Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link. Trade-Ideas LLC identified PACCAR ( PCAR) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified PACCAR as such a stock due to the following factors:
- PCAR has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $111.1 million.
- PCAR has traded 11,897 shares today.
- PCAR is trading at a new lifetime high.
EXCLUSIVE OFFER: Get the inside scoop on opportunities in PCAR with the Ticky from Trade-Ideas. See the FREE profile for PCAR NOW at Trade-Ideas More details on PCAR: PACCAR Inc, together with its subsidiaries, designs, manufactures, and distributes light, medium, and heavy-duty trucks and related aftermarket parts worldwide. It operates through three segments: Truck, Parts, and Financial Services. The stock currently has a dividend yield of 1.2%. PCAR has a PE ratio of 20.0. Currently there are 6 analysts that rate PACCAR a buy, no analysts rate it a sell, and 11 rate it a hold. The average volume for PACCAR has been 1.9 million shares per day over the past 30 days. PACCAR has a market cap of $23.4 billion and is part of the consumer goods sector and automotive industry. The stock has a beta of 1.86 and a short float of 2.1% with 4.40 days to cover. Shares are up 11.4% year-to-date as of the close of trading on Friday. STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more. TheStreetRatings.com Analysis: TheStreet Quant Ratings rates PACCAR as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, growth in earnings per share, increase in net income and good cash flow from operations. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated. Highlights from the ratings report include:
- The revenue growth greatly exceeded the industry average of 17.2%. Since the same quarter one year prior, revenues rose by 15.1%. Growth in the company's revenue appears to have helped boost the earnings per share.
- Powered by its strong earnings growth of 30.55% and other important driving factors, this stock has surged by 28.77% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, although almost any stock can fall in a broad market decline, PCAR should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
- PACCAR INC has improved earnings per share by 30.6% in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, PACCAR INC increased its bottom line by earning $3.30 versus $3.12 in the prior year. This year, the market expects an improvement in earnings ($3.60 versus $3.30).
- The net income growth from the same quarter one year ago has exceeded that of the S&P 500 and greatly outperformed compared to the Machinery industry average. The net income increased by 31.8% when compared to the same quarter one year prior, rising from $253.50 million to $334.20 million.
- Net operating cash flow has increased to $675.40 million or 12.11% when compared to the same quarter last year. Despite an increase in cash flow, PACCAR INC's cash flow growth rate is still lower than the industry average growth rate of 27.04%.
- You can view the full PACCAR Ratings Report.
STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.