PACCAR Inc designs, manufactures, and distributes light, medium, and heavy-duty commercial trucks in the United States, Canada, Europe, Mexico, South America, Australia, 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. 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 also 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. The company also manufactures and markets industrial winches under the Braden, Carco, and Gearmatic nameplates. PACCAR Inc was founded in 1905 and is headquartered in Bellevue, Washington.

PACCAR Inc.

PACCAR Inc. PCAR recorded earnings of $1.12 per share for the third quarter of 2025, matching the Zacks Consensus Estimate but declining from $1.85 reported in the year-ago period.
Consolidated revenues (including trucks and financial services) came in at $6.67 billion, down from $8.24 billion in the corresponding quarter of 2024. Sales from Trucks, Parts and Others were $6.11 billion.
PACCAR Inc. Price, Consensus and EPS Surprise
PACCAR’s Q3 Earnings Details
Revenues from the Trucks segment totaled $4.38 billion in the third quarter, lower than the prior-year quarter’s $6.03 billion. The metric, however, surpassed our estimate of $4.28 billion. Global truck deliveries came in at 31,900 units, lower than our projection of 32,153 units and down from 44,900 units delivered in the corresponding quarter of 2024. The segment’s pre-tax income was $102.5 million, which fell short of our estimate of $326.2 million and plunged 83.8% year over year.
Revenues from the Parts segment totaled $1.72 billion in the reported quarter, which increased from the year-earlier period’s $1.66 billion and matched our estimate. The segment’s pre-tax income came in at $410 million, up from $406.7 million reported in the year-ago period. The metric also topped our forecast of $325.5 million.
Financial Services segment revenues came in at $565.3 million, higher than the year-ago quarter’s $536.1 million and topped our estimate of $560.8 million. Pre-tax income increased to $126.2 million from $106.5 million reported in the year-ago period and also topped our projection of $118.3 million.
Selling, general and administrative expenses in the third quarter of 2025 decreased to $140.3 million from $144.3 million in the prior-year period. Research & development (R&D) expenses were $111 million compared with the year-earlier quarter’s $115 million.
PACCAR’s cash and marketable debt securities amounted to $9.07 billion as of Sept. 30, 2025, compared with $9.65 billion as of Dec. 31, 2024.
Capex for 2025 is now envisioned in the band of $750-$775 million compared with the previous estimate of $750-$800 million. R&D expenses are estimated in the range of $450-$465 million, down from the previous estimate of $450-$480 million.
PACCAR’s Zacks Rank & Key Picks
PCAR carries a Zacks Rank #5 (Strong Sell) at present.
Some better-ranked stocks in the auto space are Mobileye Global Inc. MBLY, Autoliv, Inc. ALV and Standard Motor Products, Inc. SMP. MBLY sports a Zacks Rank #1 (Strong Buy), while ALV and SMP carry a Zacks Rank #2 (Buy) each at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for MBLY’s fiscal 2025 earnings implies year-over-year growth of 36%. EPS estimates for 2025 and 2026 have improved a cent in the past 60 and 30 days, respectively.
The Zacks Consensus Estimate for ALV’s fiscal 2025 earnings implies year-over-year growth of 13.34%. EPS estimates for fiscal 2025 and 2026 have improved 11 cents and 16 cents, respectively, in the past seven days.
The Zacks Consensus Estimate for SMP’s 2025 sales and earnings implies year-over-year growth of 20.94% and 18.61%, respectively. EPS estimate for 2025 has improved 5 cents in the past 60 days. The 2026 EPS estimate improved 2 cents in the past seven days.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.
See "2nd Wave" AI stocks now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
PACCAR Inc. (PCAR) : Free Stock Analysis Report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

PACCAR Q3 Earnings Match Expectations, Capex Outlook Revised

Data is currently not available
Edit My Quotes
Add up to 25 symbols
To add symbols:
Type a symbol or company name. When the symbol you want to add appears, add it to My Quotes by selecting it and pressing Enter/Return.
Copy and paste multiple symbols separated by spaces.
These symbols will be available throughout the site during your session.
Data is currently not available
Edit My European Quotes
Add up to 25 instruments
To add instruments:
Type a instrument or company name. When the instrument you want to add appears, add it to My European Quotes by selecting it and pressing Enter/Return.
Copy and paste multiple instruments separated by spaces.
These instruments will be available throughout the site during your session.
Data is currently not available
Your symbols have been updated
You'll now be able to see real-time price and activity for your symbols on the My Quotes of Nasdaq.com.
Data is currently not available
Edit Watchlist
Add up to 20 symbols
To add symbols:
Type a symbol or company name. When the symbol you want to add appears, add it to Watchlist by selecting it and pressing Enter/Return.
Copy and paste multiple symbols separated by spaces.
These symbols will be available throughout the site during your session.
Data is currently not available
Opt in to Smart Portfolio
We are currently experiencing technical difficulties, please try again.
Smart Portfolio is supported by our partner TipRanks. By connecting my portfolio to TipRanks Smart Portfolio I agree to their Terms of Use.

