PACCAR Q4 Earnings Beat Expectations with Strong Revenue
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 27 2026
0mins
Should l Buy PCAR?
Source: seekingalpha
- Earnings Beat: PACCAR reported Q4 GAAP EPS of $1.06, exceeding expectations by $0.01, demonstrating resilience amid market fluctuations.
- Revenue Decline Yet Surpassing Estimates: Despite a 13.8% year-over-year revenue decline to $6.82 billion, the figure surpassed market expectations by $740 million, indicating the company's ability to maintain relative sales stability in adversity.
- Consistent Cash Dividends: PACCAR declared a cash dividend of $2.72 per share for 2025, including a year-end cash dividend of $1.40 per share paid on January 7, 2026, reflecting the company's commitment to shareholder returns.
- Record Parts Revenue: PACCAR achieved record parts revenue of $1.74 billion with a pretax income of $415 million, highlighting the company's strong performance and profitability in the parts market.
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Analyst Views on PCAR
Wall Street analysts forecast PCAR stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for PCAR is 109.25 USD with a low forecast of 90.00 USD and a high forecast of 133.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
10 Analyst Rating
3 Buy
7 Hold
0 Sell
Moderate Buy
Current: 127.420
Low
90.00
Averages
109.25
High
133.00
Current: 127.420
Low
90.00
Averages
109.25
High
133.00
About PCAR
PACCAR Inc is a multinational company operating in three principal industry segments. The Truck segment includes the design, manufacture and distribution of light-, medium- and heavy-duty commercial trucks. Heavy-duty trucks have a gross vehicle weight (GVW) of over 33,000 lbs (Class 8) in North America and over 16 metric tons in Europe and South America. Medium-duty trucks have a GVW ranging from 19,500 to 33,000 lbs (Class 6 to 7) in North America, and in Europe, light- and medium-duty trucks range between 6 and 16 metric tons. Trucks are configured with the engine in front of cab (conventional) or cab-over-engine (COE). The Parts segment includes the distribution of aftermarket parts for trucks and related commercial vehicles. The Financial Services segment includes finance and leasing products and services provided to customers and dealers. Its finance and leasing activities are principally related to the Company’s products and associated equipment.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Madison Asset Management Acquires MSA Safety Shares
- New Position Disclosure: Madison Asset Management disclosed a new position in MSA Safety, acquiring 568,244 shares valued at approximately $91 million, representing 1% of its $8.7 billion AUM, indicating confidence in the company's potential.
- Holding Rankings: Following this acquisition, MSA Safety remains outside Madison's top five holdings, which include ACGL, ROST, PCAR, GOOGL, and APH, reflecting the firm's ongoing commitment to a diversified investment strategy.
- Financial Performance: MSA Safety reported a trailing twelve-month revenue of $1.86 billion and a net income of $279.92 million, with a dividend yield of 1.13%, although its stock has underperformed the S&P 500 index over the past year, suggesting market caution regarding its growth prospects.
- Future Outlook: MSA Safety is scheduled to report its fourth-quarter results on February 11, where management is expected to provide guidance for 2026, and investors should pay attention to anticipated low-single-digit sales growth for the year ahead.
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Paccar VP Sells Shares
- Executive Stock Sale: Paccar's Vice President Paulo Henrique Bolgar sold 12,183 shares on January 30, 2026, indicating a personal financial decision by an executive regarding company stock.
- Market Reaction Insight: This stock sale may prompt market scrutiny of Paccar's future performance, although executive sales do not necessarily indicate changes in the company's fundamentals.
- Investor Confidence Impact: Executive stock transactions can influence investor confidence, particularly in the absence of additional information, potentially leading to short-term stock price volatility.
- Compliance and Transparency: Such transactions must adhere to SEC reporting requirements, ensuring market transparency and protecting investors' right to information.
See More
Paccar Reports Earnings Beat for 2025 Yet Stock Declines
- Earnings Beat: Paccar reported Q4 2025 earnings of $1.06 per share, surpassing analyst expectations of $1.05, with sales reaching $6.8 billion; however, the stock fell 1.9%, indicating market disappointment despite the earnings beat.
- Sales Decline: The company's sales dropped 14% year-over-year, with full-year 2025 sales down 16% to $28.4 billion, highlighting significant market challenges and weak demand affecting overall performance.
