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PCAR

PACCARNasdaqGS:PCAR Stock Report

Last Price

US$91.56

Market Cap

US$31.8b

7D

-5.1%

1Y

-7.4%

Updated

22 Jan, 2022

Data

Company Financials +
PCAR fundamental analysis
Snowflake Score
Valuation2/6
Future Growth3/6
Past Performance4/6
Financial Health4/6
Dividends4/6

PCAR Stock Overview

PACCAR Inc designs, manufactures, and distributes light, medium, and heavy-duty commercial trucks in the United States, Europe, and internationally.

PACCAR Competitors

Oshkosh

NYSE:OSK

US$8.0b

Nikola

NasdaqGS:NKLA

US$3.0b

Proterra

NasdaqGS:PTRA

US$1.7b

Manitowoc Company

NYSE:MTW

US$609.0m

Price History & Performance

Summary of all time highs, changes and price drops for PACCAR
Historical stock prices
Current Share PriceUS$91.56
52 Week HighUS$101.79
52 Week LowUS$77.96
Beta1
1 Month Change7.78%
3 Month Change5.24%
1 Year Change-7.38%
3 Year Change46.05%
5 Year Change35.46%
Change since IPO2,379.31%

Recent News & Updates

Jan 16
Calculating The Intrinsic Value Of PACCAR Inc (NASDAQ:PCAR)

Calculating The Intrinsic Value Of PACCAR Inc (NASDAQ:PCAR)

Today we will run through one way of estimating the intrinsic value of PACCAR Inc ( NASDAQ:PCAR ) by projecting its...

Jan 04
Should You Investigate PACCAR Inc (NASDAQ:PCAR) At US$88.48?

Should You Investigate PACCAR Inc (NASDAQ:PCAR) At US$88.48?

Let's talk about the popular PACCAR Inc ( NASDAQ:PCAR ). The company's shares saw a decent share price growth in the...

Dec 23
Here's Why PACCAR (NASDAQ:PCAR) Can Manage Its Debt Responsibly

Here's Why PACCAR (NASDAQ:PCAR) Can Manage Its Debt Responsibly

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Dec 03

PACCAR Will Drive More Profits

PCAR has underperformed the market by 32% since we made it a Long Idea in July 2020, per Figure 1. Despite its underperformance, we believe the stock still presents favorable upside. At its current price, PACCAR has a price to economic book value (PEBV) ratio of 0.9, which means the market expects profits to permanently decline by 10%. In a scenario where PACCAR is able to achieve modest margin improvement and meet consensus revenue growth expectations, the stock is worth $155/share today.

Shareholder Returns

PCARUS MachineryUS Market
7D-5.1%-5.1%-6.1%
1Y-7.4%4.6%4.2%

Return vs Industry: PCAR underperformed the US Machinery industry which returned 4.6% over the past year.

Return vs Market: PCAR underperformed the US Market which returned 4.2% over the past year.

Price Volatility

Is PCAR's price volatile compared to industry and market?
PCAR volatility
PCAR Average Weekly Movement3.6%
Machinery Industry Average Movement5.1%
Market Average Movement6.7%
10% most volatile stocks in US Market15.5%
10% least volatile stocks in US Market2.4%

Stable Share Price: PCAR is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: PCAR's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
190526,000R. Feighthttps://www.paccar.com

PACCAR Inc designs, manufactures, and distributes light, medium, and heavy-duty commercial trucks in the United States, Europe, and internationally. It operates through three segments: Truck, Parts, and Financial Services. The Truck segment designs, manufactures, and distributes trucks for the over-the-road and off-highway hauling of commercial and consumer goods.

PACCAR Fundamentals Summary

How do PACCAR's earnings and revenue compare to its market cap?
PCAR fundamental statistics
Market CapUS$31.79b
Earnings (TTM)US$1.75b
Revenue (TTM)US$22.40b

18.2x

P/E Ratio

1.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
PCAR income statement (TTM)
RevenueUS$22.40b
Cost of RevenueUS$18.02b
Gross ProfitUS$3.02b
ExpensesUS$1.27b
EarningsUS$1.75b

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

Jan 25, 2022

Earnings per share (EPS)5.03
Gross Margin13.48%
Net Profit Margin7.80%
Debt/Equity Ratio87.5%

How did PCAR perform over the long term?

See historical performance and comparison

Dividends

3.1%

Current Dividend Yield

26%

Payout Ratio

Does PCAR pay a reliable dividends?

See PCAR dividend history and benchmarks
When do you need to buy PCAR by to receive an upcoming dividend?
PACCAR dividend dates
Ex Dividend DateFeb 07 2022
Dividend Pay DateMar 01 2022
Days until Ex dividend14 days
Days until Dividend pay date36 days

Does PCAR pay a reliable dividends?

