Market Cap
US$27.7b
Last Updated
2019/12/07 23:41 UTC
Data Sources
Company Financials +
Executive Summary
PACCAR Inc designs, manufactures, and distributes light, medium, and heavy-duty commercial trucks in the United States, Europe, and internationally.
Rewards
Risk Analysis
Earnings are forecast to decline by an average of -3.4% per year for the next 3 years
Snowflake Analysis
Excellent balance sheet established dividend payer.
Similar Companies
Share Price & News
How has PACCAR's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: PCAR has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-0.3%
PCAR
0.09%
US Machinery
0.3%
US Market
1 Year Return
42.1%
PCAR
21.3%
US Machinery
18.5%
US Market
Return vs Industry: PCAR exceeded the US Machinery industry which returned 21.3% over the past year.
Return vs Market: PCAR exceeded the US Market which returned 18.5% over the past year.
Shareholder returns
| PCAR | Industry | Market | |
|---|---|---|---|
| 7 Day | -0.3% | 0.09% | 0.3% |
| 30 Day | 1.6% | -1.0% | 1.5% |
| 90 Day | 18.7% | 9.6% | 5.7% |
| 1 Year | 49.9%42.1% | 23.6%21.3% | 21.1%18.5% |
| 3 Year | 33.9%19.9% | 39.8%30.9% | 45.9%36.4% |
| 5 Year | 44.6%19.8% | 69.9%49.8% | 71.4%52.5% |
Price Volatility Vs. Market
How volatile is PACCAR's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 days ago | Simply Wall St
How Good Is PACCAR Inc (NASDAQ:PCAR) At Creating Shareholder Value?2 weeks ago | Simply Wall St
Here's Why PACCAR (NASDAQ:PCAR) Can Manage Its Debt Responsibly3 weeks ago | Simply Wall St
Should You Think About Buying PACCAR Inc (NASDAQ:PCAR) Now?Valuation
Is PACCAR undervalued compared to its fair value and its price relative to the market?
14.7%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: PCAR ($81.12) is trading below our estimate of fair value ($95.06)
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 (11.6x) compared to the Machinery industry average (22.1x).
PE vs Market: PCAR is good value based on its PE Ratio (11.6x) compared to the US market (18.5x).
Price to Earnings Growth Ratio
PEG Ratio: PCAR's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: PCAR is overvalued based on its PB Ratio (2.8x) compared to the US Machinery industry average (2.5x).
Next Steps
Future Growth
How is PACCAR forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?
-3.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PCAR's earnings are forecast to decline over the next 3 years (-3.4% per year).
Earnings vs Market: PCAR's earnings are forecast to decline over the next 3 years (-3.4% per year).
High Growth Earnings: PCAR's earnings are forecast to decline over the next 3 years.
Revenue vs Market: PCAR's revenue is expected to decline over the next 3 years (-3% per year).
High Growth Revenue: PCAR's revenue is forecast to decline over the next 3 years (-3% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: PCAR's Return on Equity is forecast to be low in 3 years time (19.2%).
Next Steps
Past Performance
How has PACCAR performed over the past 5 years?
15.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PCAR has high quality earnings.
Growing Profit Margin: PCAR's current net profit margins (9.5%) are lower than last year (9.7%).
Past Earnings Growth Analysis
Earnings Trend: PCAR's earnings have grown by 15.9% per year over the past 5 years.
Accelerating Growth: PCAR's earnings growth over the past year (10.4%) is below its 5-year average (15.9% per year).
Earnings vs Industry: PCAR earnings growth over the past year (10.4%) underperformed the Machinery industry 13.5%.
Return on Equity
High ROE: Whilst PCAR's Return on Equity (24.44%) is high, this metric is skewed due to their high level of debt.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is PACCAR's financial position?
Financial Position Analysis
Short Term Liabilities: PCAR's short term assets ($20.4B) exceed its short term liabilities ($4.3B).
Long Term Liabilities: PCAR's short term assets ($20.4B) exceed its long term liabilities ($13.5B).
Debt to Equity History and Analysis
Debt Level: PCAR's debt to equity ratio (109.2%) is considered high.
Reducing Debt: PCAR's debt to equity ratio has reduced from 115.5% to 109.2% over the past 5 years.
Debt Coverage: PCAR's debt is well covered by operating cash flow (27.4%).
Interest Coverage: PCAR earns more interest than it pays, so coverage of interest payments is not a concern.
Balance Sheet
Inventory Level: PCAR has a low level of unsold assets or inventory.
Debt Coverage by Assets: PCAR's debt is covered by short term assets (assets are 1.9x debt).
Next Steps
Dividend
What is PACCAR's current dividend yield, its reliability and sustainability?
4.04%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: PCAR's dividend (4.04%) is higher than the bottom 25% of dividend payers in the US market (1.42%).
High Dividend: PCAR's dividend (4.04%) is in the top 25% of dividend payers in the US market (3.7%)
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 low payout ratio (17.7%), 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 (45.9% payout ratio).
Next Steps
Management
What is the CEO of PACCAR's salary, the management and board of directors tenure and is there insider trading?
