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Paccar (PCAR) closed the latest trading day at $103.61, indicating a -0.92% change from the previous session's end. This change was narrower than the S&P 500's 1.07% loss on the day. Elsewhere, the Dow lost 0.97%, while the tech-heavy Nasdaq lost 1.19%.
Prior to today's trading, shares of the truck maker had lost 10.62% over the past month. This has lagged the Auto-Tires-Trucks sector's gain of 19.11% and the S&P 500's loss of 0.36% in that time.
Investors will be eagerly watching for the performance of Paccar in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on January 28, 2025. The company's upcoming EPS is projected at $1.67, signifying a 38.15% drop compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $7.41 billion, down 13.78% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $7.92 per share and a revenue of $31.61 billion, indicating changes of -17.59% and -5.12%, respectively, from the former year.
Investors might also notice recent changes to analyst estimates for Paccar. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Paccar currently has a Zacks Rank of #3 (Hold).
In the context of valuation, Paccar is at present trading with a Forward P/E ratio of 13.2. This indicates a premium in contrast to its industry's Forward P/E of 11.68.
Meanwhile, PCAR's PEG ratio is currently 1.65. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. By the end of yesterday's trading, the Automotive - Domestic industry had an average PEG ratio of 1.75.
The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. Currently, this industry holds a Zacks Industry Rank of 149, positioning it in the bottom 41% of all 250+ industries.