PCARPCAR
US • —
$119.83
P/E
25.50
PEG
—
FCF Yield
—
Rev Growth YoY
-14.2% YoY
Gross Margin
19.9%
Health Score
6/10
D/E Ratio
0.81
Confidence
LOW
Business Snapshot
Paccar Inc designs and manufactures heavy-duty trucks primarily under the Kenworth, Peterbilt, and DAF brand names, along with providing related parts, service, and financial services. The company operates in the global commercial vehicle market, competing against other established manufacturers in a cyclical industry tied to freight demand and economic activity. With a market capitalisation that places it in the large-cap tier, Paccar generates significant revenue, though the TTM revenue figure is unavailable in this data set. The company is known for its premium brand positioning and vertically integrated parts and service network, which provides a recurring revenue stream that partially offsets the cyclicality of new truck sales.
Financial Health
Gross margin stands at 19.9% and net margin is 8.9%, indicating that Paccar retains a reasonable portion of revenue as profit after all expenses. The debt-to-equity ratio of 0.81x suggests a manageable level of leverage, while the current ratio of 0.71x points to a liquidity position that warrants attention, as current assets do not fully cover short-term liabilities...
Risk Assessment
REVENUE DECELERATION — Revenue declined 14.2% year-over-year, indicating a significant contraction in the core business. EARNINGS QUALITY — Paccar has beaten analyst estimates in only 1 of the last 4 quarters, suggesting a pattern of earnings misses. DEBT / LIQUIDITY — The current ratio of 0.71x is below 1.0x, signalling that current liabilities exceed current assets and may pressure short-term liquidity. VALUATION — P/E ratio of 25.5x exceeds the sector average of 22x, representing a premium that is unsupported by current earnings trends. TECHNICALS — RSI, MACD, and moving average data unavailable for this period; momentum cannot be independently confirmed....
Gross margin stands at 19.9% and net margin is 8.9%, indicating that Paccar retains a reasonable portion of revenue as profit after all expenses. The debt-to-equity ratio of 0.81x suggests a manageable level of leverage, while the current ratio of 0.71x points to a liquidity position that warrants attention, as current assets do not fully cover short-term liabilities. Free cash flow data is unavailable, which prevents a full assessment of cash generation versus capital needs. Overall, the balance sheet appears healthy from a long-term solvency standpoint, but the low current ratio and absence of free cash flow data introduce some uncertainty around near-term financial flexibility.
REVENUE DECELERATION — Revenue declined 14.2% year-over-year, indicating a significant contraction in the core business. EARNINGS QUALITY — Paccar has beaten analyst estimates in only 1 of the last 4 quarters, suggesting a pattern of earnings misses. DEBT / LIQUIDITY — The current ratio of 0.71x is below 1.0x, signalling that current liabilities exceed current assets and may pressure short-term liquidity. VALUATION — P/E ratio of 25.5x exceeds the sector average of 22x, representing a premium that is unsupported by current earnings trends. TECHNICALS — RSI, MACD, and moving average data unavailable for this period; momentum cannot be independently confirmed.
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