I consider myself to be a long-term investor who generally discounts quarterly earnings numbers on the basis of that if nothing major (and I mean major like obsolescence, natural disaster wiping out all production and inventory etc.) has changed at the business and its long-term fundamentals remain sound, I would still favor the business.
Truck maker PACCAR Inc. released Q3 numbers today and it beat both top and bottom line estimates by what many would consider a decent margin. However, a short-term mentality over quarterly numbers coupled with news that Management do not expect margin improvement next year sent PCAR shares down $4.27 or 5.7%.
Check out the link below to the Company’s earnings announcement and see for yourself why I still think PCAR is an excellent long-term hold and believe today’s sell-off is appealing for the patient investor:
See the link below for my write-up on the company:
PACCAR; A ‘Truckload’ of Value?
The Security Whisperer 