What Are Wall Street Analysts' Target Price for PACCAR Stock?

With a market cap. of $53.7 billion, PACCAR Inc. (PCAR) is a global technology leader that designs, manufactures and supports high-quality light-, medium- and heavy-duty trucks under its Kenworth, Peterbilt and DAF brands. The company also produces advanced powertrains, provides financial and information technology services, and distributes truck parts to support its core business.

Shares of the truck maker have underperformed the broader market over the past 52 weeks. PCAR stock has gained 3.7% over this time frame, while the broader S&P 500 Index ($SPX) has rallied 9.8%. Moreover, shares of the company have declined 6.5%, compared to the SPX's 7.8% gain.

Zooming in further, shares of the Bellevue, Washington-based company have lagged behind the State Street Industrial Select Sector SPDR ETF's (XLI) 7.8% return over the past 52 weeks.

PACCAR has underperformed as prolonged weakness in the trucking industry and excess capacity have dampened demand for new trucks, particularly in North America. Higher fuel costs linked to the Middle East conflict have further pressured trucking operators and stalled an early recovery in industry demand, leading to fewer truck deliveries and lower truck sales revenue. Although weaker new-truck demand has supported aftermarket parts sales by keeping older vehicles on the road longer, this strength has not been enough to offset the broader slowdown in the core truck business.

For the fiscal year ending in December 2026, analysts expect PACCAR's EPS to grow 16.6% year-over-year to $5.84. The company's earnings surprise history is promising. It beat or met the consensus estimates in each of the last four quarters.

Among the 17 analysts covering the stock, the consensus rating is a “Moderate Buy.” That’s based on six “Strong Buy” ratings, one “Moderate Buy,” and 10 “Holds.”

This configuration is slightly more bullish than three months ago, with five analysts suggesting a "Strong Buy."  

On Oct. 5, Truist analyst Jamie Cook cut PACCAR’s price target to $125 and maintained a "Hold" rating.

The mean price target of $128.13 represents a premium of 23.7% to PCAR's current levels. The Street-high price target of $162, implying a potential upside of 56.4% from the current price levels.

On the date of publication, Sohini Mondal did not directly have a position in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.