Why Paccar (PCAR) Dipped More Than Broader Market Today
Paccar (PCAR) closed at $114.03 in the latest trading session, marking a -0.54% move from the prior day. The stock's change was less than the S&P 500's daily loss of 0.11%. Meanwhile, the Dow gained 0.12%, and the Nasdaq, a tech-heavy index, lost 0.41%.
Shares of the truck maker have appreciated by 8.15% over the course of the past month, outperforming the Auto-Tires-Trucks sector's gain of 0.55% and the S&P 500's gain of 2.7%.
Analysts and investors alike will be keeping a close eye on the performance of Paccar in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $2.15, reflecting a 4.44% decrease from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $8.07 billion, indicating a 0.26% increase compared to the same quarter of the previous year.
PCAR's full-year Zacks Consensus Estimates are calling for earnings of $8.14 per share and revenue of $32.32 billion. These results would represent year-over-year changes of -15.3% and -2.99%, respectively.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Paccar. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.17% higher. Paccar presently features a Zacks Rank of #1 (Strong Buy).
Looking at its valuation, Paccar is holding a Forward P/E ratio of 14.09. This valuation marks no noticeable deviation compared to its industry's average Forward P/E of 14.09.
Meanwhile, PCAR's PEG ratio is currently 1.79. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Automotive - Domestic industry currently had an average PEG ratio of 1.79 as of yesterday's close.
The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. Currently, this industry holds a Zacks Industry Rank of 84, positioning it in the top 34% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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PACCAR Inc. (PCAR) : Free Stock Analysis Report
