PCAR Stock Analysis — Paccar Inc.
Sector: Industrials
AI Verdict
Paccar trades at 20.7x next year's earnings while analysts expect nearly 30% EPS growth—cheap for the growth on offer, if its dealer network and service moat can offset recent revenue weakness.
Competitive Moat
Paccar designs and manufactures premium trucks under brands like Kenworth and Peterbilt, with a defensible moat built on dealer network scale, reliability reputation, and proprietary powertrain technology. Their long-standing relationships with fleet operators and integrated after-sales service infrastructure create switching costs that protect market share.
Summary
Paccar's 20.7x forward P/E and 29.8% expected EPS growth make it a rare industrial stock with both value and momentum signals flashing.
Where It Stands
The stock is oversold with an RSI of 33.5, up 28.16% over the past year, and trades at 20.7x next year's earnings versus the industrials median of 20x.
Key Metrics
- RSI: 33.5 — Near Oversold
- Trailing P/E: 26.8x
- Forward P/E: 20.7x
- PEG Ratio: 0.83
- Earnings Growth: +0.3%
- Revenue Growth: -0.1%
- Market Cap: $67.1B
- Dividend Yield: 0.01%
- 1-Year Return: 28.16%
- 52-Week High: $139.24
- 52-Week Low: $92.25
Analyst Consensus
11 Buy · 14 Hold · 1 Sell (26 analysts)
Bull Case
With analysts forecasting 29.8% EPS growth and a forward P/E of 20.7x, you're paying a below-market multiple for outsized earnings expansion if execution holds.
Bear Case
If the P/E falls from 20.7x to the sector median of 20x, that's a 3.4% downside on valuation alone, and the -10.6% revenue growth warns that top-line momentum is lagging.
Catalyst to Watch
Watch for the next earnings report to confirm whether the expected 29.8% EPS growth is materializing despite the recent revenue decline.