FY2025 Earnings Estimate for PACCAR Issued By Zacks Research

Key Points

• Analysts at Zacks Research have reduced their FY2025 earnings estimate for PACCAR to $5.17 per share from the previous estimate of $5.19, maintaining a "Strong Sell" rating on the stock.
• PACCAR's recent quarterly earnings showed a reported EPS of $1.37, exceeding analysts' expectations of $1.28, but with revenue down 15.7% year-over-year.
• The company announced a quarterly dividend of $0.33, set to be paid on December 3rd for stockholders of record on November 12th, reflecting a dividend yield of 1.4%.

PACCAR Inc. (NASDAQ:PCAR - Free Report) - Analysts at Zacks Research lowered their FY2025 earnings per share estimates for shares of PACCAR in a note issued to investors on Monday, October 13th. Zacks Research analyst Team now forecasts that the company will post earnings of $5.17 per share for the year, down from their prior forecast of $5.19. Zacks Research has a "Strong Sell" rating on the stock. The consensus estimate for PACCAR's current full-year earnings is $7.57 per share. Zacks Research also issued estimates for PACCAR's Q4 2025 earnings at $1.24 EPS, Q1 2026 earnings at $1.39 EPS, Q2 2026 earnings at $1.52 EPS, Q3 2026 earnings at $1.36 EPS, Q4 2026 earnings at $1.48 EPS and FY2026 earnings at $5.75 EPS.

PACCAR (NASDAQ:PCAR - Get Free Report) last issued its quarterly earnings results on Tuesday, July 22nd. The company reported $1.37 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.28 by $0.09. The firm had revenue of $6.96 billion during the quarter, compared to the consensus estimate of $7.02 billion. PACCAR had a return on equity of 18.25% and a net margin of 9.88%.The company's revenue for the quarter was down 15.7% on a year-over-year basis. During the same quarter last year, the company posted $2.13 EPS.

A number of other research firms also recently weighed in on PCAR. Vertical Research upgraded PACCAR to a "strong-buy" rating in a research report on Wednesday, July 23rd. Evercore ISI set a $114.00 target price on PACCAR and gave the stock an "outperform" rating in a research report on Tuesday, August 19th. JPMorgan Chase & Co. boosted their price objective on PACCAR from $95.00 to $97.00 and gave the company a "neutral" rating in a research report on Wednesday, July 23rd. Citigroup boosted their price objective on PACCAR from $95.00 to $100.00 and gave the company a "neutral" rating in a research report on Tuesday, June 24th. Finally, Truist Financial set a $97.00 price objective on PACCAR and gave the company a "hold" rating in a research report on Wednesday, October 8th. Two research analysts have rated the stock with a Strong Buy rating, five have assigned a Buy rating, eight have given a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of $107.59.

PACCAR Stock Performance

Shares of PCAR opened at $93.23 on Tuesday. The company has a market cap of $48.96 billion, a PE ratio of 15.96, a price-to-earnings-growth ratio of 3.79 and a beta of 0.94. The company has a current ratio of 3.02, a quick ratio of 2.80 and a debt-to-equity ratio of 0.57. The stock has a 50-day moving average price of $98.67 and a 200-day moving average price of $95.48. PACCAR has a 12-month low of $84.65 and a 12-month high of $118.81.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the company. Vanguard Group Inc. boosted its position in PACCAR by 1.8% in the first quarter. Vanguard Group Inc. now owns 62,995,929 shares of the company's stock worth $6,133,914,000 after purchasing an additional 1,113,520 shares during the last quarter. State Street Corp raised its stake in shares of PACCAR by 1.0% in the second quarter. State Street Corp now owns 22,534,596 shares of the company's stock worth $2,142,139,000 after buying an additional 218,188 shares during the period. Wellington Management Group LLP raised its stake in shares of PACCAR by 20.1% in the first quarter. Wellington Management Group LLP now owns 20,177,930 shares of the company's stock worth $1,964,725,000 after buying an additional 3,379,165 shares during the period. Geode Capital Management LLC raised its stake in shares of PACCAR by 1.3% in the second quarter. Geode Capital Management LLC now owns 12,455,453 shares of the company's stock worth $1,184,112,000 after buying an additional 159,632 shares during the period. Finally, Massachusetts Financial Services Co. MA raised its stake in PACCAR by 9.2% during the 1st quarter. Massachusetts Financial Services Co. MA now owns 11,754,939 shares of the company's stock valued at $1,144,578,000 after purchasing an additional 987,805 shares during the period. 64.90% of the stock is owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In related news, CFO Brice J. Poplawski sold 5,000 shares of the stock in a transaction on Friday, July 25th. The stock was sold at an average price of $100.94, for a total transaction of $504,700.00. Following the sale, the chief financial officer directly owned 468 shares of the company's stock, valued at $47,239.92. This trade represents a 91.44% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, CEO R Preston Feight sold 39,965 shares of the stock in a transaction on Tuesday, July 29th. The shares were sold at an average price of $99.52, for a total value of $3,977,316.80. Following the sale, the chief executive officer directly owned 223,190 shares in the company, valued at $22,211,868.80. This trade represents a 15.19% decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 2.02% of the company's stock.

PACCAR Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, December 3rd. Stockholders of record on Wednesday, November 12th will be paid a $0.33 dividend. This represents a $1.32 dividend on an annualized basis and a dividend yield of 1.4%. The ex-dividend date of this dividend is Wednesday, November 12th. PACCAR's dividend payout ratio is currently 22.60%.

About PACCAR

PACCAR Inc designs, manufactures, and distributes light, medium, and heavy-duty commercial trucks in the United States, Canada, Europe, Mexico, South America, Australia, and internationally. It operates through three segments: Truck, Parts, and Financial Services. The Truck segment designs, manufactures, and distributes trucks for the over-the-road and off-highway hauling of commercial and consumer goods.

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