- Stable Cash Flow: Free cash flow remained steady at $3.7 billion, significantly exceeding the reported net income of $2.4 billion, indicating strong cash management, yet failing to boost investor confidence.
- Bleak Market Outlook: With a market capitalization of $62.8 billion, Paccar's stock trades at a high P/E ratio of 26 times, lacking growth guidance and with analysts forecasting only 5% long-term earnings growth, leading to cautious investor sentiment.
See More
PACCAR Reports Record Q4 Earnings and Optimistic 2026 Outlook
- Revenue and Profit Growth: PACCAR's Q4 revenues reached $6.8 billion with a net income of $557 million, while annual revenues hit $28.4 billion and adjusted net income was $2.64 billion, marking the fourth highest profit year in the company's history and demonstrating robust financial performance.
- Parts and Financial Services Records: PACCAR Parts achieved annual revenues of $6.9 billion, up 3%, while PACCAR Financial Services reported record annual revenues of $2.2 billion with an 11% increase in pretax income to $485 million, indicating strong performance across multiple business segments.
- Optimistic Market Outlook: The U.S. and Canadian Class 8 truck market is projected to range between 230,000 to 270,000 vehicles in 2026, driven by economic growth, regulatory clarity, and improving freight conditions, suggesting a potential boost in customer demand.
- Capital and R&D Investments: PACCAR's capital project investments totaled $728 million, with R&D investments at $446 million, reflecting the company's ongoing commitment to future growth, particularly as parts sales are expected to grow by 4% to 8% this year.
See More
PACCAR Q4 Earnings Beat Expectations with Strong Revenue
- Earnings Beat: PACCAR reported Q4 GAAP EPS of $1.06, exceeding expectations by $0.01, demonstrating resilience amid market fluctuations.
- Revenue Decline Yet Surpassing Estimates: Despite a 13.8% year-over-year revenue decline to $6.82 billion, the figure surpassed market expectations by $740 million, indicating the company's ability to maintain relative sales stability in adversity.
- Consistent Cash Dividends: PACCAR declared a cash dividend of $2.72 per share for 2025, including a year-end cash dividend of $1.40 per share paid on January 7, 2026, reflecting the company's commitment to shareholder returns.
- Record Parts Revenue: PACCAR achieved record parts revenue of $1.74 billion with a pretax income of $415 million, highlighting the company's strong performance and profitability in the parts market.
See More
PACCAR Reports Strong Q3 Earnings, Continues Market Share Growth
- Strong Financial Performance: PACCAR reported a net income of $972 million on revenues of $8.2 billion in Q3, achieving an after-tax return on revenue of 11.8%, underscoring its robust competitiveness in the heavy truck market.
- Parts Sales Growth: PACCAR Parts saw a 5% increase in Q3 revenues to $1.66 billion with a gross margin of 30.1%, and is expected to continue growing in Q4, reflecting strong performance in the aftermarket sector.
- Stable Delivery Volume: PACCAR delivered 44,900 trucks in Q3, with an expected delivery of 42,000 trucks in Q4; while North American production days are reduced due to holidays, European production days will increase.
- Optimistic Market Outlook: PACCAR anticipates the Class-8 market in the U.S. and Canada will remain between 250,000 and 280,000 trucks in 2025, with the vocational truck market expected to remain strong, reflecting positive impacts from infrastructure investments.
See More
Madison Asset Management Acquires MSA Safety Shares
- New Position Disclosure: Madison Asset Management disclosed a new position in MSA Safety, acquiring 568,244 shares valued at approximately $91 million, representing 1% of its $8.7 billion AUM, indicating confidence in the company's potential.
- Holding Rankings: Following this acquisition, MSA Safety remains outside Madison's top five holdings, which include ACGL, ROST, PCAR, GOOGL, and APH, reflecting the firm's ongoing commitment to a diversified investment strategy.
- Financial Performance: MSA Safety reported a trailing twelve-month revenue of $1.86 billion and a net income of $279.92 million, with a dividend yield of 1.13%, although its stock has underperformed the S&P 500 index over the past year, suggesting market caution regarding its growth prospects.
- Future Outlook: MSA Safety is scheduled to report its fourth-quarter results on February 11, where management is expected to provide guidance for 2026, and investors should pay attention to anticipated low-single-digit sales growth for the year ahead.
See More
Paccar VP Sells Shares
- Executive Stock Sale: Paccar's Vice President Paulo Henrique Bolgar sold 12,183 shares on January 30, 2026, indicating a personal financial decision by an executive regarding company stock.
