REVG vs WNC vs PCAR vs ALSN

For growth investors, REV Group, Inc.

(REVG) is the stronger pick with 3. 5% revenue growth year-over-year, versus -20. 8% for Wabash National Corporation (WNC). Wabash National Corporation (WNC) offers the better valuation at 1. 5x trailing P/E, making it the more compelling value choice. Analysts rate REV Group, Inc. (REVG) a "Hold" — based on 12 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Wabash National Corporation (WNC) is the cheapest at 1.

5x versus REV Group, Inc. at 33. 8x. On forward P/E, Allison Transmission Holdings, Inc. is actually cheaper at 13. 6x — notably different from the trailing picture, reflecting expected earnings growth. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Allison Transmission Holdings, Inc. wins at 0. 60x versus PACCAR Inc's 1. 58x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, REV Group, Inc.

(REVG) delivered a total return of +261. 2%, compared to -48. 5% for Wabash National Corporation (WNC). Over 10 years, the gap is even starker: ALSN returned +373. 8% versus WNC's -22. 6%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), PACCAR Inc (PCAR) is the lower-risk stock at 1.

01β versus Wabash National Corporation's 1. 93β — meaning WNC is approximately 91% more volatile than PCAR relative to the S&P 500. On balance sheet safety, REV Group, Inc. (REVG) carries a lower debt/equity ratio of 13% versus 156% for Allison Transmission Holdings, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), REV Group, Inc.

(REVG) is pulling ahead at 3. 5% versus -20. 8% for Wabash National Corporation (WNC). On earnings-per-share growth, the picture is similar: Wabash National Corporation grew EPS 179. 2% year-over-year, compared to -60. 0% for REV Group, Inc.. Over a 3-year CAGR, ALSN leads at 2. 8% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Allison Transmission Holdings, Inc.

(ALSN) is the more profitable company, earning 20. 7% net margin versus 3. 9% for REV Group, Inc. — meaning it keeps 20. 7% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: ALSN leads at 32. 3% versus 7. 8% for REVG. At the gross margin level — before operating expenses — ALSN leads at 48. 4%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Allison Transmission Holdings, Inc. (ALSN) is the more undervalued stock at a PEG of 0. 60x versus PACCAR Inc's 1. 58x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Allison Transmission Holdings, Inc. (ALSN) trades at 13. 6x forward P/E versus 19. 9x for PACCAR Inc — 6. 3x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for WNC: 124. 4% to $17. 50.

All stocks in this comparison pay dividends.

Wabash National Corporation (WNC) offers the highest yield at 4. 2%, versus 0. 4% for REV Group, Inc. (REVG).

For long-horizon retirement investors, PACCAR Inc (PCAR) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 1.

01), 3. 8% yield, +269. 8% 10Y return). Wabash National Corporation (WNC) carries a higher beta of 1. 93 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (PCAR: +269. 8%, WNC: -22. 6%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

These companies operate in different sectors (REVG (Industrials) and WNC (Industrials) and PCAR (Industrials) and ALSN (Consumer Cyclical)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.

In terms of investment character: REVG is a small-cap quality compounder stock; WNC is a small-cap deep-value stock; PCAR is a mid-cap income-oriented stock; ALSN is a mid-cap deep-value stock. WNC, PCAR, ALSN pay a dividend while REVG does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.