PACCAR (NASDAQ:PCAR) Hits New 12-Month High – Should You Buy?

PACCAR Inc. (NASDAQ:PCAR)’s share price reached a new 52-week high during mid-day trading on Tuesday . The stock traded as high as $127.52 and last traded at $126.9050, with a volume of 193029 shares changing hands. The stock had previously closed at $124.61.

Wall Street Analysts Forecast Growth

A number of equities analysts recently weighed in on PCAR shares. JPMorgan Chase & Co. upped their target price on shares of PACCAR from $133.00 to $142.00 and gave the stock an “overweight” rating in a research report on Wednesday, January 14th. Citigroup increased their price objective on shares of PACCAR from $120.00 to $125.00 and gave the company a “neutral” rating in a report on Thursday, January 29th. Zacks Research raised PACCAR from a “strong sell” rating to a “hold” rating in a report on Monday, December 8th. Weiss Ratings downgraded PACCAR from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Saturday, October 25th. Finally, Morgan Stanley set a $109.00 price target on PACCAR in a research note on Tuesday. One equities research analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and eleven have assigned a Hold rating to the stock. According to MarketBeat, PACCAR currently has an average rating of “Hold” and an average price target of $116.50.

PACCAR Trading Up 2.5%

The stock has a market cap of $67.08 billion, a P/E ratio of 28.33, a P/E/G ratio of 1.03 and a beta of 1.01. The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.42 and a current ratio of 1.70. The stock’s fifty day moving average is $114.30 and its 200 day moving average is $104.02.

PACCAR (NASDAQ:PCAR) last issued its quarterly earnings data on Tuesday, January 27th. The company reported $1.06 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $1.06. The business had revenue of $4.61 billion for the quarter, compared to the consensus estimate of $6.06 billion. PACCAR had a return on equity of 13.97% and a net margin of 8.35%.The company’s quarterly revenue was down 15.1% compared to the same quarter last year. During the same period in the prior year, the business posted $1.66 earnings per share. As a group, equities research analysts predict that PACCAR Inc. will post 7.57 earnings per share for the current fiscal year.

PACCAR Cuts Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, March 4th. Stockholders of record on Wednesday, February 11th will be paid a $0.33 dividend. The ex-dividend date of this dividend is Wednesday, February 11th. This represents a $1.32 annualized dividend and a dividend yield of 1.0%. PACCAR’s dividend payout ratio is currently 29.27%.

Insiders Place Their Bets

In other news, CFO Brice J. Poplawski sold 2,200 shares of PACCAR stock in a transaction that occurred on Monday, February 2nd. The shares were sold at an average price of $123.99, for a total transaction of $272,778.00. Following the completion of the sale, the chief financial officer owned 903 shares of the company’s stock, valued at approximately $111,962.97. The trade was a 70.90% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, VP Paulo Henrique Bolgar sold 12,183 shares of the firm’s stock in a transaction on Friday, January 30th. The shares were sold at an average price of $122.43, for a total value of $1,491,564.69. Following the transaction, the vice president owned 6,274 shares in the company, valued at approximately $768,125.82. This represents a 66.01% decrease in their position. The disclosure for this sale is available in the SEC filing. Company insiders own 2.02% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in the business. Ares Financial Consulting LLC acquired a new position in shares of PACCAR during the fourth quarter valued at about $27,000. Private Wealth Management Group LLC boosted its stake in PACCAR by 293.1% in the 3rd quarter. Private Wealth Management Group LLC now owns 283 shares of the company’s stock worth $28,000 after purchasing an additional 211 shares in the last quarter. Hazlett Burt & Watson Inc. grew its position in PACCAR by 53.8% during the 2nd quarter. Hazlett Burt & Watson Inc. now owns 286 shares of the company’s stock worth $28,000 after purchasing an additional 100 shares during the last quarter. Camelot Portfolios LLC acquired a new position in PACCAR during the 4th quarter valued at approximately $33,000. Finally, Wealth Watch Advisors INC purchased a new position in shares of PACCAR in the third quarter worth $32,000. Hedge funds and other institutional investors own 64.90% of the company’s stock.

PACCAR Company Profile

PACCAR Inc is a global technology leader in the design, manufacture and customer support of light-, medium- and heavy-duty commercial vehicles. The company’s products are marketed under well-known brand names including Kenworth, Peterbilt and DAF and span vocational and long-haul applications. PACCAR’s core business includes vehicle engineering and assembly as well as the supply of components and proprietary powertrain systems designed to meet regulatory and customer performance requirements.

In addition to truck manufacturing, PACCAR operates a comprehensive aftermarket parts business, distributes used trucks and provides commercial vehicle financing and leasing through its financial services operations.