PACCAR (PCAR) Q3 2025 Earnings Call Transcript

In trading on Tuesday, shares of PACCAR Inc. (Symbol: PCAR) crossed above their 200 day moving average of $98.56, changing hands as high as $100.18 per share. PACCAR Inc. shares are currently trading up about 2.7% on the day. The chart below shows the one year performance of PCAR shares, versus its 200 day moving average:
Looking at the chart above, PCAR's low point in its 52 week range is $84.6473 per share, with $118.81 as the 52 week high point — that compares with a last trade of $101.01. The PCAR DMA information above was sourced from TechnicalAnalysisChannel.com
Click here to find out which 9 other dividend stocks recently crossed above their 200 day moving average »
Also see:
Average Annual Return
Funds Holding RPHS
ALVR Insider Buying
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

PACCAR Breaks Above 200-Day Moving Average - Bullish for PCAR

Paccar (PCAR) came out with quarterly earnings of $1.12 per share, in line with the Zacks Consensus Estimate . This compares to earnings of $1.85 per share a year ago. These figures are adjusted for non-recurring items.
A quarter ago, it was expected that this truck maker would post earnings of $1.28 per share when it actually produced earnings of $1.37, delivering a surprise of +7.03%.
Over the last four quarters, the company has surpassed consensus EPS estimates just once.
Paccar, which belongs to the Zacks Automotive - Domestic industry, posted revenues of $6.11 billion for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 1.53%. This compares to year-ago revenues of $7.7 billion. The company has topped consensus revenue estimates two times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Paccar shares have lost about 6.3% since the beginning of the year versus the S&P 500's gain of 14.5%.
What's Next for Paccar?
While Paccar has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Paccar was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.21 on $6.3 billion in revenues for the coming quarter and $5.15 on $26.65 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Automotive - Domestic is currently in the bottom 27% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Another stock from the same industry, Fox Factory Holding (FOXF), has yet to report results for the quarter ended September 2025. The results are expected to be released on November 6.
This vehicle suspension maker is expected to post quarterly earnings of $0.56 per share in its upcoming report, which represents a year-over-year change of +60%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Fox Factory Holding's revenues are expected to be $382.93 million, up 6.6% from the year-ago quarter.
Should You Invest in PACCAR Inc. (PCAR)?
Before you invest in PACCAR Inc. (PCAR), want to know the best stocks to buy for the next 30 days? Check out Zacks Investment Research for our free report on the 7 best stocks to buy.
Zacks Investment Research has been committed to providing investors with tools and independent research since 1978. For more than a quarter century, the Zacks Rank stock-rating system has more than doubled the S&P 500 with an average gain of +24.08% per year. (These returns cover a period from January 1, 1988 through May 6, 2024.)
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
PACCAR Inc. (PCAR) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Paccar (PCAR) Q3 Earnings Match Estimates

(RTTNews) - Paccar Inc. (PCAR) revealed a profit for third quarter that Dropped, from the same period last year and missed the Street estimates.
The company's bottom line came in at $590 million, or $1.12 per share. This compares with $972.1 million, or $1.85 per share, last year.
Analysts on average had expected the company to earn $1.15 per share. Analysts' estimates typically exclude special items.
The company's revenue for the period fell 19.1% to $6.67 billion from $8.24 billion last year.
Paccar Inc. earnings at a glance (GAAP) :
-Earnings: $590 Mln. vs. $972.1 Mln. last year. -EPS: $1.12 vs. $1.85 last year. -Revenue: $6.67 Bln vs. $8.24 Bln last year.
PCAR was down by 3.15% at $94.41 in the pre-market trade on the Nasdaq.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Paccar Inc. Bottom Line Drops In Q3, Misses Estimates

