PACCAR (NASDAQ:PCAR) Hits New 52-Week Low on Disappointing Earnings

PACCAR Inc (NASDAQ:PCAR) hit a new 52-week low on Tuesday following a dissappointing earnings announcement. The stock traded as low as $84.65 and last traded at $86.39, with a volume of 836362 shares traded. The stock had previously closed at $92.04.

The company reported $1.46 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.58 by ($0.12). The business had revenue of $6.91 billion for the quarter, compared to analyst estimates of $7.13 billion. PACCAR had a net margin of 12.36% and a return on equity of 23.53%. The company’s quarterly revenue was down 16.0% on a year-over-year basis. During the same period in the prior year, the company earned $2.27 earnings per share.

PACCAR Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Wednesday, June 4th. Investors of record on Wednesday, May 14th will be paid a $0.33 dividend. This represents a $1.32 dividend on an annualized basis and a yield of 1.46%. PACCAR’s dividend payout ratio (DPR) is presently 16.69%.

Analysts Set New Price Targets

PCAR has been the subject of several research reports. Citigroup lowered their price objective on shares of PACCAR from $105.00 to $95.00 and set a “neutral” rating for the company in a research note on Tuesday, April 8th. JPMorgan Chase & Co. dropped their price target on PACCAR from $121.00 to $105.00 and set an “overweight” rating on the stock in a research note on Friday, April 11th. UBS Group cut PACCAR from a “neutral” rating to a “sell” rating and reduced their price objective for the stock from $108.00 to $78.00 in a research note on Monday, April 7th. Melius Research set a $120.00 target price on PACCAR in a research report on Tuesday, March 18th. Finally, Evercore ISI reduced their price target on shares of PACCAR from $129.00 to $127.00 and set an “outperform” rating for the company in a research report on Wednesday, February 19th. One investment analyst has rated the stock with a sell rating, seven have issued a hold rating, six have given a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $108.59.

Insiders Place Their Bets

In other PACCAR news, VP Michael K. Walton sold 6,000 shares of the business’s stock in a transaction that occurred on Wednesday, February 19th. The stock was sold at an average price of $106.13, for a total transaction of $636,780.00. Following the completion of the sale, the vice president now directly owns 951 shares in the company, valued at approximately $100,929.63. The trade was a 86.32 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, VP Todd R. Hubbard sold 2,000 shares of the firm’s stock in a transaction that occurred on Friday, January 31st. The shares were sold at an average price of $112.05, for a total value of $224,100.00. Following the completion of the transaction, the vice president now owns 5,463 shares in the company, valued at approximately $612,129.15. This trade represents a 26.80 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 165,547 shares of company stock worth $18,261,908. Company insiders own 2.02% of the company’s stock.

Institutional Trading of PACCAR

Large investors have recently made changes to their positions in the company. Everence Capital Management Inc. purchased a new stake in shares of PACCAR in the fourth quarter valued at approximately $1,984,000. Cullen Frost Bankers Inc. increased its stake in shares of PACCAR by 8.2% in the 4th quarter. Cullen Frost Bankers Inc. now owns 85,719 shares of the company’s stock worth $8,916,000 after acquiring an additional 6,494 shares during the last quarter. LPL Financial LLC raised its holdings in shares of PACCAR by 6.1% during the 4th quarter. LPL Financial LLC now owns 212,405 shares of the company’s stock worth $22,094,000 after acquiring an additional 12,143 shares during the period. Insight Wealth Strategies LLC boosted its position in shares of PACCAR by 21.6% during the 4th quarter. Insight Wealth Strategies LLC now owns 39,041 shares of the company’s stock valued at $4,061,000 after acquiring an additional 6,936 shares during the last quarter. Finally, Versant Capital Management Inc boosted its position in shares of PACCAR by 19.3% during the 4th quarter. Versant Capital Management Inc now owns 1,325 shares of the company’s stock valued at $138,000 after acquiring an additional 214 shares during the last quarter. 64.90% of the stock is currently owned by hedge funds and other institutional investors.

PACCAR Price Performance

The company has a debt-to-equity ratio of 0.56, a current ratio of 2.54 and a quick ratio of 1.39. The stock’s fifty day moving average is $96.92 and its 200-day moving average is $105.17. The stock has a market cap of $47.40 billion, a PE ratio of 11.41, a price-to-earnings-growth ratio of 2.77 and a beta of 0.96.

About PACCAR

PACCAR Inc designs, manufactures, and distributes light, medium, and heavy-duty commercial trucks in the United States, Canada, Europe, Mexico, South America, Australia, and internationally. It operates through three segments: Truck, Parts, and Financial Services. The Truck segment designs, manufactures, and distributes trucks for the over-the-road and off-highway hauling of commercial and consumer goods.