The Analyst Verdict: PACCAR In The Eyes Of 14 Experts

Analysts' ratings for PACCAR PCAR over the last quarter vary from bullish to bearish, as provided by 14 analysts.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $111.54, with a high estimate of $132.00 and a low estimate of $78.00. Highlighting a 5.23% decrease, the current average has fallen from the previous average price target of $117.69.

Deciphering Analyst Ratings: An In-Depth Analysis

An in-depth analysis of recent analyst actions unveils how financial experts perceive PACCAR. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

| Analyst | Analyst Firm | Action Taken | Rating |Current Price Target| Prior Price Target | |--------------------|--------------------|---------------|---------------|--------------------|--------------------| |Tami Zakaria |JP Morgan |Lowers |Overweight | $105.00|$121.00 | |Kyle Menges |Citigroup |Lowers |Neutral | $95.00|$105.00 | |Jamie Cook |Truist Securities |Lowers |Hold | $104.00|$113.00 | |Steven Fisher |UBS |Lowers |Sell | $78.00|$108.00 | |Kyle Menges |Citigroup |Lowers |Neutral | $105.00|$112.00 | |Tami Zakaria |JP Morgan |Lowers |Overweight | $121.00|$132.00 | |Steven Fisher |UBS |Announces |Neutral | $108.00|- | |David Raso |Evercore ISI Group |Lowers |Outperform | $127.00|$129.00 | |Tami Zakaria |JP Morgan |Raises |Overweight | $132.00|$125.00 | |Jamie Cook |Truist Securities |Raises |Hold | $113.00|$112.00 | |Jamie Cook |Truist Securities |Raises |Hold | $112.00|$110.00 | |Kyle Menges |Citigroup |Lowers |Neutral | $115.00|$125.00 | |Ross Gilardi |B of A Securities |Raises |Buy | $121.50|$116.00 | |Tami Zakaria |JP Morgan |Raises |Overweight | $125.00|$122.00 |

Key Insights:

• Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to PACCAR. This insight gives a snapshot of analysts' perspectives on the current state of the company.
• Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of PACCAR compared to the broader market.
• Price Targets: Analysts navigate through adjustments in price targets, providing estimates for PACCAR's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

Capture valuable insights into PACCAR's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on PACCAR analyst ratings.

Unveiling the Story Behind PACCAR

Paccar is a leading manufacturer of medium- and heavy-duty trucks under the premium brands Kenworth and Peterbilt (primarily sold in the NAFTA region and Australia), and DAF trucks (sold in Europe and South America). The company's trucks are sold through more than 2,300 independent dealers globally. Paccar Financial Services provides retail and wholesale financing for customers and dealers, respectively. The company commands roughly 30% of the Class 8 market share in North America and 17% of the heavy-duty market share in Europe.

Key Indicators: PACCAR's Financial Health

Market Capitalization: Exceeding industry standards, the company's market capitalization places it above industry average in size relative to peers. This emphasizes its significant scale and robust market position.

Negative Revenue Trend: Examining PACCAR's financials over 3M reveals challenges. As of 31 December, 2024, the company experienced a decline of approximately -12.88% in revenue growth, reflecting a decrease in top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Industrials sector.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 11.03%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): PACCAR's ROE excels beyond industry benchmarks, reaching 4.82%. This signifies robust financial management and efficient use of shareholder equity capital.

Return on Assets (ROA): PACCAR's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 2.01% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: PACCAR's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.91.

Analyst Ratings: What Are They?

Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.