PACCAR Inc (PCAR) — Free Cash Flow Yield

Industrials

PACCAR Inc designs, manufactures, and distributes light, medium, and heavy-duty commercial trucks in the United States, Canada, Australia, Mexico, Europe, Central and South America, and internationally. It operates through three segments: Truck, Parts, and Financial Services. The Truck segment designs, manufactures, and distributes trucks for the over-the-road and off-highway hauling of commercial and consumer goods; and diesel engine products. It sells its trucks through a network of independent dealers under the Kenworth, Peterbilt, and DAF nameplates. The Parts segment distributes aftermarket parts for trucks and related commercial vehicles. The Financial Services segment conducts full-service leasing operations under the PacLease trade name, as well as provides finance and leasing products and services to customers and dealers. This segment offers equipment financing and administrative support services for its franchisees; retail loan and leasing services for small, medium, and large commercial trucking companies, as well as independent owners/operators and other businesses; and truck inventory financing services to independent dealers. In addition, this segment offers loans and leases directly to customers for the acquisition of trucks and related equipment; and operates its own full-service lease outlets. The company manufactures and markets industrial winches under the Braden, Carco, and Gearmatic nameplates. PACCAR Inc was founded in 1905 and is headquartered in Bellevue, Washington.

MetricValue
FCF Yield4.4%
Industrials Sector Avg FCF Yield3.8%
Annual Free Cash Flow$3.0B
Market Cap$68.8B
P/E Ratio27.5x

PACCAR Inc's FCF yield of 4.4% is above the Industrials sector average (3.8%).

Frequently Asked Questions

What is PACCAR Inc's (PCAR) free cash flow yield?

PACCAR Inc's (PCAR) free cash flow yield is 4.4%. That is above the Industrials sector average (3.8%).

Is PCAR's free cash flow yield good?

At 4.4%, PCAR's free cash flow yield is considered fair — yields above 10% are generally excellent, 7–10% good, 4–7% fair, and below 4% weak, though context varies by sector and growth stage.

How much free cash flow does PACCAR Inc generate?

PACCAR Inc generated $3.0B in free cash flow, against a market cap of $68.8B.

How is free cash flow yield calculated?

Free cash flow yield = (Free Cash Flow ÷ Market Capitalization) × 100%. Free cash flow equals operating cash flow minus capital expenditures.

Data from public filings. Not investment advice. Calculate your own FCF yield →