Cummins Gains 0.97% on $300M in Trade Jumps to 362nd in U.S. Market Activity as Hydrogen Push Fuels Long-Term Optimism

Cummins Inc. (CMI) rose 0.97% on September 26, with a trading volume of $0.30 billion, ranking 362nd in market activity for the day. The stock's performance was influenced by sector-specific dynamics and operational updates tied to its core markets.

Recent developments highlighted Cummins' strategic focus on expanding its renewable energy solutions portfolio. The company announced a partnership to develop hydrogen-based power systems for commercial transport, positioning itself to capitalize on decarbonization trends in the heavy-duty vehicle sector. Analysts noted that the initiative aligns with regulatory shifts in the U.S. and Europe, where emission standards are tightening for industrial equipment. This move could enhance long-term revenue visibility, though near-term execution risks remain.

Operational data released in the week showed a 5.2% year-over-year increase in orders for its off-road diesel engines, driven by robust demand in the mining and construction industries. However, supply chain bottlenecks in Asia continued to delay component deliveries, prompting the company to prioritize high-margin projects. Management reiterated its guidance for 2025 adjusted EBITDA growth, emphasizing margin resilience despite inflationary pressures.

To make sure I back-test the strategy exactly as you intend, could you please confirm a few details? 1. Market universe: Do we screen all U.S. common stocks (NYSE + NASDAQ) or a specific subset/index? 2. Weighting scheme for the daily 500-stock basket: Equal-weight (each stock 0.2% of the day’s portfolio) or volume-weighted / cap-weighted? 3. Execution price: Buy at today’s close and sell at tomorrow’s close (t-to-t+1)? 4. Trading frictions: Should we include an estimate of transaction costs or slippage? If so, what rate/assumption? 5. Performance aggregation: Do you want the result expressed as the cumulative return of the daily-rebalanced basket, or relative to a benchmark (e.g., SPY)? Once these points are clear, I can assemble the data-retrieval plan and run the back-test for the 2022-01-01 → present period.