PACCAR Inc Fourth Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component PACCAR Inc (NASDAQ:PCAR) will unveil its latest earnings on Tuesday, January 31, 2012. PACCAR is a technology company that designs and manufactures light, medium, and heavy duty commercial trucks and related aftermarket parts.

PACCAR Inc Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of 79 cents per share, a rise of 75.6% from the company’s actual earnings for the same quarter a year ago. The average estimate is the same as three months ago. Between one and three months ago, the average estimate was unchanged. It also has not changed during the last month. For the year, analysts are projecting profit of $2.73 per share, a rise of more than twofold from last year.

Last quarter, the company came in at net income of 77 cents per share against a mean estimate of profit of 70 cents per share, beating estimates after missing them in the previous quarter. In the second quarter, it missed forecasts by 3 cents.

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Wall St. Revenue Expectations: Analysts are projecting a rise of 50.5% in revenue from the year-earlier quarter to $4.23 billion.

Analyst Ratings: nine out of 15 analysts surveyed (60%) have a buy rating on PACCAR.. This is below the mean analyst rating of eight competitors, which average 69.8% buy ratings.

A Look Back: In the third quarter, profit rose more than twofold to $281.6 million (77 cents a share) from $119.9 million (33 cents a share) the year earlier, exceeding analyst expectations. Revenue rose 67.4% to $4.26 billion from $2.54 billion.

Key Stats:

The company has enjoyed double-digit year-over-year percentage revenue growth for the past four quarters. Over that span, the company has averaged growth of 52.7%, with the biggest boost coming in the most recent quarter when revenue rose 67.4% from the year earlier quarter.

The company has seen net income rise in three straight quarters. Net income rose more than twofold in the second quarter and more than twofold in the first quarter.

Competitors to Watch: Navistar Intl. Corp. (NYSE:NAV), Wabash National Corp. (NYSE:WNC), Federal Signal Corporation (NYSE:FSS), Arctic Cat Inc. (NASDAQ:ACAT), Cummins Inc. (NYSE:CMI), and Tata Motors Limited (NYSE:TTM).

Stock Price Performance: During November 25, 2011 to January 25, 2012, the stock price had risen $8.27 (22.2%) from $37.28 to $45.55. The stock price saw one of its best stretches over the last year between January 6, 2012 and January 19, 2012 when shares rose for nine-straight days, rising 9.4% (+$3.77) over that span. It saw one of its worst periods between November 11, 2011 and November 23, 2011 when shares fell for nine-straight days, falling 12.8% (-$5.42) over that span.

(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

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To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com