Investors in PACCAR Inc. (Symbol: PCAR) saw new options begin trading this week, for the December 19th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the PCAR options chain for the new December 19th contracts and identified one put and one call contract of particular interest.
The put contract at the $80.00 strike price has a current bid of 90 cents. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $80.00, but will also collect the premium, putting the cost basis of the shares at $79.10 (before broker commissions). To an investor already interested in purchasing shares of PCAR, that could represent an attractive alternative to paying $94.07/share today.
Because the $80.00 strike represents an approximate 15% discount to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the put contract would expire worthless. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 86%. Stock Options Channel will track those odds over time to see how they change, publishing a chart of those numbers on our website under the contract detail page for this contract. Should the contract expire worthless, the premium would represent a 1.12% return on the cash commitment, or 6.51% annualized — at Stock Options Channel we call this the YieldBoost.
Below is a chart showing the trailing twelve month trading history for PACCAR Inc., and highlighting in green where the $80.00 strike is located relative to that history:
Turning to the calls side of the option chain, the call contract at the $95.00 strike price has a current bid of $3.90. If an investor was to purchase shares of PCAR stock at the current price level of $94.07/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $95.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 5.13% if the stock gets called away at the December 19th expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if PCAR shares really soar, which is why looking at the trailing twelve month trading history for PACCAR Inc., as well as studying the business fundamentals becomes important. Below is a chart showing PCAR's trailing twelve month trading history, with the $95.00 strike highlighted in red:
Considering the fact that the $95.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 50%. On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). Should the covered call contract expire worthless, the premium would represent a 4.15% boost of extra return to the investor, or 24.00% annualized, which we refer to as the YieldBoost.
The implied volatility in the put contract example is 39%, while the implied volatility in the call contract example is 35%.
Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 250 trading day closing values as well as today's price of $94.07) to be 29%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com.
Also see:
Funds Holding SHPG
GPRE Stock Predictions
Institutional Holders of CYXT
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

First Week of PCAR December 19th Options Trading

Fintel reports that on October 14, 2025, JP Morgan maintained coverage of PACCAR (NasdaqGS:PCAR) with a Neutral recommendation.
Analyst Price Forecast Suggests 11.66% Upside
As of September 29, 2025, the average one-year price target for PACCAR is $106.19/share. The forecasts range from a low of $86.86 to a high of $140.83. The average price target represents an increase of 11.66% from its latest reported closing price of $95.10 / share.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for PACCAR is 0MM, a decrease of 100.00%. The projected annual non-GAAP EPS is 7.53.
What is the Fund Sentiment?
There are 1,784 funds or institutions reporting positions in PACCAR. This is an decrease of 27 owner(s) or 1.49% in the last quarter. Average portfolio weight of all funds dedicated to PCAR is 0.25%, an increase of 5.43%. Total shares owned by institutions decreased in the last three months by 1.62% to 420,375K shares. The put/call ratio of PCAR is 0.51, indicating a bullish outlook.
What are Other Shareholders Doing?
Wellington Management Group Llp holds 21,996K shares representing 4.19% ownership of the company. In its prior filing, the firm reported owning 20,178K shares , representing an increase of 8.26%. The firm increased its portfolio allocation in PCAR by 0.41% over the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 16,619K shares representing 3.16% ownership of the company. In its prior filing, the firm reported owning 16,591K shares , representing an increase of 0.17%. The firm decreased its portfolio allocation in PCAR by 12.75% over the last quarter.
VFINX - Vanguard 500 Index Fund Investor Shares holds 14,652K shares representing 2.79% ownership of the company. In its prior filing, the firm reported owning 14,570K shares , representing an increase of 0.56%. The firm decreased its portfolio allocation in PCAR by 12.78% over the last quarter.
Bank Of America holds 14,216K shares representing 2.71% ownership of the company. In its prior filing, the firm reported owning 13,858K shares , representing an increase of 2.52%. The firm decreased its portfolio allocation in PCAR by 77.44% over the last quarter.
Geode Capital Management holds 12,455K shares representing 2.37% ownership of the company. In its prior filing, the firm reported owning 12,296K shares , representing an increase of 1.28%. The firm decreased its portfolio allocation in PCAR by 11.94% over the last quarter.
Fintel is one of the most comprehensive investing research platforms available to individual investors, traders, financial advisors, and small hedge funds.
Our data covers the world, and includes fundamentals, analyst reports, ownership data and fund sentiment, options sentiment, insider trading, options flow, unusual options trades, and much more. Additionally, our exclusive stock picks are powered by advanced, backtested quantitative models for improved profits.
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

