Vertical Research Upgrades PACCAR (NASDAQ:PCAR) to "Strong-Buy"

Key Points

• PACCAR has been upgraded to a "strong-buy" rating by Vertical Research, indicating increased analyst confidence in the stock's potential.
• Despite some analysts issuing ratings from "sell" to "hold," a consensus price target for PACCAR stands at $106.45, suggesting a favorable outlook for investors.
• In the latest earnings report, PACCAR achieved $1.37 earnings per share, surpassing estimates, although revenue declined by 15.7% compared to the previous year.

PACCAR (NASDAQ:PCAR - Get Free Report) was upgraded by investment analysts at Vertical Research to a "strong-buy" rating in a research report issued on Wednesday, July 23rd,Zacks.com reports.

Several other equities analysts also recently issued reports on PCAR. Truist Financial cut their price target on shares of PACCAR from $102.00 to $98.00 and set a "hold" rating for the company in a report on Wednesday, July 23rd. Citigroup increased their target price on shares of PACCAR from $95.00 to $100.00 and gave the stock a "neutral" rating in a report on Tuesday, June 24th. UBS Group raised shares of PACCAR from a "sell" rating to a "neutral" rating and increased their price objective for the company from $81.00 to $100.00 in a research report on Wednesday, July 23rd. Morgan Stanley downgraded shares of PACCAR from an "overweight" rating to an "equal weight" rating and set a $96.00 price objective on the stock. in a research note on Wednesday, April 16th. Finally, Royal Bank Of Canada cut their target price on shares of PACCAR from $106.00 to $97.00 and set a "sector perform" rating on the stock in a research report on Thursday, May 8th. Nine analysts have rated the stock with a hold rating, four have assigned a buy rating and two have given a strong buy rating to the company. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $107.77.

PACCAR Price Performance

NASDAQ:PCAR traded up $0.40 during trading hours on Wednesday, reaching $99.88. 886,258 shares of the company's stock were exchanged, compared to its average volume of 2,920,851. The company has a quick ratio of 1.40, a current ratio of 1.73 and a debt-to-equity ratio of 0.55. The company has a market capitalization of $52.43 billion, a P/E ratio of 17.12, a price-to-earnings-growth ratio of 4.01 and a beta of 0.94. PACCAR has a 12 month low of $84.65 and a 12 month high of $118.81. The business's 50-day simple moving average is $95.17 and its two-hundred day simple moving average is $98.17.

PACCAR (NASDAQ:PCAR - Get Free Report) last released its earnings results on Tuesday, July 22nd. The company reported $1.37 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.28 by $0.09. The company had revenue of $6.96 billion during the quarter, compared to the consensus estimate of $7.02 billion. PACCAR had a net margin of 9.88% and a return on equity of 18.25%. The company's revenue was down 15.7% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $2.13 EPS. Sell-side analysts expect that PACCAR will post 7.57 EPS for the current fiscal year.

Insider Buying and Selling at PACCAR

In other news, CFO Brice J. Poplawski sold 5,000 shares of PACCAR stock in a transaction dated Friday, July 25th. The stock was sold at an average price of $100.94, for a total value of $504,700.00. Following the completion of the transaction, the chief financial officer owned 468 shares of the company's stock, valued at $47,239.92. The trade was a 91.44% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Pierre R. Breber purchased 5,000 shares of the stock in a transaction dated Tuesday, May 6th. The stock was bought at an average cost of $89.78 per share, with a total value of $448,900.00. Following the transaction, the director owned 13,015 shares in the company, valued at $1,168,486.70. The trade was a 62.38% increase in their ownership of the stock. The disclosure for this purchase can be found here. Company insiders own 2.02% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the stock. E Fund Management Hong Kong Co. Ltd. raised its holdings in PACCAR by 666.7% during the 1st quarter. E Fund Management Hong Kong Co. Ltd. now owns 276 shares of the company's stock valued at $27,000 after buying an additional 240 shares during the period. Hazlett Burt & Watson Inc. boosted its position in PACCAR by 53.8% in the 2nd quarter. Hazlett Burt & Watson Inc. now owns 286 shares of the company's stock worth $28,000 after purchasing an additional 100 shares in the last quarter. Meeder Asset Management Inc. raised its position in PACCAR by 221.8% during the fourth quarter. Meeder Asset Management Inc. now owns 280 shares of the company's stock worth $29,000 after acquiring an additional 193 shares during the period. Alpine Bank Wealth Management acquired a new position in PACCAR during the first quarter worth about $29,000. Finally, Sunbelt Securities Inc. raised its stake in shares of PACCAR by 8,750.0% in the 4th quarter. Sunbelt Securities Inc. now owns 354 shares of the company's stock valued at $37,000 after acquiring an additional 350 shares during the period. 64.90% of the stock is currently owned by institutional investors.

PACCAR Company Profile

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.