President Trump announced a 25% tariff on imported heavy trucks
Texas-based trucking stock PACCAR Inc (NASDAQ:PCAR) is on the rise today, up 5% at $100.35 at last glance. Earlier, the stock hit a high of $102.30, given a boost by the latest tariff updates. President Trump announced a 25% levy on imported heavy trucks starting October 1, calling for the protection of several "great heavy truck manufacturers," including Peterbilt and Kenworth, both of which are owned by Paccar. This comes after August U.S. truck sales dropped to their lowest level since January 2022.
On the charts, PCAR has been trading within an ascending channel since its April lows, though it's still down 3.8% year-to-date. Today's pop has the shares jumping above a confluence of moving averages at the $99 level, including the 20-,50-, and 200-day trendlines.
There is plenty of room for bull notes, should analysts chime in on the news. Of the 18 brokerages in coverage, 12 carry a "hold" or worse rating on the stock. Plus, the 12-month consensus price target of $104.11 is a slim 4.1% premium to current levels.