JP Morgan Maintains PACCAR (PCAR) Neutral Recommendation

Paccar (PCAR) closed at $93.00 in the latest trading session, marking a -2.33% move from the prior day. The stock exceeded the S&P 500, which registered a loss of 2.71% for the day. Elsewhere, the Dow lost 1.9%, while the tech-heavy Nasdaq lost 3.56%.
Shares of the truck maker have depreciated by 6.43% over the course of the past month, underperforming the Auto-Tires-Trucks sector's gain of 14.16%, and the S&P 500's gain of 3.5%.
Analysts and investors alike will be keeping a close eye on the performance of Paccar in its upcoming earnings disclosure. The company's earnings report is set to go public on October 21, 2025. The company is predicted to post an EPS of $1.13, indicating a 38.92% decline compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $6.05 billion, showing a 21.43% drop compared to the year-ago quarter.
For the full year, the Zacks Consensus Estimates are projecting earnings of $5.19 per share and revenue of $26.35 billion, which would represent changes of -34.3% and -16.51%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Paccar. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 1.42% lower. Right now, Paccar possesses a Zacks Rank of #4 (Sell).
In terms of valuation, Paccar is currently trading at a Forward P/E ratio of 18.34. For comparison, its industry has an average Forward P/E of 13.35, which means Paccar is trading at a premium to the group.
Also, we should mention that PCAR has a PEG ratio of 3.88. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. PCAR's industry had an average PEG ratio of 2.39 as of yesterday's close.
The Automotive - Domestic industry is part of the Auto-Tires-Trucks sector. At present, this industry carries a Zacks Industry Rank of 174, placing it within the bottom 30% of over 250 industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
Zacks' Research Chief Picks Stock Most Likely to "At Least Double"
Our experts have revealed their Top 5 recommendations with money-doubling potential – and Director of Research Sheraz Mian believes one is superior to the others. Of course, all our picks aren’t winners but this one could far surpass earlier recommendations like Hims & Hers Health, which shot up +209%.
See Our Top Stock to Double (Plus 4 Runners Up) >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
PACCAR Inc. (PCAR) : Free Stock Analysis Report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Paccar (PCAR) Stock Moves -2.33%: What You Should Know

Fintel reports that on October 8, 2025, Truist Securities maintained coverage of PACCAR (NasdaqGS:PCAR) with a Hold recommendation.
Analyst Price Forecast Suggests 10.94% Upside
As of September 29, 2025, the average one-year price target for PACCAR is $106.19/share. The forecasts range from a low of $86.86 to a high of $140.83. The average price target represents an increase of 10.94% from its latest reported closing price of $95.72 / share.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for PACCAR is 0MM, a decrease of 100.00%. The projected annual non-GAAP EPS is 7.53.
What is the Fund Sentiment?
There are 1,782 funds or institutions reporting positions in PACCAR. This is an decrease of 30 owner(s) or 1.66% in the last quarter. Average portfolio weight of all funds dedicated to PCAR is 0.25%, an increase of 5.84%. Total shares owned by institutions decreased in the last three months by 1.62% to 420,393K shares. The put/call ratio of PCAR is 0.51, indicating a bullish outlook.
What are Other Shareholders Doing?
Wellington Management Group Llp holds 21,996K shares representing 4.19% ownership of the company. In its prior filing, the firm reported owning 20,178K shares , representing an increase of 8.26%. The firm decreased its portfolio allocation in PCAR by 85.91% over the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 16,619K shares representing 3.16% ownership of the company. In its prior filing, the firm reported owning 16,591K shares , representing an increase of 0.17%. The firm decreased its portfolio allocation in PCAR by 12.75% over the last quarter.
VFINX - Vanguard 500 Index Fund Investor Shares holds 14,652K shares representing 2.79% ownership of the company. In its prior filing, the firm reported owning 14,570K shares , representing an increase of 0.56%. The firm decreased its portfolio allocation in PCAR by 12.78% over the last quarter.
Bank Of America holds 14,216K shares representing 2.71% ownership of the company. In its prior filing, the firm reported owning 13,858K shares , representing an increase of 2.52%. The firm decreased its portfolio allocation in PCAR by 77.44% over the last quarter.
Geode Capital Management holds 12,455K shares representing 2.37% ownership of the company. In its prior filing, the firm reported owning 12,296K shares , representing an increase of 1.28%. The firm decreased its portfolio allocation in PCAR by 11.94% over the last quarter.
Fintel is one of the most comprehensive investing research platforms available to individual investors, traders, financial advisors, and small hedge funds.
Our data covers the world, and includes fundamentals, analyst reports, ownership data and fund sentiment, options sentiment, insider trading, options flow, unusual options trades, and much more. Additionally, our exclusive stock picks are powered by advanced, backtested quantitative models for improved profits.
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Truist Securities Maintains PACCAR (PCAR) Hold Recommendation

