Paccar Inc. is a global technology leader in the design, manufacture and customer support of high-quality light-, medium- and heavy-duty trucks under the Kenworth, Peterbilt and DAF nameplates. PACCAR also designs and manufactures advanced diesel engines, provides financial services and information technology, and distributes truck parts related to its principal business. The company is based in Bloomfield Hills, Michigan.
PCAR Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Paccar Inc. To summarize, we found that Paccar Inc ranked in the 47th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. In terms of the factors that were most noteworthy in this DCF analysis for PCAR, they are:
The company has produced more trailing twelve month cash flow than 90.27% of its sector Industrials.
Paccar Inc's weighted average cost of capital (WACC) is 8%; for context, that number is higher than just 10.77% of tickers in our DCF set.
PCAR's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than just 10.77% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Paccar Inc? See GPN, KBR, AIMC, HUBB, and LMT.
Wells Fargo backs its Outperform stance on PACCAR (PCAR) and lifts its price target on to $110 from $95 an"We believe PCAR is set up well exiting 2020 and entering 2021 against consensus expectations that appear too low and a strong potential to boost next mid-cycle earnings and returns above 2009–2019...
BELLEVUE, Wash.--(BUSINESS WIRE)--PACCAR (Nasdaq: PCAR) is excited to collaborate with Faith Technologies and Schneider Electric to provide charging infrastructure solutions for customers who purchase industry-leading battery electric Kenworth and Peterbilt trucks in the United States and Canada. Kenworth and Peterbilt have recently begun taking customer orders for production model Kenworth K270E and the Peterbilt Model 220EV battery electric trucks, with additional production models to be intr
Navistar's (NAV) story over the last two decades has been a difficult one, with the company losing significant share in its core medium-duty and heavy-duty truck markets and suffering repeated hits to its reputation from product quality issues (including, but not exclusively, the well-known EGR fiasco). Adjusted annual revenue growth...
Stephen Simpson, CFA on Seeking Alpha | September 14, 2020
Second-quarter sales plummeted at Daimler Trucks North America (DTNA) and PACCAR Inc. (NASDAQ: PCAR ) even as market share improved at both companies. DTNA's Class 8 share for Freightliner and Western Star trucks rose 1.9%, to 39.2%, in the April-to-June period. It is up 0.2 percentage point at 40.1% through the first six months of the year. Its Class 6-7 truck share stood at 35.2%, up 0.8 percentage point from 34.4% a year ago. PACCAR's combined Kenworth and Peterbilt share stood at 29.6%, 0.5 percentage point higher than the first half of last year. The market share deception Market share can be deceiving. It can rise even when sales are down, as long as the decline is less than that of the competition. "Especially in North America, the market lost … Full story available on Benzinga.com