Cummins stock weighs record EBITDA against weaker pickup demand

Cummins reported record profitability for the third quarter on November 5, while weaker North American pickup-truck demand led the company to narrow its full-year sales outlook. The company said in its earnings release that revenue increased 13 percent from the year-earlier quarter to 9.438 billion US dollars.

Cummins stock traded at 419.85 euros on Lang & Schwarz at 13:05 CET on Wednesday, November 11, 2026.

Power Systems Leads Quarterly Performance

Net income attributable to Cummins rose to 1.14 billion US dollars from 536 million US dollars a year earlier. Diluted earnings per share increased to 8.25 US dollars from 3.86 US dollars. The prior-year quarter included 240 million US dollars, or 1.73 US dollars per share, in non-cash Accelera charges, while the latest quarter included a favorable discrete tax item of 0.54 US dollars per share.

EBITDA reached a record 1.786 billion US dollars, equal to 18.9 percent of sales, compared with 1.187 billion US dollars and 14.3 percent in the prior-year period. Cummins said the result reflected continued strength in Power Systems and higher demand across several truck and component markets.

Power Systems revenue rose 15 percent to 2.3 billion US dollars. Segment EBITDA increased to 582 million US dollars, lifting the margin to 25.4 percent from 22.9 percent. The company linked the performance primarily to stronger power-generation demand, particularly from data-center markets in the United States, China and the Asia-Pacific region.

Engine sales increased 20 percent to 3.1 billion US dollars, while Components sales advanced 23 percent to 2.9 billion US dollars. Distribution revenue grew 4 percent to 3.3 billion US dollars. Accelera sales fell 15 percent to 103 million US dollars, and the segment recorded an EBITDA loss of 56 million US dollars as Cummins reduced the pace of electrolyzer investment after a strategic review.

Guidance Reflects Pickup Truck Weakness

Cummins now expects full-year 2026 revenue growth of approximately 10 percent, compared with its previous range of 10 percent to 13 percent. The company maintained an EBITDA-margin outlook of approximately 18.2 percent, within the former range of 18 percent to 18.5 percent and excluding charges related to the sale of its low-pressure fuel-cell business in the first quarter.

Chief Executive Jennifer Rumsey said the guidance adjustment primarily reflected continued weaker-than-expected pickup-truck demand in North America. She also pointed to strong global power-generation demand and North American heavy-duty truck demand, and said fourth-quarter revenue should increase from the third quarter and set a new record.

The combination leaves investors weighing a resilient power-generation cycle against more uneven vehicle demand. Cummins also said it returned 661 million US dollars to shareholders through dividends and share repurchases during the quarter. In July, it raised its quarterly dividend from 2.00 US dollars to 2.20 US dollars per share.

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