PCAR is 15.3 times the 2014 estimate which may be low. As Brasil comes on stream and Europe recovers earnings should get closer to a normalized $5-6.00/share. I think shares are fairly valued - neither rich nor cheap right now. Some pockets of market are a bit rich.
Thanks,for the clarification. The 19.5 PE is based on trailing earnings, while, the 15.3 PE is based on foward earnings. If 2014 earnings estimates are accurate the stock price should rise. The majority of PCAR's earnings come from US operations. I don't have a lot of confidence in our government's ability to manage the economy. Obamacare, Dodd/Frank, and lots of other new regulations will keep recovery slow and depress earnings of most US corporations.