PACCAR Inc: A Heavyweight in the Trucking Industry
PACCAR Inc (PCAR), located in Bellevue, Washington, specializes in designing and manufacturing premium trucks under the Kenworth, Peterbilt, and DAF brands. The company has a market capitalization of $60.5 billion, and alongside trucking, it produces advanced diesel engines, financial services, information technology, and truck parts distribution.
PACCAR’s Standing in the Market
Classified as a “large-cap stock,” PACCAR’s substantial market cap emphasizes its size and influence in the farm and heavy construction machinery sector. The strength of its brand names, including Kenworth, Peterbilt, and DAF, highlights the company’s commitment to quality and reliability. By innovating according to customer demands, PACCAR continues to solidify its leadership role within the industry.
Recent Stock Performance
However, PACCAR’s shares have recently dipped, dropping 7.7% from a 52-week peak of $125.50 reached on March 28. Looking at the last three months, the stock has risen by 22.9%, surpassing gains of 8.1% from the Industrial Select Sector SPDR Fund (XLI) in the same period.
Year-to-date, PACCAR’s shares have increased by 18.6%, with an 18.3% climb over the past 52 weeks. Comparatively, XLI outperformed them with a 21.7% YTD gain and an impressive 26.1% return over the same period.
Trading Trends
PCAR’s stock has maintained trading above its 50-day moving average since mid-September and has crossed above its 200-day moving average since mid-October while experiencing minor fluctuations.
Quarterly Results and Competitive Landscape
On October 22, PACCAR’s shares fell more than 4% following the release of its Q3 results. The company reported earnings per share (EPS) of $1.85, which exceeded Wall Street’s estimate of $1.82. Revenue for the quarter was $7.7 billion, slightly higher than projected earnings of $7.6 billion.
Comparatively, PACCAR’s competitor, AB Volvo (publ) (VLVLY), has struggled slightly, showing minimal losses on a year-to-date basis and 6.5% returns over the past year.
Analyst Ratings and Outlook
Wall Street analysts maintain a moderately positive outlook on PACCAR. Currently, the stock holds a consensus “Moderate Buy” rating from 15 analysts, with a mean price target of $117, suggesting a modest potential upside of 1% from the stock’s current price.
On the date of publication, Neha Panjwani did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information, please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