The S&P 500 Index ($SPX) (SPY) on Friday closed up +0.59%, the Dow Jones Industrials Index ($DOWI) (DIA) closed up +0.65%, and the Nasdaq 100 Index ($IUXX) (QQQ) closed up +0.44%. December E-mini S&P futures (ESZ25) rose +0.60%, and December E-mini Nasdaq futures (NQZ25) rose +0.44%.
Stock indexes settled higher on Friday. The broader market garnered support from Friday's reports on consumer spending and core PCE inflation. Friday's report on Aug personal spending rose more than expected at the strongest pace in five months. Also, Friday's report on the Aug core PCE price index, the Fed's preferred gauge of inflation, came in right on expectations, which could allow the Fed to continue lowering interest rates. However, gains in stocks were limited after US consumer sentiment unexpectedly fell to a 4-month low.
Join 200K+ Subscribers: Find out why the midday Barchart Brief newsletter is a must-read for thousands daily.
US semiconductor makers found support Friday after The Wall Street Journal reported that the Trump administration is considering a new plan to reduce the US's reliance on chips made overseas, aiming to spur domestic manufacturing and reshape global supply chains.
Pharmaceutical stocks rose Friday despite President Trump's plan to impose 100% tariffs on drug imports. According to Jeffries, the plan appears to be a "win" for the pharmaceutical industry, as many major drug makers have a production presence in the US and have announced increased investment directly tied to local manufacturing.
US Aug personal spending rose by +0.6% m/m, stronger than expectations of +0.5% m/m and the largest increase in 5 months. Aug personal income rose +0.4% m/m, stronger than expectations of +0.3% m/m.
The US Aug core PCE price index, the Fed's preferred gauge of inflation, rose +0.2% m/m and +2.9% y/y, right on expectations.
The University of Michigan US Sep consumer sentiment index was unexpectedly revised lower to a 4-month low of 55.1, weaker than expectations of no change at 55.4.
The University of Michigan US Sep 1-year inflation expectations were revised lower to 4.7% from the previously reported 4.8%. Also, the Sep 5-10 year inflation expectations were revised downward to 3.7% from the previously reported 3.9%.
Comments from Richmond Fed President Tom Barkin on Friday were slightly hawkish, as he noted that the uncertainty that had pervaded the economic outlook earlier in the year has started to lift for US companies, and he sees limited risk of further deterioration in employment and inflation.
A potential negative factor for market sentiment is the likelihood that the US government will shut down on October 1 if lawmakers fail to pass a spending bill by then. The White House issued a memo late Wednesday that said a shutdown would trigger widespread dismissals of employees in government programs that don't align with President Trump's priorities.
Rising corporate earnings expectations are a bullish backdrop for stocks. According to Bloomberg Intelligence, more than 22% of companies in the S&P 500 provided guidance for their Q3 earnings results that are expected to beat analysts' expectations, the highest in a year. Also, S&P companies are expected to post +6.9% earnings growth in Q3, up from +6.7% as of the end of May.
The markets are pricing in an 88% chance of a -25 bp rate cut at the next FOMC meeting on Oct 28-29.
Overseas stock markets on Friday settled mixed. The Euro Stoxx 50 rallied to a 5-week high and closed up +1.01%. China's Shanghai Composite closed down -0.65%. Japan's Nikkei Stock 225 closed down -0.87%.
Interest Rates
December 10-year T-notes (ZNZ5) on Friday closed down -2 ticks. The 10-year T-note yield rose +1.3 bp to 4.183%. T-notes posted modest losses on Friday after US Aug personal spending rose more than expected at the strongest pace in 5 months. Also, hawkish comments from Richmond Fed President Tom Barkin were bearish for T-notes when he said he sees limited risk of further deterioration of employment and inflation. In addition, strength in stocks on Friday curbed safe-haven demand for T-notes.
