PACCAR INC (PAE.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:PAE - US6937181088 - Common Stock
94.11 EUR
+2.25 (+2.45%)
Taking everything into account, PAE scores 5 out of 10 in our fundamental rating. PAE was compared to 109 industry peers in the Machinery industry. While PAE belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. PAE does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
PAE had positive earnings in the past year.
In the past year PAE had a positive cash flow from operations.
In the past 5 years PAE has always been profitable.
In the past 5 years PAE always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.09%, PAE is in the better half of the industry, outperforming 77.06% of the companies in the same industry.
PAE has a Return On Equity of 13.89%. This is in the better half of the industry: PAE outperforms 77.06% of its industry peers.
PAE has a Return On Invested Capital of 8.57%. This is in the better half of the industry: PAE outperforms 72.48% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for PAE is above the industry average of 8.88%.
The last Return On Invested Capital (8.57%) for PAE is well below the 3 year average (13.42%), which needs to be investigated, but indicates that PAE had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.09% | ||
| ROE | 13.89% | ||
| ROIC | 8.57% |
ROA(3y)9.97%
ROA(5y)8.16%
ROE(3y)25.21%
ROE(5y)20.84%
ROIC(3y)13.42%
ROIC(5y)10.79%
1.3 Margins
PAE has a Profit Margin of 9.11%. This is amongst the best in the industry. PAE outperforms 80.73% of its industry peers.
In the last couple of years the Profit Margin of PAE has grown nicely.
The Operating Margin of PAE (14.04%) is better than 83.49% of its industry peers.
In the last couple of years the Operating Margin of PAE has grown nicely.
Looking at the Gross Margin, with a value of 20.67%, PAE is doing worse than 86.24% of the companies in the same industry.
PAE's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.04% | ||
| PM (TTM) | 9.11% | ||
| GM | 20.67% |
OM growth 3Y16.77%
OM growth 5Y5.85%
PM growth 3Y15.94%
PM growth 5Y5.8%
GM growth 3Y6.2%
GM growth 5Y2.74%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), PAE is creating some value.
The number of shares outstanding for PAE has been increased compared to 1 year ago.
PAE has more shares outstanding than it did 5 years ago.
PAE has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.10 indicates that PAE is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.10, PAE is in the better half of the industry, outperforming 69.72% of the companies in the same industry.
PAE has a debt to FCF ratio of 4.96. This is a neutral value as PAE would need 4.96 years to pay back of all of its debts.
PAE has a Debt to FCF ratio (4.96) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.82 indicates that PAE is somewhat dependend on debt financing.
PAE's Debt to Equity ratio of 0.82 is on the low side compared to the rest of the industry. PAE is outperformed by 68.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 4.96 | ||
| Altman-Z | 3.1 |
ROIC/WACC0.95
WACC9.05%
2.3 Liquidity
A Current Ratio of 1.76 indicates that PAE should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.76, PAE is in the better half of the industry, outperforming 63.30% of the companies in the same industry.
A Quick Ratio of 1.38 indicates that PAE should not have too much problems paying its short term obligations.
PAE has a Quick ratio of 1.38. This is in the better half of the industry: PAE outperforms 76.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.38 |
3. Growth
3.1 Past
PAE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -42.91%.
The Earnings Per Share has been growing slightly by 2.86% on average over the past years.
Looking at the last year, PAE shows a very negative growth in Revenue. The Revenue has decreased by -15.22% in the last year.
The Revenue has been growing slightly by 5.63% on average over the past years.
EPS 1Y (TTM)-42.91%
EPS 3Y21.05%
EPS 5Y2.86%
EPS Q2Q%-39.46%
Revenue 1Y (TTM)-15.22%
Revenue growth 3Y12.69%
Revenue growth 5Y5.63%
Sales Q2Q%-19.03%
3.2 Future
The Earnings Per Share is expected to grow by 3.01% on average over the next years.
Based on estimates for the next years, PAE will show a small growth in Revenue. The Revenue will grow by 0.91% on average per year.
