Cummins vs GE Vernova
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KIRA’s take AI analyst
I put Cummins and GE Vernova side by side, using each one’s latest annual report. Here is what stands out:
- GE Vernova is the larger business, with $38.1B of revenue in fiscal 2025 against $33.7B for Cummins.
- GE Vernova grew revenue faster (9.0%, against −1.3%).
- Cummins kept more of each dollar of sales as operating profit (12.0% operating margin, against 3.7%).
- GE Vernova turned more of its sales into free cash flow (9.8% FCF margin, against 7.1%).
- Investors pay more for each dollar of Cummins’s earnings: a P/E of 26.7x against 24.6x for GE Vernova.
Who comes out ahead
Of the 9 measures where higher (or lower) is clearly better, how many each company leads.
Cummins
CMI
2/9
Gross marginOperating margin
GE Vernova
GEV
6/9
Revenue growthNet marginFCF marginReturn on equityNet debt / EBITDAShare count change
Side by side
Best in the row
| Latest fiscal year | CMI FY25 | GEV FY25 |
|---|---|---|
| Size | ||
| Market cap | $72.3B | $230.9B |
| Revenue | $33.7B | $38.1B |
| Free cash flow | $2.4B | $3.7B |
| Net income | $3.0B | $4.9B |
| Growth | ||
| Revenue growth | −1.3% | 9.0% |
| 5-year growth | 11.2% | — |
| Share count change | −0.3% | −0.7% |
| Profitability | ||
| Gross margin | 25.3% | 19.8% |
| Operating margin | 12.0% | 3.7% |
| Net margin | 8.8% | 12.8% |
| FCF margin | 7.1% | 9.8% |
| Return on capital | 18.3% | — |
| Return on equity | 26.2% | 47.1% |
| Balance sheet | ||
| Net debt | $3.6B | −$8.5B |
| Net debt / EBITDA | 0.7x | −3.8x |
| Dividends and buybacks | $1.1B | $3.6B |
| Valuation & quality | ||
| P/E | 26.7x | 24.6x |
| Piotroski F-score | 7 | 7 |
Ten years
Revenue
Operating margin
Free cash flow
Return on capital
Each company's latest fiscal year; fiscal years end in different months. The best value in each row is highlighted where higher (or lower) is clearly better. Not investment advice.