Compare Stocks › CMI vs QCOM
Cummins Inc. (CMI) vs QUALCOMM Incorporated (QCOM)
CMI
Cummins Inc.
$540.24
VS
QCOM
QUALCOMM Incorporated
$131.28
Rewards
CMI
- ★Free cash flow has grown at a 31.6% CAGR over the past 4 years, demonstrating strong earnings power growth.
- ★Each dollar of retained earnings has created $7.92 of market value — management is an exceptional capital allocator.
- ★PEG ratio of 0.64 suggests the stock is undervalued relative to its growth rate — paying less than 1x for each unit of earnings growth.
QCOM
- ★QUALCOMM Incorporated has maintained ROIC above 15% for 4 consecutive years, indicating a durable competitive advantage.
- ★QUALCOMM Incorporated scores 73/100 on the Economic Moat Score (Wide Moat), with reinvestment efficiency as the strongest competitive dimension.
- ★Free cash flow has grown at a 23.3% CAGR over the past 4 years, demonstrating strong earnings power growth.
Risks
CMI
- ⚠6 insider sales totaling $19.8M with no purchases in the past 3 months — insiders are reducing their exposure.
QCOM
- ⚠FCF yield of 7.4% suggests reasonable valuation assuming continued moderate growth.
- ⚠Trailing P/E of 26.5x is 28% above the historical average of 20.7x — the stock trades at a premium to its own history.
- ⚠18 insider sales with no purchases over the past 12 months — a persistent pattern of insider selling.
Key Valuation Metrics
Learn more →CMI
QCOM
Valuation
$2.39B
Free Cash Flow
$10.42B
3.20%
FCF Yield
7.43%
26.38
Trailing P/E
26.47
17.17
Forward P/E
11.77
Quality & Moat
13.49%
ROIC
25.70%
21.20%
ROE
24.02%
25.76%
Gross Margin
55.10%
0.64
PEG Ratio
N/A
Balance Sheet Safety
0.61
Debt / Equity
0.64
N/A
Interest Coverage
N/A
0.87
Net Debt / EBITDA
0.22
1.45%
Dividend Yield
2.71%
CMI: 1Ties: 2QCOM: 8
CMIQCOM
Historical Fundamentals
Learn more →CMI
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.
QCOM
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.
$1 Retained Earnings Test
Learn more →CMI
$7.92
created per $1 retained over 3 years
Exceptional Value Creator
Σ Retained
$4.58B
Δ Market Cap
+$36.28B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
QCOM
$5.06
created per $1 retained over 3 years
Exceptional Value Creator
Σ Retained
$11.96B
Δ Market Cap
+$60.46B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
Discounted Cash Flow (DCF) Analysis
Learn more →CMI
35.9% Margin of Safety
Price is 35.9% below estimated fair value
Current Price: $540.24
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
Fair Value: $842.71
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
QCOM
71.3% Overvalued
Price is 71.3% above estimated fair value
Current Price: $131.28
Strongly undervalued
Fairly valued
Strongly overvalued
Fair Value: $76.62
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
Reverse DCF — Market-Implied Growth
Learn more →CMI
What growth rate is the market pricing in at $540?
+12.2%
Market-Implied Owner Earnings Growth
Standard FCF implies +14.6%
The market implies +12.2% Owner Earnings growth, roughly in line with history — reasonably priced.
Standard FCF implies +14.6%, reflecting ongoing growth investment.
QCOM
What growth rate is the market pricing in at $131?
+11.2%
Market-Implied Owner Earnings Growth
Standard FCF implies +2.6%
The market implies +11.2% Owner Earnings growth, above historical trends.
Standard FCF implies a demanding +2.6%, reflecting heavy growth investment.
Economic Moat Score
Learn more →CMI
55/100
Narrow Moat
70+ Wide · 40-69 Narrow · <40 None
Narrow moat with reinvestment efficiency as the key competitive advantage. Improving revenue predictability would strengthen the moat.
Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 5 years of fundamental data.
QCOM
73/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None
Wide moat driven primarily by reinvestment efficiency. Revenue Predictability is the area most vulnerable to competitive pressure.
Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
Forensic Accounting
Learn more →CMI
-2.51
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone
M-Score Trend
Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
QCOM
-3.16
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone
M-Score Trend
Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
Ownership Breakdown
Learn more →CMI
Insiders 0.3%Institutions 87.4%Retail & Other 12.3%
No. of Institutional Holders2,375
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
QCOM
Insiders 0.1%Institutions 81.6%Retail & Other 18.2%
No. of Institutional Holders3,852
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.
