Paccar Inc Stock Current Valuation

PCAR Stock  USD 124.46  1.45  1.18%   
Valuation analysis of PACCAR Inc helps investors to measure PACCAR's intrinsic value by examining its available valuation indicators, including the cash flow records, the balance sheet account changes and income statement patterns. As of 03/28/2024, Enterprise Value Multiple is likely to grow to 11.17. Fundamental drivers impacting PACCAR's valuation include:
Price Book
4.0594
Enterprise Value
69.8 B
Enterprise Value Ebitda
10.1642
Price Sales
1.835
Forward PE
15.748
Overvalued
Today
124.46
Please note that PACCAR's price fluctuation is very steady at this time. Calculation of the real value of PACCAR Inc is based on 3 months time horizon. Increasing PACCAR's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for PACCAR Inc is useful when determining the fair value of the PACCAR stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of PACCAR. Since PACCAR is currently traded on the exchange, buyers and sellers on that exchange determine the market value of PACCAR Stock. However, PACCAR's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  124.46 Real  114.52 Target  91.14 Hype  125.19 Naive  125.48
The real value of PACCAR Stock, also known as its intrinsic value, is the underlying worth of PACCAR Inc Company, which is reflected in its stock price. It is based on PACCAR's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of PACCAR's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence PACCAR's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
113.40
Downside
114.52
Real Value
136.91
Upside
Estimating the potential upside or downside of PACCAR Inc helps investors to forecast how PACCAR stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of PACCAR more accurately as focusing exclusively on PACCAR's fundamentals will not take into account other important factors:
Earnings
Estimates (0)
LowProjectedHigh
2.032.162.27
Details
Hype
Prediction
LowEstimatedHigh
124.07125.19126.31
Details
Potential
Annual Dividend
LowForecastedHigh
2.532.592.65
Details
22 Analysts
Consensus
LowTarget PriceHigh
82.9491.14101.17
Details

PACCAR Current Valuation Analysis

PACCAR's Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
 2021 2022 2023 2024 (projected)
Price Earnings Ratio16.4611.4511.1215.22
Short Term Coverage Ratios0.720.930.830.79

Enterprise Value

 = 

Market Cap + Debt

-

Cash

More About Current Valuation | All Equity Analysis

Current PACCAR Current Valuation

    
  69.83 B  
Most of PACCAR's fundamental indicators, such as Current Valuation, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, PACCAR Inc is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.

PACCAR Current Valuation Driver Correlations

Understanding the fundamental principles of building solid financial models for PACCAR is extremely important. It helps to project a fair market value of PACCAR Stock properly, considering its historical fundamentals such as Current Valuation. Since PACCAR's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of PACCAR's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of PACCAR's interrelated accounts and indicators.
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Click cells to compare fundamentals
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Competition

In accordance with the recently published financial statements, PACCAR Inc has a Current Valuation of 69.83 B. This is much higher than that of the Machinery sector and significantly higher than that of the Industrials industry. The current valuation for all United States stocks is significantly lower than that of the firm.

PACCAR Current Valuation Peer Comparison

Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses PACCAR's direct or indirect competition against its Current Valuation to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of PACCAR could also be used in its relative valuation, which is a method of valuing PACCAR by comparing valuation metrics of similar companies.
PACCAR is currently under evaluation in current valuation category among related companies.

PACCAR ESG Sustainability

Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, PACCAR's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to PACCAR's managers, analysts, and investors.
Environment Score
Governance Score
Social Score

PACCAR Fundamentals

About PACCAR Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze PACCAR Inc's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of PACCAR using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of PACCAR Inc based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
PACCAR Inc designs, manufactures, and distributes light, medium, and heavy-duty commercial trucks in the United States, Europe, Mexico, South America, Australia, and internationally. PACCAR Inc was founded in 1905 and is headquartered in Bellevue, Washington. PACCAR operates under Farm Heavy Construction Machinery classification in the United States and is traded on NASDAQ Exchange. It employs 28500 people.

PACCAR Investors Sentiment

The influence of PACCAR's investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in PACCAR. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock market does not have solid backing from leading economists and market statisticians.
Investor biases related to PACCAR's public news can be used to forecast risks associated with an investment in PACCAR. The trend in average sentiment can be used to explain how an investor holding PACCAR can time the market purely based on public headlines and social activities around PACCAR Inc. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
PACCAR's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for PACCAR's and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average PACCAR's news discussions. The higher the estimated score, the more favorable is the investor's outlook on PACCAR.

PACCAR Implied Volatility

    
  22.43  
PACCAR's implied volatility exposes the market's sentiment of PACCAR Inc stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if PACCAR's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that PACCAR stock will not fluctuate a lot when PACCAR's options are near their expiration.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards PACCAR in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, PACCAR's short interest history, or implied volatility extrapolated from PACCAR options trading.

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When determining whether PACCAR Inc is a strong investment it is important to analyze PACCAR's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact PACCAR's future performance. For an informed investment choice regarding PACCAR Stock, refer to the following important reports:
Check out PACCAR Piotroski F Score and PACCAR Altman Z Score analysis.
Note that the PACCAR Inc information on this page should be used as a complementary analysis to other PACCAR's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Portfolio Holdings module to check your current holdings and cash postion to detemine if your portfolio needs rebalancing.

Complementary Tools for PACCAR Stock analysis

When running PACCAR's price analysis, check to measure PACCAR's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy PACCAR is operating at the current time. Most of PACCAR's value examination focuses on studying past and present price action to predict the probability of PACCAR's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move PACCAR's price. Additionally, you may evaluate how the addition of PACCAR to your portfolios can decrease your overall portfolio volatility.
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Is PACCAR's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of PACCAR. If investors know PACCAR will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about PACCAR listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
0.528
Dividend Share
1.04
Earnings Share
8.76
Revenue Per Share
67.05
Quarterly Revenue Growth
0.117
The market value of PACCAR Inc is measured differently than its book value, which is the value of PACCAR that is recorded on the company's balance sheet. Investors also form their own opinion of PACCAR's value that differs from its market value or its book value, called intrinsic value, which is PACCAR's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because PACCAR's market value can be influenced by many factors that don't directly affect PACCAR's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between PACCAR's value and its price as these two are different measures arrived at by different means. Investors typically determine if PACCAR is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, PACCAR's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.