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PACCAR Inc. (PCAR) logo

PACCAR Inc.

S&P 500
PCAR|Industrials|Farm & Heavy Construction Machinery|$114.31|P/E 24.4|MCap 60.2B|NASDAQ

Last update: May 9, 2026 at 09:32

Dividend Safety Rating

82/ 100Very Safe

PCAR's dividend appears very safe. Strengths include a 28.1% earnings payout ratio & 46.1% fcf payout ratio. Areas of concern: 16.7% gross margin. The dividend has been growing at a 15.56% 5-year CAGR.

Based on 14 of 15 metrics

Strengths

  • Earnings Payout Ratio: 28.1%Low earnings payout ratio leaves room to grow the dividend.
  • Current Ratio: 5.6xStrong short-term liquidity to meet obligations.
  • Dividend Streak: 11+ yrsLong, uninterrupted dividend track record.

Risks

  • Gross Margin: 16.7%Gross margin is low and limits flexibility.

Payout & Coverage

Safe
Earnings Payout Ratio
28.1%Very Safe
FCF Payout Ratio
46.1%Safe
CFO Payout Ratio
48.0%Safe
Interest Coverage
N/AN/A

Balance Sheet

Safe
Net Debt / Total Assets
21.0%Safe
Current Ratio
5.6xVery Safe
Debt-to-Equity
76.2Safe

Profitability

Caution
Return on Equity
13.1%Safe
Operating Margin
10.3%Caution
Gross Margin
16.7%Warning
Profit Margin Stability
ModerateCaution

Dividend Track Record

Very Safe
Dividend Streak
11+ yrsVery Safe
Dividend Cut
NoneVery Safe
5-Year Dividend CAGR
15.6%Very Safe
Earnings Stability
GrowingVery Safe

About PACCAR Inc.

PACCAR Inc. is a global technology leader that designs, manufactures, and distributes premium light-, medium-, and heavy-duty commercial trucks under the renowned Kenworth, Peterbilt, and DAF brand names. Operating through three key segments—Truck, Parts, and Financial Services—the company supports the transportation of commercial and consumer goods via over-the-road and off-highway hauling, along with advanced diesel engine production. The Parts segment provides aftermarket parts distribution for trucks and related vehicles through an extensive network of distribution centers and 24/7 customer support. PACCAR Financial Services offers finance, leasing, and insurance products to customers and dealers across 24 countries, managing a substantial portfolio of trucks and trailers. With sales in more than 100 countries through approximately 2,200 dealer locations, PACCAR Inc. plays a vital role in global logistics and commerce, emphasizing quality, innovation, and customer support. Founded in 1905 and headquartered in Bellevue, Washington, it maintains strong positions in North American and European heavy-duty truck markets.

Dividend Overview

Dividend Yield

2.11%

Annual Dividend

$2.41

Frequency

Quarterly

Payout Ratio

28.09%

FCF Payout Ratio

46.13%

Stock Price

$114.31

52-Week Range

$89.41 $131.88

Dividend History (2016–2025)

PCAR annual dividend per share and yield history

Earnings & Profitability

PCAR earnings per share and net profit margin

Key Dates

Next Ex-Dividend Date

May 13, 2026

Next Payment Date

June 3, 2026

Dividend Growth

3-Year Dividend CAGR

-0.88%

5-Year Dividend CAGR

15.56%

10-Year Dividend CAGR

5.81%

3-Year Total Growth

-2.62%

5-Year Total Growth

106.06%

10-Year Total Growth

75.86%

Income Calculator

PCAR Dividend Calculator

Total Investment

$11,431.00

Annual Income

$241.00

Quarterly Income

$60.25

Monthly Income

$20.08

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Frequently Asked Questions

What is PCAR's current dividend yield?
PACCAR Inc. (PCAR) currently has a dividend yield of 2.11%, based on a stock price of $114.31 and an annual dividend of $2.41.
When is PCAR's next dividend payment date?
PCAR's next ex-dividend date is 2026-05-13 and the next payment date is 2026-06-03. You must own the stock before the ex-dividend date to receive the upcoming payment.
How much does PCAR pay in dividends per year?
PACCAR Inc. paid $2.72 per share in annual dividends in 2025. The dividends are paid quarterly.
Has PCAR been increasing its dividend?
PACCAR Inc. has grown its dividend at a 5-year CAGR of 15.56% and a 10-year CAGR of 5.81%.
Is PCAR's dividend safe?
PACCAR Inc. has a payout ratio of 28.09%. Its free cash flow payout ratio is 46.13%. A payout ratio below 60% is generally considered sustainable.
How is PCAR's Dividend Safety Rating calculated?
The Dividend Safety Rating evaluates PACCAR Inc.'s dividend sustainability across four categories: Payout & Coverage (30%), Balance Sheet (20%), Profitability (20%), and Dividend Track Record (30%). Each metric is rated from "Very Safe" to "Danger" based on industry-standard thresholds, with sector-specific adjustments for industrials companies. The overall score ranges from 0 to 100.

Want to understand how we rate dividend safety? Read our full methodology

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This page is not investment advice. The content is for informational purposes only and should not be construed as a recommendation to buy, sell, or hold any security. Always do your own research and consult a qualified financial advisor before making investment decisions.

Financial data, including dividend history, earnings, balance sheet metrics, and the Dividend Safety Rating, is provided for informational purposes only. Data may be delayed or differ from official filings. Past performance does not guarantee future results. Always verify with official sources before making investment decisions.

Market data provided by Twelve Data.