EPS Next Y-37.74%
EPS Next 2Y-12.33%
EPS Next 3Y-3.04%
EPS Next 5Y3.01%
Revenue Next Year-16.92%
Revenue Next 2Y-7.84%
Revenue Next 3Y-1.85%
Revenue Next 5Y0.91%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 21.44, which indicates a rather expensive current valuation of PAE.
Compared to the rest of the industry, the Price/Earnings ratio of PAE indicates a somewhat cheap valuation: PAE is cheaper than 64.22% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.29, PAE is valued at the same level.
PAE is valuated rather expensively with a Price/Forward Earnings ratio of 18.02.
PAE's Price/Forward Earnings ratio is in line with the industry average.
PAE is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.51, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.44 | ||
| Fwd PE | 18.02 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PAE is on the same level as its industry peers.
PAE's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.01 | ||
| EV/EBITDA | 12.89 |
4.3 Compensation for Growth
PAE has an outstanding profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as PAE's earnings are expected to decrease with -3.04% in the coming years.
PEG (NY)N/A
PEG (5Y)7.5
EPS Next 2Y-12.33%
EPS Next 3Y-3.04%
5. Dividend
5.1 Amount
PAE has a Yearly Dividend Yield of 1.22%.
Compared to an average industry Dividend Yield of 2.37, PAE has a dividend in line with its industry peers.
With a Dividend Yield of 1.22, PAE pays less dividend than the S&P500 average, which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.22% |
5.2 History
The dividend of PAE is nicely growing with an annual growth rate of 14.79%!
Dividend Growth(5Y)14.79%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
83.66% of the earnings are spent on dividend by PAE. This is not a sustainable payout ratio.
The dividend of PAE is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP83.66%
EPS Next 2Y-12.33%
EPS Next 3Y-3.04%
FRA:PAE (12/8/2025, 7:00:00 PM)
94.11
+2.25 (+2.45%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners72.43%
Inst Owner ChangeN/A
Ins Owners1.23%
Ins Owner ChangeN/A
Market Cap49.43B
Revenue(TTM)29.53B
Net Income(TTM)2.69B
Analysts71.11
Price Target93.35 (-0.81%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.22% |
Yearly Dividend3.75
Dividend Growth(5Y)14.79%
DP83.66%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.9%
Min EPS beat(2)-5.82%
Max EPS beat(2)4.02%
EPS beat(4)1
Avg EPS beat(4)-11.55%
Min EPS beat(4)-40.48%
Max EPS beat(4)4.02%
EPS beat(8)3
Avg EPS beat(8)-3.58%
EPS beat(12)7
Avg EPS beat(12)1.94%
EPS beat(16)11
Avg EPS beat(16)3.94%
Revenue beat(2)2
Avg Revenue beat(2)3.45%
Min Revenue beat(2)2.16%
Max Revenue beat(2)4.73%
Revenue beat(4)4
Avg Revenue beat(4)2.57%
Min Revenue beat(4)1.69%
Max Revenue beat(4)4.73%
Revenue beat(8)8
Avg Revenue beat(8)3.73%
Revenue beat(12)12
Avg Revenue beat(12)5.15%
Revenue beat(16)16
Avg Revenue beat(16)6.28%
PT rev (1m)6.25%
PT rev (3m)6.25%