Insider Buying Activity
Learn more →CMI
0
Buys (3M)
1
Buys (12M)
Total value (12M): $332,080
STONE JOHN H
Director
$332,080
@ $332.08 · 2025-05-16
WILTROUT JEFFREY T
Officer
$80,401
@ $285.11 · 2024-05-24
BOAKYE MARVIN
Officer
$499,133
@ $286.04 · 2024-05-20
Open market purchases · includes direct & indirect ownership · excludes option exercises
QCOM
0
Buys (3M)
0
Buys (12M)
No open market insider purchases found.
Open market purchases · includes direct & indirect ownership · excludes option exercises
Open market purchases · includes direct & indirect ownership · excludes option exercises.
Insider Selling Activity
Learn more →CMI
6
Sells (3M)
17
Sells (12M)
Total value (12M): $46.04M
DAVIS AMY ROCHELLE
Officer
$2.28M
@ $561.34 · 2026-03-03
JACKSON DONALD G
Officer
$2.32M
@ $465.64 · 2026-02-24
DAVIS AMY ROCHELLE
Officer
$1.09M
@ $586.64 · 2026-02-23
NEWSOME EARL JR.
Chief Technology Officer
$758,776
@ $583.67 · 2026-02-23
MILLER WILLIAM I
Director
$10.81M
@ $597.10 · 2026-02-11
BUSH JENNIFER MARY
Officer
$2.50M
@ $584.93 · 2026-02-10
MERRITT BRETT MICHAEL
Officer
$709,514
@ $489.32 · 2025-11-25
RUMSEY JENNIFER W.
Chief Executive Officer
$2.17M
@ $473.89 · 2025-11-11
SMITH MARK ANDREW
Chief Financial Officer
$6.17M
@ $470.66 · 2025-11-06
SMITH MARK ANDREW
Chief Financial Officer
$89,819
@ $449.10 · 2025-10-30
SMITH MARK ANDREW
Chief Financial Officer
$3.51M
@ $439.30 · 2025-10-06
SMITH MARK ANDREW
Chief Financial Officer
$3.77M
@ $415.73 · 2025-09-17
ENRIGHT ROBERT J
Officer
$748,210
@ $402.26 · 2025-08-22
DAVIS AMY ROCHELLE
Officer
$2.02M
@ $402.88 · 2025-08-14
SMITH MARK ANDREW
Chief Financial Officer
$5.00M
@ $400.20 · 2025-08-13
PETERS LUTHER EARL
Officer
$1.89M
@ $389.19 · 2025-08-08
BUSH JENNIFER MARY
Officer
$201,826
@ $388.13 · 2025-08-08
SMITH MARK ANDREW
Chief Financial Officer
$4.28M
@ $374.57 · 2025-02-10
BARNER SHARON R.
Officer
$798,403
@ $369.12 · 2024-11-21
BARNER SHARON R.
Officer
$784,071
@ $362.49 · 2024-11-13
DI LEO ALLEN BRUNO VITO
Director
$1.77M
@ $358.56 · 2024-11-12
JACKSON DONALD G
Officer
$1.78M
@ $356.21 · 2024-11-12
BARNER SHARON R.
Officer
$775,052
@ $358.32 · 2024-11-11
SATTERTHWAITE LIVINGSTON LORD
Officer
$7.47M
@ $308.24 · 2024-08-23
BARNER SHARON R.
Officer
$1.98M
@ $304.77 · 2024-08-21
BARNER SHARON R.
Officer
$1.44M
@ $300.35 · 2024-08-15
BARNER SHARON R.
Officer
$708,110
@ $296.28 · 2024-05-10
BARNER SHARON R.