- Market Reaction Insight: This stock sale may prompt market scrutiny of Paccar's future performance, although executive sales do not necessarily indicate changes in the company's fundamentals.
- Investor Confidence Impact: Executive stock transactions can influence investor confidence, particularly in the absence of additional information, potentially leading to short-term stock price volatility.
- Compliance and Transparency: Such transactions must adhere to SEC reporting requirements, ensuring market transparency and protecting investors' right to information.
See More
Paccar Reports Earnings Beat for 2025 Yet Stock Declines
- Earnings Beat: Paccar reported Q4 2025 earnings of $1.06 per share, surpassing analyst expectations of $1.05, with sales reaching $6.8 billion; however, the stock fell 1.9%, indicating market disappointment despite the earnings beat.
- Sales Decline: The company's sales dropped 14% year-over-year, with full-year 2025 sales down 16% to $28.4 billion, highlighting significant market challenges and weak demand affecting overall performance.
- Stable Cash Flow: Free cash flow remained steady at $3.7 billion, significantly exceeding the reported net income of $2.4 billion, indicating strong cash management, yet failing to boost investor confidence.
- Bleak Market Outlook: With a market capitalization of $62.8 billion, Paccar's stock trades at a high P/E ratio of 26 times, lacking growth guidance and with analysts forecasting only 5% long-term earnings growth, leading to cautious investor sentiment.
See More
PACCAR Reports Record Q4 Earnings and Optimistic 2026 Outlook
- Revenue and Profit Growth: PACCAR's Q4 revenues reached $6.8 billion with a net income of $557 million, while annual revenues hit $28.4 billion and adjusted net income was $2.64 billion, marking the fourth highest profit year in the company's history and demonstrating robust financial performance.
- Parts and Financial Services Records: PACCAR Parts achieved annual revenues of $6.9 billion, up 3%, while PACCAR Financial Services reported record annual revenues of $2.2 billion with an 11% increase in pretax income to $485 million, indicating strong performance across multiple business segments.
- Optimistic Market Outlook: The U.S. and Canadian Class 8 truck market is projected to range between 230,000 to 270,000 vehicles in 2026, driven by economic growth, regulatory clarity, and improving freight conditions, suggesting a potential boost in customer demand.
- Capital and R&D Investments: PACCAR's capital project investments totaled $728 million, with R&D investments at $446 million, reflecting the company's ongoing commitment to future growth, particularly as parts sales are expected to grow by 4% to 8% this year.
See More
PACCAR Q4 Earnings Beat Expectations with Strong Revenue
- Earnings Beat: PACCAR reported Q4 GAAP EPS of $1.06, exceeding expectations by $0.01, demonstrating resilience amid market fluctuations.
- Revenue Decline Yet Surpassing Estimates: Despite a 13.8% year-over-year revenue decline to $6.82 billion, the figure surpassed market expectations by $740 million, indicating the company's ability to maintain relative sales stability in adversity.
- Consistent Cash Dividends: PACCAR declared a cash dividend of $2.72 per share for 2025, including a year-end cash dividend of $1.40 per share paid on January 7, 2026, reflecting the company's commitment to shareholder returns.
- Record Parts Revenue: PACCAR achieved record parts revenue of $1.74 billion with a pretax income of $415 million, highlighting the company's strong performance and profitability in the parts market.
See More
PACCAR Reports Strong Q3 Earnings, Continues Market Share Growth
- Strong Financial Performance: PACCAR reported a net income of $972 million on revenues of $8.2 billion in Q3, achieving an after-tax return on revenue of 11.8%, underscoring its robust competitiveness in the heavy truck market.
- Parts Sales Growth: PACCAR Parts saw a 5% increase in Q3 revenues to $1.66 billion with a gross margin of 30.1%, and is expected to continue growing in Q4, reflecting strong performance in the aftermarket sector.
- Stable Delivery Volume: PACCAR delivered 44,900 trucks in Q3, with an expected delivery of 42,000 trucks in Q4; while North American production days are reduced due to holidays, European production days will increase.
- Optimistic Market Outlook: PACCAR anticipates the Class-8 market in the U.S. and Canada will remain between 250,000 and 280,000 trucks in 2025, with the vocational truck market expected to remain strong, reflecting positive impacts from infrastructure investments.
See More