Losses in T-notes were limited on Friday as inflation concerns eased after the August core PCE price index, the Fed's preferred gauge of inflation, came in right on expectations, and the University of Michigan's US September inflation expectations were revised lower. Also, Friday's downward revision in the University of Michigan US Sep consumer sentiment index to a 4-month low was bullish for T-notes.
European government bond yields moved lower on Friday. The 10-year German bund yield fell to a 1-week low of 2.728% and finished down -2.8 bp at 2.746%. The 10-year UK gilt yield fell from a 3-week high of 4.768% and fell -1.1 bp to 4.746%.
The ECB Aug 1-year CPI expectations unexpectedly rose to 2.8% from 2.6% in July, stronger than expectations of a decline to 2.5%. The ECB Aug 3-year CPI expectations were unchanged from July at 2.5%, stronger than expectations of a decline to 2.4%.
Swaps are discounting a 1% chance for a -25 bp rate cut by the ECB at its next policy meeting on October 30.
US Stock Movers
US chipmakers rallied on Friday after The Wall Street Journal reported that the Trump administration is weighing a new plan to reduce the US's reliance on chips made overseas. GlobalFoundries (GFS) closed up by more than +7% and Intel (INTC) closed up more than +4%. Also, Applied Materials (AMAT) closed up more than +2% and Texas Instruments (TXN) closed up more than +1%.
Energy producers and energy service providers rallied Friday as the price of WTI crude oil rose more than +1% to a 1.75-month high. Devon Energy (DVN) closed up more than +3% and Schlumberger (SLB) closed up more than +2%. Also, Diamondback Energy (FANG), Haliburton (HAL), ConocoPhillips (COP), APA Corp (APA), Exxon Mobil (XOM), Marathon Petroleum (MPC), and Occidental Petroleum (OXY) closed up more than +1%.
Pharmaceutical stocks moved higher after Jeffries said that President Trump's plan to boost tariffs on the companies looks like a "win" for the pharmaceutical industry, as many major drug makers have some production presence in the US and have announced increased investment directly tied towards local manufacturing. Eli Lilly (LLY) and Merck & Co. (MRK) closed up more than +1%, AbbVie (ABBV) closed up +0.90%, Pfizer (PFE) closed up +0.56%, and Amgen (AMGN) closed up +0.37%.
Electronic Arts (EA) closed up more than +14% to lead gainers in the S&P 500 and Nasdaq 100 after the Wall Street Journal reported that the company is in talks to be taken private by a consortium led by Silver Lake Management and Saudi Arabia's Public Investment Fund.
Crinetics Pharmaceuticals (CRNX) closed up more than +27% after receiving FDA approval for its Palsonify medication to treat adults with acromegaly.
Paccar (PCAR) closed up more than +5% after President Trump set a 25% tariff rate on heavy trucks made outside of the US.
Mirion Technologies (MIR) closed up more than +10% after JPMorgan Chase initiated coverage on the stock with a recommendation of overweight with a price target of $28.
Boeing (BA) closed up more than +3% to lead gainers in the Dow Jones Industrials after the Wall Street Journal reported that the FAA will ease restrictions on 737 MAX deliveries.
Concentrix (CNXC) closed down more than -13% after forecasting Q4 adjusted EPS of $2.85 to $2.96, well below the consensus of $3.30.
IREN Ltd (IREN) closed down more than -10% after JPMorgan Chase downgraded the stock to underweight from neutral with a price target of $24.
RH (RH) closed down more than -4% after President Trump announced a 50% tariff on all imported kitchen cabinets, bathroom vanities, and associated products, starting October 1.
Costco Wholesale (COST) closed down more than -2% to lead losers in the S&P 500 and Nasdaq 100 after reporting Q4 US comparable sales rose +5.1%, weaker than the consensus of +5.21%.
CarMax (KMX) closed down more than -1% after Evercore ISI downgraded the stock to in line from outperform.
Warner Bros Discovery (WBD) closed down more than -1% after KeyBanc Capital Markets downgraded the stock to sector weight from overweight.
Earnings Reports(9/29/2025)
Carnival Corp (CCL), IDT Corp (IDT), Jefferies Financial Group Inc (JEF), Lionsgate Studios Corp (LION), Progress Software Corp (PRGS), ReposiTrak Inc (TRAK), Vail Resorts Inc (MTN).
On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
More news from Barchart
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

PACCAR Inc.

Sign up and unlock all the capabilities of the AI-screener