5 Best Heavy Equipment and Industrial Machinery Stocks to Buy

3. PACCAR Inc (NASDAQ:PCAR) 

Number of Hedge Fund Holders: 38

On April 25, PACCAR Inc (NASDAQ:PCAR) announced earnings for the fiscal first quarter of 2023. The company reported an EPS of $2.25 and outperformed EPS estimates by $0.42. The company’s revenue for the quarter grew by 31.83% year over year and amounted to $8.05 billion, ahead of Wall Street consensus by $275.89 million.

Wall Street analysts see material upside to PACCAR Inc (NASDAQ:PCAR) and the stock is one of the best heavy equipment and industrial machinery stocks to buy now. This April, BMO Capital analyst John Joyner raised his price target on PACCAR Inc (NASDAQ:PCAR) to $81.50 from $60 and reiterated a Market Perform rating on the shares.

PACCAR Inc (NASDAQ:PCAR)  was a part of 38 hedge funds’ portfolios at the close of Q4 2022. These funds held stakes worth $712 million in the company. As of December 31, Harris Associates is the top stockholder in the company and has disclosed a stake worth $187 million.

Madison Investments made the following comment about PACCAR Inc (NASDAQ:PCAR) in its Q1 2023 investor letter:

“Heavy duty truck manufacturer PACCAR Inc (NASDAQ:PCAR) has quietly been one of our best performers over the past year. It, too, has surprised us to some extent, with the resiliency that it’s showing in a slowing trucking market. We think there’s a decent chance that weakness in its end markets will eventually catch up with PACCAR, but we believe the stock is cheap, and its steady parts business will act as a moderate stabilizer in such a scenario.”