In the latest market close, Paccar (PCAR) reached $98.19, with a -1.35% movement compared to the previous day. The stock's change was less than the S&P 500's daily loss of 0.33%. Elsewhere, the Dow lost 0.37%, while the tech-heavy Nasdaq lost 0.53%.

Shares of the truck maker have depreciated by 6.13% over the course of the past month, underperforming the Auto-Tires-Trucks sector's loss of 4.57% and the S&P 500's loss of 4.03%.

The investment community will be paying close attention to the earnings performance of Paccar in its upcoming release. The company is forecasted to report an EPS of $1.59, showcasing a 29.96% downward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $7.05 billion, indicating a 14.34% downward movement from the same quarter last year.

For the full year, the Zacks Consensus Estimates are projecting earnings of $7.39 per share and revenue of $31.09 billion, which would represent changes of -6.46% and -1.51%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for Paccar. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, there's been a 2.38% fall in the Zacks Consensus EPS estimate. As of now, Paccar holds a Zacks Rank of #3 (Hold).

In the context of valuation, Paccar is at present trading with a Forward P/E ratio of 13.47. This represents a premium compared to its industry's average Forward P/E of 11.02.

Investors should also note that PCAR has a PEG ratio of 1.81 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. By the end of yesterday's trading, the Automotive - Domestic industry had an average PEG ratio of 0.79.

The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. This industry, currently bearing a Zacks Industry Rank of 203, finds itself in the bottom 20% echelons of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.

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PACCAR Inc. (PCAR) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

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