PACCAR Inc (PCAR): Today's Featured Automotive Laggard

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.

PACCAR ( PCAR) pushed the Automotive industry lower today making it today's featured Automotive laggard. The industry as a whole closed the day down 1.9%. By the end of trading, PACCAR fell $0.64 (-1.0%) to $62.74 on light volume. Throughout the day, 1,220,650 shares of PACCAR exchanged hands as compared to its average daily volume of 2,161,500 shares. The stock ranged in price between $62.56-$63.48 after having opened the day at $63.08 as compared to the previous trading day's close of $63.38. Other companies within the Automotive industry that declined today were: Quantum Fuel Systems Technologies Worldwide ( QTWW), down 51.9%, Accuride ( ACW), down 4.5%, Tesla Motors ( TSLA), down 4.3% and Hyster-Yale Materials Handling Inc Class A ( HY), down 3.7%.

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. PACCAR has a market cap of $22.4 billion and is part of the consumer goods sector. The company has a P/E ratio of 18.6, above the S&P 500 P/E ratio of 17.7. Shares are up 7.1% year to date as of the close of trading on Monday. Currently there are 6 analysts that rate PACCAR a buy, no analysts rate it a sell, and 11 rate it a hold.

TheStreet Ratings rates PACCAR as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, solid stock price performance, growth in earnings per share and compelling growth in net income. We feel these strengths outweigh the fact that the company shows weak operating cash flow.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the automotive industry could consider Consumer Discretionary Sel Sec SPDR ( XLY) while those bearish on the automotive industry could consider ProShares Ultra Sht Consumer Goods ( SZK).

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.

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