Officer
$1.11M
@ $286.86 · 2024-05-07
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
QCOM
3
Sells (3M)
18
Sells (12M)
Total value (12M): $12.83M
PALKHIWALA AKASH J
Chief Operating Officer
$330,815
@ $132.33 · 2026-03-12
PALKHIWALA AKASH J
Chief Operating Officer
$458,799
@ $137.65 · 2026-02-06
PALKHIWALA AKASH J
Chief Operating Officer
$577,620
@ $173.30 · 2026-01-02
PALKHIWALA AKASH J
Chief Operating Officer
$2.20M
@ $175.29 · 2025-12-19
ROGERS ALEXANDER H
Officer
$2.83M
@ $178.01 · 2025-12-16
CHAPLIN ANN C
General Counsel
$1.28M
@ $178.03 · 2025-12-16
PALKHIWALA AKASH J
Chief Operating Officer
$567,702
@ $170.33 · 2025-11-07
PALKHIWALA AKASH J
Chief Operating Officer
$1.38M
@ $166.06 · 2025-10-20
PALKHIWALA AKASH J
Chief Operating Officer
$522,808
@ $156.86 · 2025-09-02
MARTIN NEIL A
Officer
$122,463
@ $154.82 · 2025-08-21
PALKHIWALA AKASH J
Chief Operating Officer
$493,610
@ $148.10 · 2025-08-04
PALKHIWALA AKASH J
Chief Operating Officer
$537,560
@ $161.28 · 2025-07-02
PALKHIWALA AKASH J
Chief Operating Officer
$486,965
@ $146.10 · 2025-06-02
MARTIN NEIL A
Officer
$120,808
@ $153.70 · 2025-05-21
PALKHIWALA AKASH J
Chief Operating Officer
$465,846
@ $139.77 · 2025-05-05
PALKHIWALA AKASH J
Chief Operating Officer
$91,442
@ $141.11 · 2025-04-09
PALKHIWALA AKASH J
Chief Operating Officer
$119,900
@ $132.63 · 2025-04-08
PALKHIWALA AKASH J
Chief Operating Officer
$235,262
@ $132.10 · 2025-04-04
PALKHIWALA AKASH J
Chief Operating Officer
$523,292
@ $156.82 · 2025-03-03
MARTIN NEIL A
Officer
$130,074
@ $174.83 · 2025-02-21
PALKHIWALA AKASH J
Chief Operating Officer
$509,397
@ $169.80 · 2025-02-12
ROGERS ALEXANDER H
Officer
$3.28M
@ $169.83 · 2025-02-10
PALKHIWALA AKASH J
Chief Operating Officer
$463,851
@ $154.62 · 2025-01-02
CHAPLIN ANN C
General Counsel
$409,056
@ $158.12 · 2024-12-16
ROGERS ALEXANDER H
Officer
$1.67M
@ $160.59 · 2024-12-10
CHAPLIN ANN C
General Counsel
$1.24M
@ $160.59 · 2024-12-10
PALKHIWALA AKASH J
Chief Operating Officer
$484,617
@ $161.54 · 2024-12-05
MARTIN NEIL A
Officer
$202,120
@ $155.00 · 2024-11-21
PALKHIWALA AKASH J
Chief Operating Officer
$491,349
@ $163.78 · 2024-11-14
THOMPSON JAMES H.
Chief Technology Officer
$1.38M
@ $172.09 · 2024-11-08
CHAPLIN ANN C
General Counsel
$313,779
@ $165.06 · 2024-11-04
ROGERS ALEXANDER H
Officer
$539,157
@ $166.15 · 2024-10-02
THOMPSON JAMES H.
Chief Technology Officer
$1.36M
@ $169.80 · 2024-10-01
PALKHIWALA AKASH J
Chief Operating Officer
$497,848
@ $165.95 · 2024-10-01
MARTIN NEIL A
Officer
$126,224
@ $163.08 · 2024-09-05
THOMPSON JAMES H.
Chief Technology Officer
$1.37M
@ $171.72 · 2024-09-03
PALKHIWALA AKASH J
Chief Operating Officer
$497,980
@ $165.99 · 2024-09-03
PALKHIWALA AKASH J
Chief Operating Officer
$488,662
@ $162.89 · 2024-08-08
THOMPSON JAMES H.
Chief Technology Officer
$1.28M
@ $160.50 · 2024-08-02
PALKHIWALA AKASH J
Chief Operating Officer
$616,815
@ $205.60 · 2024-07-05
THOMPSON JAMES H.
Chief Technology Officer
$1.60M
@ $199.47 · 2024-07-01
THOMPSON JAMES H.
Chief Technology Officer
$1.68M
@ $209.61 · 2024-06-03
PALKHIWALA AKASH J
Chief Operating Officer
$617,299
@ $205.77 · 2024-06-03
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.
🎭 Mr. Market's Mood
Learn more →CMI
😐Neutral(52/100)
"Market is pricing this stock without strong emotion in either direction"
Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
QCOM
😨Fear(30/100)
"Market is pessimistic — investigate whether fears are temporary or structural"
Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
⚖️ Buffett Signal
Learn more →CMI
⚪Awaiting DCF Data
The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.
DCF Margin of Safety: N/AMr. Market's Mood: Neutral (52)
QCOM
⚪Awaiting DCF Data
The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.
DCF Margin of Safety: N/AMr. Market's Mood: Fear (30)