Oshkosh price target raised to $103 from $90 at BofA

BofA analyst Michael Feniger raised the firm’s price target on Oshkosh (OSK) to $103 from $90 and keeps an Underperform rating on the shares after management provided a three-year EPS target of $18-$22 by 2028, or a 24% compound annual growth rate at the midpoint, at its investor day. At first glance, a 20% EPS CAGR in an uncertain macro for an original equipment maker is “not exactly conservative,” but the firm found elements of the bridge to be “encouraging,” the analyst tells investors following the “positive” event. The firm updated estimates for results reported on April 30, as the tariff impact was less severe than anticipated, as well as the investor day, but reiterates an Underperform rating as the analyst prefers rental operators to rental suppliers in a slowing construction cycle, also citing some tougher price versus cost dynamics.