Assessing PACCAR: Insights From 10 Financial Analysts

Across the recent three months, 10 analysts have shared their insights on PACCAR PCAR, expressing a variety of opinions spanning from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Analysts have set 12-month price targets for PACCAR, revealing an average target of $98.5, a high estimate of $115.00, and a low estimate of $78.00. Observing a downward trend, the current average is 11.9% lower than the prior average price target of $111.80.

Diving into Analyst Ratings: An In-Depth Exploration

The analysis of recent analyst actions sheds light on the perception of PACCAR by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to PACCAR. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Providing a comprehensive analysis, analysts offer qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of PACCAR compared to the broader market.
• Price Targets: Analysts provide insights into price targets, offering estimates for the future value of PACCAR's stock. This comparison reveals trends in analysts' expectations over time.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of PACCAR's market standing. Stay informed and make data-driven decisions with our Ratings Table.

Stay up to date on PACCAR analyst ratings.

Get to Know PACCAR Better

Paccar is a leading manufacturer of medium- and heavy-duty trucks under the premium nameplates Kenworth and Peterbilt, which are primarily sold in the Americas and Australia, and DAF, which primarily services Europe and South America. The trucks segment (74% sales) goes to market through a network of 2,200 independent dealers. Paccar maintains an internal finance subsidiary that provides retail and wholesale financing for customers and dealers (6% sales). In recent years, Paccar has aggressively grown its parts business (20% sales), which include engines, axles, and transmissions for its own truck brands as well as independent producers. The company commands approximately 30% of the Class 8 market share in North America and 15% of the heavy-duty market share in Europe.

A Deep Dive into PACCAR's Financials

Market Capitalization: Surpassing industry standards, the company's market capitalization asserts its dominance in terms of size, suggesting a robust market position.

Decline in Revenue: Over the 3M period, PACCAR faced challenges, resulting in a decline of approximately -14.9% in revenue growth as of 31 March, 2025. This signifies a reduction in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Industrials sector.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of 6.79%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): PACCAR's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 2.84%, the company may encounter challenges in delivering satisfactory returns for shareholders.

Return on Assets (ROA): PACCAR's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of 1.17%, the company may face hurdles in achieving optimal financial performance.

Debt Management: PACCAR's debt-to-equity ratio is below the industry average at 0.87, reflecting a lower dependency on debt financing and a more conservative financial approach.

What Are Analyst Ratings?

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.