EPS NQ rev (1m)-45%
EPS NQ rev (3m)-45%
EPS NY rev (1m)-37.66%
EPS NY rev (3m)-37.66%
Revenue NQ rev (1m)-24.93%
Revenue NQ rev (3m)-24.93%
Revenue NY rev (1m)-14.27%
Revenue NY rev (3m)-14.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.44 | ||
| Fwd PE | 18.02 | ||
| P/S | 1.95 | ||
| P/FCF | 18.01 | ||
| P/OCF | 12.19 | ||
| P/B | 2.97 | ||
| P/tB | 2.97 | ||
| EV/EBITDA | 12.89 |
EPS(TTM)4.39
EY4.66%
EPS(NY)5.22
Fwd EY5.55%
FCF(TTM)5.23
FCFY5.55%
OCF(TTM)7.72
OCFY8.2%
SpS48.32
BVpS31.69
TBVpS31.69
PEG (NY)N/A
PEG (5Y)7.5
Graham Number55.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.09% | ||
| ROE | 13.89% | ||
| ROCE | 10.88% | ||
| ROIC | 8.57% | ||
| ROICexc | 11.24% | ||
| ROICexgc | 13.16% | ||
| OM | 14.04% | ||
| PM (TTM) | 9.11% | ||
| GM | 20.67% | ||
| FCFM | 10.82% |
ROA(3y)9.97%
ROA(5y)8.16%
ROE(3y)25.21%
ROE(5y)20.84%
ROIC(3y)13.42%
ROIC(5y)10.79%
ROICexc(3y)18.27%
ROICexc(5y)14.41%
ROICexgc(3y)21.43%
ROICexgc(5y)16.79%
ROCE(3y)20.03%
ROCE(5y)15.72%
ROICexgc growth 3Y25.83%
ROICexgc growth 5Y8.05%
ROICexc growth 3Y23.77%
ROICexc growth 5Y6.45%
OM growth 3Y16.77%
OM growth 5Y5.85%
PM growth 3Y15.94%
PM growth 5Y5.8%
GM growth 3Y6.2%
GM growth 5Y2.74%
F-Score4
Asset Turnover0.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 4.96 | ||
| Debt/EBITDA | 3.18 | ||
| Cap/Depr | 181.03% | ||
| Cap/Sales | 5.16% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 94.56% | ||
| Profit Quality | 118.7% | ||
| Current Ratio | 1.76 | ||
| Quick Ratio | 1.38 | ||
| Altman-Z | 3.1 |
F-Score4
WACC9.05%
ROIC/WACC0.95
Cap/Depr(3y)167.67%
Cap/Depr(5y)167.99%
Cap/Sales(3y)4.53%
Cap/Sales(5y)5.86%
Profit Quality(3y)62.51%
Profit Quality(5y)64.23%
High Growth Momentum
Growth
EPS 1Y (TTM)-42.91%
EPS 3Y21.05%
EPS 5Y2.86%
EPS Q2Q%-39.46%
EPS Next Y-37.74%
EPS Next 2Y-12.33%
EPS Next 3Y-3.04%
EPS Next 5Y3.01%
Revenue 1Y (TTM)-15.22%
Revenue growth 3Y12.69%
Revenue growth 5Y5.63%
Sales Q2Q%-19.03%
Revenue Next Year-16.92%
Revenue Next 2Y-7.84%
Revenue Next 3Y-1.85%
Revenue Next 5Y0.91%
EBIT growth 1Y-37.9%
EBIT growth 3Y31.59%
EBIT growth 5Y11.81%
EBIT Next Year-25.4%
EBIT Next 3Y1.46%
EBIT Next 5Y-7.34%
FCF growth 1Y4.92%
FCF growth 3Y73.55%
FCF growth 5Y26.62%
OCF growth 1Y10.94%
OCF growth 3Y28.51%
OCF growth 5Y10.16%
PACCAR INC / PAE.DE FAQ
What is the fundamental rating for PAE stock?
ChartMill assigns a fundamental rating of 5 / 10 to PAE.DE.
What is the valuation status for PAE stock?
ChartMill assigns a valuation rating of 3 / 10 to PACCAR INC (PAE.DE). This can be considered as Overvalued.
How profitable is PACCAR INC (PAE.DE) stock?
PACCAR INC (PAE.DE) has a profitability rating of 8 / 10.
Can you provide the expected EPS growth for PAE stock?
The Earnings per Share (EPS) of PACCAR INC (PAE.DE) is expected to decline by -37.74% in the next year.
Can you provide the dividend sustainability for PAE stock?
The dividend rating of PACCAR INC (PAE.DE) is 3 / 10 and the dividend payout ratio is 83.66%.