See PCAR dividend history and benchmarks

Valuation

Is PACCAR undervalued compared to its fair value and its price relative to the market?

19.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: PCAR ($91.56) is trading below our estimate of fair value ($113.61)

Significantly Below Fair Value: PCAR is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: PCAR is good value based on its PE Ratio (18.2x) compared to the US Machinery industry average (27.7x).

PE vs Market: PCAR is poor value based on its PE Ratio (18.2x) compared to the US market (16.5x).


Price to Earnings Growth Ratio

PEG Ratio: PCAR is poor value based on its PEG Ratio (1.4x)


Price to Book Ratio

PB vs Industry: PCAR is overvalued based on its PB Ratio (2.8x) compared to the US Machinery industry average (2.6x).


Future Growth

How is PACCAR forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

13.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PCAR's forecast earnings growth (13.4% per year) is above the savings rate (2%).

Earnings vs Market: PCAR's earnings (13.4% per year) are forecast to grow faster than the US market (12.9% per year).

High Growth Earnings: PCAR's earnings are forecast to grow, but not significantly.

Revenue vs Market: PCAR's revenue (8.5% per year) is forecast to grow slower than the US market (9.1% per year).

High Growth Revenue: PCAR's revenue (8.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PCAR's Return on Equity is forecast to be high in 3 years time (20%)


Past Performance

How has PACCAR performed over the past 5 years?

7.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PCAR has high quality earnings.

Growing Profit Margin: PCAR's current net profit margins (7.8%) are higher than last year (7.4%).


Past Earnings Growth Analysis

Earnings Trend: PCAR's earnings have grown by 7.6% per year over the past 5 years.

Accelerating Growth: PCAR's earnings growth over the past year (22.7%) exceeds its 5-year average (7.6% per year).

Earnings vs Industry: PCAR earnings growth over the past year (22.7%) underperformed the Machinery industry 34.4%.


Return on Equity

High ROE: PCAR's Return on Equity (15.4%) is considered low.


Financial Health

How is PACCAR's financial position?


Financial Position Analysis

Short Term Liabilities: PCAR's short term assets ($20.0B) exceed its short term liabilities ($4.5B).

Long Term Liabilities: PCAR's short term assets ($20.0B) exceed its long term liabilities ($12.1B).


Debt to Equity History and Analysis

Debt Level: PCAR's net debt to equity ratio (55.3%) is considered high.

Reducing Debt: PCAR's debt to equity ratio has reduced from 123.2% to 87.5% over the past 5 years.

Debt Coverage: PCAR's debt is not well covered by operating cash flow (19.6%).

Interest Coverage: PCAR earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is PACCAR current dividend yield, its reliability and sustainability?

3.12%

Current Dividend Yield


Upcoming Dividend Payment

TodayJan 23 2022Ex Dividend DateFeb 07 2022Dividend Pay DateMar 01 202222 days from Ex DividendBuy in the next 14 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: PCAR's dividend (3.12%) is higher than the bottom 25% of dividend payers in the US market (1.37%).

High Dividend: PCAR's dividend (3.12%) is low compared to the top 25% of dividend payers in the US market (3.61%).


Stability and Growth of Payments

Stable Dividend: PCAR's dividend payments have been volatile in the past 10 years.

Growing Dividend: PCAR's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (26.3%), PCAR's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: PCAR's dividends in 3 years are forecast to be well covered by earnings (33.6% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

5.0yrs

Average management tenure


CEO

R. Feight (53 yo)

2.5yrs

Tenure

US$8,309,718

Compensation

Mr. R. Preston Feight has been the Chief Executive Officer and Director of PACCAR Inc. since July 1, 2019 and served as its Executive Vice President since September 2018 until July 1, 2019. He has been ins...


CEO Compensation Analysis

Compensation vs Market: R.'s total compensation ($USD8.31M) is about average for companies of similar size in the US market ($USD11.47M).

Compensation vs Earnings: R.'s compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: PCAR's management team is considered experienced (5 years average tenure).


Board Members

Experienced Board: PCAR's board of directors are considered experienced (9.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: PCAR insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

PACCAR Inc's employee growth, exchange listings and data sources


Key Information

  • Name: PACCAR Inc
  • Ticker: PCAR
  • Exchange: NasdaqGS
  • Founded: 1905
  • Industry: Construction Machinery and Heavy Trucks
  • Sector: Capital Goods
  • Implied Market Cap: US$31.788b
  • Shares outstanding: 347.18m
  • Website: https://www.paccar.com

Number of Employees


Location

  • PACCAR Inc
  • 777 - 106th Avenue N.E.
  • Bellevue
  • Washington
  • 98004
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/22 23:26
End of Day Share Price2022/01/21 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.