Analyzing PACCAR (PCAR) & Its Competitors
PACCAR (NASDAQ: PCAR) is one of 15 public companies in the “Heavy Machinery & Vehicles” industry, but how does it contrast to its rivals? We will compare PACCAR to similar companies based on the strength of its institutional ownership, profitability, analyst recommendations, valuation, earnings, dividends and risk.
This table compares PACCAR and its rivals’ net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
This is a breakdown of current ratings and price targets for PACCAR and its rivals, as provided by MarketBeat.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
PACCAR currently has a consensus price target of $75.17, suggesting a potential upside of 7.92%. As a group, “Heavy Machinery & Vehicles” companies have a potential upside of 7.06%. Given PACCAR’s higher possible upside, equities analysts clearly believe PACCAR is more favorable than its rivals.
Earnings and Valuation
This table compares PACCAR and its rivals top-line revenue, earnings per share and valuation.
|Gross Revenue||Net Income||Price/Earnings Ratio|
|PACCAR||$17.03 billion||$521.70 million||17.86|
|PACCAR Competitors||$6.06 billion||$48.37 million||116.71|
PACCAR has higher revenue and earnings than its rivals. PACCAR is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.
PACCAR pays an annual dividend of $1.00 per share and has a dividend yield of 1.4%. PACCAR pays out 25.6% of its earnings in the form of a dividend. As a group, “Heavy Machinery & Vehicles” companies pay a dividend yield of 1.3% and pay out 35.8% of their earnings in the form of a dividend. PACCAR is clearly a better dividend stock than its rivals, given its higher yield and lower payout ratio.
Insider & Institutional Ownership
62.4% of PACCAR shares are owned by institutional investors. Comparatively, 82.3% of shares of all “Heavy Machinery & Vehicles” companies are owned by institutional investors. 2.6% of PACCAR shares are owned by company insiders. Comparatively, 8.3% of shares of all “Heavy Machinery & Vehicles” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.
Volatility and Risk
PACCAR has a beta of 1.23, suggesting that its stock price is 23% more volatile than the S&P 500. Comparatively, PACCAR’s rivals have a beta of 1.44, suggesting that their average stock price is 44% more volatile than the S&P 500.
PACCAR beats its rivals on 8 of the 15 factors compared.
PACCAR Inc (PACCAR) is a technology company. The Company’s segments include Truck, Parts and Financial Services. The Truck segment includes the design, manufacture and distribution of light-, medium- and heavy-duty commercial trucks. The Company’s trucks are marketed under the Kenworth, Peterbilt and DAF nameplates. It also manufactures engines, primarily for use in the Company’s trucks, at its facilities in Columbus, Mississippi; Eindhoven, the Netherlands, and Ponta Grossa, Brazil. The Parts segment includes the distribution of aftermarket parts for trucks and related commercial vehicles. The Financial Services segment includes finance and leasing products and services provided to customers and dealers. Its Other business includes the manufacturing and marketing of industrial winches. The Company operates in Australia and Brazil and sells trucks and parts to customers in Asia, Africa, Middle East and South America.
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