2.5yrs
Average management tenure
CEO
R. Feight (51yo)
0.4yrs
Tenure
US$2,921,495
Compensation
Mr. R. Preston Feight serves as Executive Vice President at PACCAR Inc since September 2018. He has been instrumental in PACCAR delivering revenue and profit growth, in addition to having an integral role ...
CEO Compensation Analysis
Compensation vs Market: R.'s total compensation ($USD2.92M) is below average for companies of similar size in the US market ($USD11.01M).
Compensation vs Earnings: Insufficient data to compare R.'s compensation with company performance.
Management Age and Tenure
2.5yrs
Average Tenure
57yo
Average Age
Experienced Management: PCAR's management team is considered experienced (2.5 years average tenure).
Board Age and Tenure
9.2yrs
Average Tenure
63.5yo
Average Age
Experienced Board: PCAR's board of directors are considered experienced (9.2 years average tenure).
Insider Trading
Insider Buying: PCAR insiders have only sold shares in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Chief Legal Officer VP & General Counsel |
| Shares | 1,320 |
| Max Price | US$76.02 |
| Entity | Individual |
| Shares | 2,640 |
| Max Price | US$75.83 |
| Entity | Individual |
| Role | Senior Key Executive Executive Vice President |
| Shares | 20,739 |
| Max Price | US$75.80 |
| Entity | Individual |
| Shares | 280 |
| Max Price | US$71.81 |
| Entity | Individual |
| Shares | 848 |
| Max Price | US$71.66 |
| Entity | Individual |
| Role | Chief Legal Officer VP & General Counsel |
| Shares | 575 |
| Max Price | US$69.83 |
| Entity | Individual |
| Shares | 281 |
| Max Price | US$70.00 |
| Entity | Individual |
| Shares | 2,835 |
| Max Price | US$70.66 |
| Entity | Individual |
| Shares | 418 |
| Max Price | US$68.50 |
| Entity | Individual |
| Shares | 820 |
| Max Price | US$66.00 |
| Entity | Individual |
| Shares | 1,549 |
| Max Price | US$64.49 |
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Management Team
Mark Pigott (65yo)
Executive Chairman
- Tenure: 22.9yrs
- Compensation: US$2.79m
Harrie C. A. Schippers (56yo)
President & CFO
- Tenure: 1.9yrs
- Compensation: US$3.95m
Jack LeVier (59yo)
Vice President of Human Resources
- Tenure: 12.5yrs
T. Quinn (57yo)
Senior VP & CTO
- Tenure: 1.7yrs
- Compensation: US$1.87m
Gary Moore (63yo)
Executive Vice President
- Tenure: 4.9yrs
- Compensation: US$4.46m
Darrin Siver (52yo)
Senior Vice President
- Tenure: 2.9yrs
R. Feight (51yo)
CEO & Director
- Tenure: 0.4yrs
- Compensation: US$2.92m
A. Ley (53yo)
VP & Chief Information Officer
- Tenure: 2.9yrs
Ken Hastings
Senior Director of Investor Relations
- Tenure: 0yrs
Douglas Grandstaff (58yo)
VP & General Counsel
- Tenure: 2.1yrs
Board Members
Greg Spierkel (62yo)
Independent Director
- Tenure: 11.7yrs
- Compensation: US$305.06k
Mark Pigott (65yo)
Executive Chairman
- Tenure: 22.9yrs
- Compensation: US$2.79m
Chuck Williamson (70yo)
Lead Director
- Tenure: 5.9yrs
- Compensation: US$330.06k
Beth Ford (55yo)
Independent Director
- Tenure: 4.7yrs
- Compensation: US$280.06k
Rod McGeary (69yo)
Independent Director
- Tenure: 7.3yrs
- Compensation: US$305.06k
Dame Alison Carnwath (66yo)
Independent Director
- Tenure: 14.2yrs
- Compensation: US$290.06k
Kirk Hachigian (59yo)
Independent Director
- Tenure: 11yrs
- Compensation: US$285.06k
Mark Schulz (66yo)
Independent Director
- Tenure: 7.7yrs
- Compensation: US$290.06k
John Pigott (55yo)
Director
- Tenure: 10.7yrs
- Compensation: US$265.06k
R. Feight (51yo)
CEO & Director
- Tenure: 0.4yrs
- Compensation: US$2.92m
Company Information
PACCAR Inc's company bio, 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
- Market Cap: US$27.701b
- Shares outstanding: 345.87m
- Website: https://www.paccar.com
Number of Employees
Location
- PACCAR Inc
- 777 - 106th Avenue NE
- Bellevue
- Washington
- 98004
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| PCAR | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Mar 1970 |
| PAI | SEAQ (SEAQ International) | Yes | Common Stock | GB | GBP | Mar 1970 |
| PAE | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Mar 1970 |
| PCAR | WBAG (Wiener Boerse AG) | Yes | Common Stock | AT | EUR | Mar 1970 |
| PAE | ETLX (Eurotlx) | Yes | Common Stock | IT | EUR | Mar 1970 |
| 0KET | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Mar 1970 |
Biography
PACCAR Inc designs, manufactures, and distributes light, medium, and heavy-duty commercial trucks in the United States, Europe, and internationally. The company operates in three segments: Truck, Parts, an ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/12/07 23:41 |
| End of Day Share Price | 2019/12/06 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2018/12/31 |
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.