** Shares of truckmaker PACCAR PCAR.O up 1% at about $103, in premarket trade

** Argus Research upgrades rating to "buy" from "hold", price target unchanged at $121, an upside of 19.1% from the last close

** Co on Tuesday posted Q2 adj. profit above analysts' estimate

** Research firm sees co's new truck deliveries beginning to improve in early 2026; also expects sales and margin recovery in the coming year

** Argus expects co to benefit from the recently passed "One Big Beautiful Bill Act", which is projected to support economic growth and infrastructure investment

** However, the research firm cuts 2025 EPS forecast to $5.51 from $7.53

** Seven of 22 brokerages rate the stock "buy" or higher, 13 "hold" and two "sell" or lower; their median PT is $102.50- data compiled by LSEG

** As of last close, stock had fallen 2.4% YTD

(Reporting by Apratim Sarkar)

((Apratim.Sarkar@thomsonreuters.com))