WallStSmart

PACCAR Inc (PCAR)vsRentokil Initial PLC (RTO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

PACCAR Inc generates 302% more annual revenue ($27.78B vs $6.91B). PCAR leads profitability with a 8.9% profit margin vs 6.8%. RTO appears more attractively valued with a PEG of 0.89. RTO earns a higher WallStSmart Score of 60/100 (C).

PCAR

Buy

54

out of 100

Grade: C-

Growth: 4.0Profit: 6.0Value: 4.7Quality: 6.5
Piotroski: 1/9Altman Z: 2.09

RTO

Buy

60

out of 100

Grade: C

Growth: 8.7Profit: 6.0Value: 4.0Quality: 5.5
Piotroski: 4/9Altman Z: 2.05
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PCARSignificantly Overvalued (-40.2%)

Margin of Safety

-40.2%

Fair Value

$84.87

Current Price

$116.78

$31.91 premium

UndervaluedFair: $84.87Overvalued
RTOSignificantly Overvalued (-27.1%)

Margin of Safety

-27.1%

Fair Value

$25.56

Current Price

$28.50

$2.94 premium

UndervaluedFair: $25.56Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PCAR1 strengths · Avg: 9.0/10
Market CapQuality
$63.52B9/10

Large-cap with strong market position

RTO3 strengths · Avg: 8.7/10
EPS GrowthGrowth
95.2%10/10

Earnings expanding 95.2% YoY

PEG RatioValuation
0.898/10

Growing faster than its price suggests

Price/BookValuation
2.6x8/10

Reasonable price relative to book value

Areas to Watch

PCAR3 concerns · Avg: 3.0/10
P/E RatioValuation
25.7x4/10

Moderate valuation

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

Revenue GrowthGrowth
-8.9%2/10

Revenue declined 8.9%

RTO3 concerns · Avg: 2.7/10
Profit MarginProfitability
6.8%3/10

6.8% margin — thin

Debt/EquityHealth
1.123/10

Elevated debt levels

P/E RatioValuation
53.0x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : PCAR

The strongest argument for PCAR centers on Market Cap. PEG of 1.21 suggests the stock is reasonably priced for its growth.

Bull Case : RTO

The strongest argument for RTO centers on EPS Growth, PEG Ratio, Price/Book. PEG of 0.89 suggests the stock is reasonably priced for its growth.

Bear Case : PCAR

The primary concerns for PCAR are P/E Ratio, Piotroski F-Score, Revenue Growth.

Bear Case : RTO

The primary concerns for RTO are Profit Margin, Debt/Equity, P/E Ratio. A P/E of 53.0x leaves little room for execution misses.

Key Dynamics to Monitor

PCAR carries more volatility with a beta of 0.99 — expect wider price swings.

RTO is growing revenue faster at 5.8% — sustainability is the question.

PCAR generates stronger free cash flow (825M), providing more financial flexibility.

Monitor FARM & HEAVY CONSTRUCTION MACHINERY industry trends, competitive dynamics, and regulatory changes.

Bottom Line

RTO scores higher overall (60/100 vs 54/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

PACCAR Inc

INDUSTRIALS · FARM & HEAVY CONSTRUCTION MACHINERY · USA

PACCAR Inc is an American Fortune 500 company and counts among the largest manufacturers of medium- and heavy-duty trucks in the world. PACCAR is engaged in the design, manufacture and customer support of light-, medium- and heavy-duty trucks under the Kenworth, Peterbilt, Leyland Trucks, and DAF nameplates. PACCAR also designs and manufactures powertrains, provides financial services and information technology, and distributes truck parts related to its principal business.

Rentokil Initial PLC

INDUSTRIALS · SPECIALTY BUSINESS SERVICES · USA

Rentokil Initial plc offers route-based services in North America, the UK, the rest of Europe, Asia, the Pacific and internationally. The company is headquartered in Crawley, the United Kingdom.

Want to dig deeper into these stocks?