Zacks Research Has Negative Outlook for PACCAR Q1 Earnings

PACCAR Inc (NASDAQ:PCAR) – Equities research analysts at Zacks Research cut their Q1 2025 earnings per share (EPS) estimates for PACCAR in a report released on Monday, February 10th. Zacks Research analyst R. Singhi now forecasts that the company will earn $1.60 per share for the quarter, down from their prior forecast of $2.03. The consensus estimate for PACCAR’s current full-year earnings is $7.60 per share. Zacks Research also issued estimates for PACCAR’s FY2025 earnings at $7.49 EPS, Q1 2026 earnings at $1.82 EPS and Q4 2026 earnings at $2.49 EPS.

PACCAR (NASDAQ:PCAR) last announced its quarterly earnings data on Tuesday, January 28th. The company reported $1.66 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.70 by ($0.04). PACCAR had a net margin of 12.36% and a return on equity of 23.53%.

A number of other brokerages have also recently issued reports on PCAR. Evercore ISI raised PACCAR from an “in-line” rating to an “outperform” rating and raised their price objective for the company from $99.00 to $129.00 in a research note on Wednesday, November 13th. Royal Bank of Canada reaffirmed a “sector perform” rating and set a $119.00 price objective on shares of PACCAR in a research note on Monday, November 4th. Bank of America upgraded shares of PACCAR from a “neutral” rating to a “buy” rating and increased their target price for the stock from $116.00 to $121.50 in a report on Tuesday, January 14th. Morgan Stanley dropped their target price on shares of PACCAR from $135.00 to $126.00 and set an “overweight” rating for the company in a report on Wednesday, October 23rd. Finally, Truist Financial increased their target price on shares of PACCAR from $112.00 to $113.00 and gave the stock a “hold” rating in a report on Wednesday, January 29th. Seven equities research analysts have rated the stock with a hold rating and seven have given a buy rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $121.95.

PACCAR Stock Up 2.1 %

Shares of NASDAQ:PCAR opened at $105.26 on Thursday. The stock’s 50-day moving average price is $108.77 and its 200-day moving average price is $104.74. PACCAR has a 12-month low of $90.04 and a 12-month high of $125.50. The stock has a market capitalization of $55.19 billion, a P/E ratio of 13.31, a price-to-earnings-growth ratio of 2.79 and a beta of 0.92. The company has a current ratio of 1.67, a quick ratio of 1.39 and a debt-to-equity ratio of 0.54.

Hedge Funds Weigh In On PACCAR

A number of institutional investors and hedge funds have recently made changes to their positions in PCAR. Norges Bank bought a new stake in shares of PACCAR during the fourth quarter valued at approximately $526,922,000. Wellington Management Group LLP increased its position in shares of PACCAR by 53.3% during the third quarter. Wellington Management Group LLP now owns 13,434,115 shares of the company’s stock valued at $1,325,678,000 after acquiring an additional 4,669,172 shares in the last quarter. Massachusetts Financial Services Co. MA increased its position in shares of PACCAR by 47.8% during the third quarter. Massachusetts Financial Services Co. MA now owns 10,194,903 shares of the company’s stock valued at $1,006,033,000 after acquiring an additional 3,296,146 shares in the last quarter. Madison Investment Advisors LLC bought a new stake in shares of PACCAR during the fourth quarter valued at approximately $254,651,000. Finally, JPMorgan Chase & Co. increased its position in shares of PACCAR by 49.6% during the third quarter. JPMorgan Chase & Co. now owns 3,515,184 shares of the company’s stock valued at $346,878,000 after acquiring an additional 1,164,692 shares in the last quarter. Institutional investors own 64.90% of the company’s stock.

Insiders Place Their Bets

In other PACCAR news, VP Todd R. Hubbard sold 2,000 shares of the firm’s stock in a transaction that occurred on Friday, January 31st. The shares were sold at an average price of $112.05, for a total transaction of $224,100.00. Following the completion of the transaction, the vice president now owns 5,463 shares of the company’s stock, valued at approximately $612,129.15. This trade represents a 26.80 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CEO R Preston Feight sold 25,200 shares of the firm’s stock in a transaction that occurred on Friday, January 31st. The shares were sold at an average price of $110.98, for a total transaction of $2,796,696.00. Following the transaction, the chief executive officer now directly owns 206,129 shares of the company’s stock, valued at $22,876,196.42. This represents a 10.89 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 130,871 shares of company stock worth $14,586,333 over the last three months. Company insiders own 2.02% of the company’s stock.

PACCAR Increases Dividend

The business also recently disclosed a dividend, which was paid on Wednesday, January 8th. Shareholders of record on Friday, December 20th were issued a $3.00 dividend. The ex-dividend date was Friday, December 20th. This is a positive change from PACCAR’s previous dividend of $0.89. PACCAR’s dividend payout ratio (DPR) is 15.17%.

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.