting heavily on the stock.

Cummins Fueled by Big Money

Institutional volumes reveal plenty. In the last year, CMI has enjoyed strong investor demand, which we believe to be institutional support.

Each green bar signals unusually large volumes in CMI shares. They reflect our proprietary inflow signal, pushing the stock higher:

Plenty of industrials names are under accumulation right now. But there’s a powerful fundamental story happening with Cummins.

Cummins Fundamental Analysis

Institutional support and a healthy fundamental backdrop make this company worth investigating. As you can see, CMI has had strong sales and earnings growth:

• 3-year sales growth rate (+12.8%)
• 3-year EPS growth rate (+129.2%)

Source: FactSet

Also, EPS is estimated to ramp higher this year by +14.3%.

Now it makes sense why the stock has been generating Big Money interest. CMI has a track record of strong financial performance.

Marrying great fundamentals with MoneyFlows software has found some big winning stocks over the long term.

Cummins has been a top-rated stock at MoneyFlows for years. That means the stock has unusual buy pressure and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

It’s been hot lately too, making the rare Outlier 20 report seven times in the last six months. It’s up 30.9% since the first of those inflows. The blue bars below show when CMI was a top pick…Big Money is all over it:

Tracking unusual volumes reveals the power of money flows.

This is a trait that most outlier stocks exhibit…the best of the best. Big Money demand drives stocks upward.

Cummins Price Prediction

The CMI action isn’t new at all. Big Money buying in the shares is signaling to take notice. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no position in CMI at the time of publication.

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