PACCAR-Paccar (PCAR) Increases Yet Falls Behind Market: What Investors Need to Know

Company Performance - Paccar (PCAR) closed at $99.18, reflecting a +0.77% change from the previous day, underperforming the S&P 500 which gained 2.13% [1] - Over the past month, Paccar's shares have decreased by 6.5%, which is less severe than the Auto-Tires-Trucks sector's decline of 20.63% and the S&P 500's drop of 9.57% [1] Earnings Projections - The upcoming EPS for Paccar is projected at$ 1.62, indicating a 28.63% decrease compared to the same quarter last year [2] - Revenue is expected to be $7.22 billion, representing a 12.37% decline from the corresponding quarter of the previous year [2] Fiscal Year Estimates - For the entire fiscal year, earnings are projected at$ 7.57 per share and revenue at $31.73 billion, reflecting changes of -4.18% and +0.52% respectively from the prior year [3] - Recent changes to analyst estimates suggest a shifting business landscape, with positive revisions indicating optimism about the company's outlook [3] Valuation Metrics - Paccar's Forward P/E ratio is currently at 13, which is a premium compared to the industry's average Forward P/E of 10.67 [6] - The company has a PEG ratio of 2.56, while the average PEG ratio for Automotive - Domestic stocks is 0.77 [6] Industry Context - The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector, which has a Zacks Industry Rank of 160, placing it in the bottom 37% of over 250 industries [7] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [7]