Buy Cummins India, target price Rs 1320: Edelweiss

Edelweiss has buy call on Cummins India with a target price of Rs 1320. The current market price of Cummins India Ltd. is Rs 1238.1.

Cummins India Ltd., incorporated in the year 1962, is a Mid Cap company (having a market cap of Rs 34320.13 Crore) operating in Engineering sector.

Cummins India Ltd. key Products/Revenue Segments include Engines, Sale of services, Other Operating Revenue, Export Incentives, Scrap for the year ending 31-Mar-2021.



Financials
For the quarter ended 30-06-2022, the company reported a Consolidated Total Income of Rs 1762.79 Crore, up 12.33 % from last quarter Total Income of Rs 1569.36 Crore and up 41.04 % from last year same quarter Total Income of Rs 1249.82 Crore. Company reported net profit after tax of Rs 166.20 Crore in latest quarter.

Investment rationale
Stock has 10-15% potential upside move to unfold in coming times.

Promoter/FII Holdings
Promoters held 51.0 per cent stake in the company as of 30-Jun-2022, while FIIs owned 10.35 per cent, DIIs 25.04 per cent.