PACCAR Inc (NASDAQ:PCAR) Raises Dividend to $3.00 Per Share

PACCAR Inc (NASDAQ:PCAR) declared a dividend on Tuesday, December 17th,NASDAQ Dividends reports. Stockholders of record on Friday, December 20th will be paid a dividend of 3.00 per share on Wednesday, January 8th. The ex-dividend date is Friday, December 20th. This is a boost from PACCAR’s previous dividend of $0.89.

PACCAR has increased its dividend payment by an average of 6.8% per year over the last three years. PACCAR has a dividend payout ratio of 17.2% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect PACCAR to earn $7.77 per share next year, which means the company should continue to be able to cover its $1.32 annual dividend with an expected future payout ratio of 17.0%.

PACCAR Trading Down 0.6 %

PCAR opened at $111.66 on Wednesday. The firm has a 50 day simple moving average of $111.31 and a 200 day simple moving average of $103.95. The company has a debt-to-equity ratio of 0.54, a current ratio of 1.25 and a quick ratio of 1.03. PACCAR has a fifty-two week low of $90.04 and a fifty-two week high of $125.50. The company has a market cap of $58.54 billion, a price-to-earnings ratio of 12.48, a price-to-earnings-growth ratio of 1.77 and a beta of 0.91.

PACCAR (NASDAQ:PCAR) last posted its quarterly earnings data on Tuesday, October 22nd. The company reported $1.85 earnings per share for the quarter, topping the consensus estimate of $1.82 by $0.03. PACCAR had a net margin of 13.51% and a return on equity of 27.24%. The business had revenue of $8.24 billion during the quarter, compared to analysts’ expectations of $7.66 billion. During the same quarter in the prior year, the business posted $2.34 earnings per share. PACCAR’s revenue was down 5.2% compared to the same quarter last year. On average, sell-side analysts anticipate that PACCAR will post 7.98 earnings per share for the current year.

Wall Street Analyst Weigh In

Several brokerages have recently commented on PCAR. JPMorgan Chase & Co. reduced their price objective on PACCAR from $125.00 to $122.00 and set an “overweight” rating on the stock in a research report on Wednesday, October 23rd. Evercore ISI raised shares of PACCAR from an “in-line” rating to an “outperform” rating and upped their target price for the stock from $99.00 to $129.00 in a report on Wednesday, November 13th. BNP Paribas upgraded PACCAR to a “hold” rating in a report on Wednesday, October 16th. Royal Bank of Canada restated a “sector perform” rating and set a $119.00 price target on shares of PACCAR in a report on Monday, November 4th. Finally, Morgan Stanley lowered their target price on shares of PACCAR from $135.00 to $126.00 and set an “overweight” rating for the company in a research note on Wednesday, October 23rd. Nine analysts have rated the stock with a hold rating and six have given a buy rating to the stock. According to MarketBeat, the company has an average rating of “Hold” and a consensus price target of $118.25.

Insider Buying and Selling at PACCAR

In other PACCAR news, VP Todd R. Hubbard sold 3,230 shares of the company’s stock in a transaction that occurred on Friday, October 25th. The stock was sold at an average price of $107.27, for a total value of $346,482.10. Following the transaction, the vice president now directly owns 3,061 shares of the company’s stock, valued at $328,353.47. This represents a 51.34 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, CEO R Preston Feight sold 27,191 shares of the stock in a transaction that occurred on Friday, November 1st. The stock was sold at an average price of $103.52, for a total value of $2,814,812.32. Following the sale, the chief executive officer now owns 171,776 shares in the company, valued at $17,782,251.52. The trade was a 13.67 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 60,315 shares of company stock worth $6,358,552. Corporate insiders own 2.02% of the company’s stock.

About PACCAR

PACCAR Inc designs, manufactures, and distributes light, medium, and heavy-duty commercial trucks in the United States, Canada, Europe, Mexico, South America, Australia, and internationally. It operates through three segments: Truck, Parts, and Financial Services. The Truck segment designs, manufactures, and distributes trucks for the over-the-road and off-highway hauling of commercial and consumer goods.