Oshkosh (OSK) AI Stock Analysis

• Market Cap: $8.93B
• Dividend Yield: 1.43%
• Average Volume (3M): 704.04K
• Price to Earnings (P/E): 14.0
• Beta (1Y): 1.33
• Revenue Growth: 0.41%
• EPS Growth: -3.90%
• Country: US
• Employees: 18,000
• Sector: Industrials
• Sector Strength: 72
• Industry: Agricultural - Machinery
• EPS (TTM): 3.41
• Shares Outstanding: 64,000,310
• 10 Day Avg. Volume: 740,132
• 30 Day Avg. Volume: 704,040
• PEG Ratio: 0.68
• Price to Book (P/B): 1.50
• Price to Sales (P/S): 0.58
• P/FCF Ratio: 23.16
• Enterprise Value/Market Cap: 0.97
• Enterprise Value/Revenue: 0.83
• Enterprise Value/Gross Profit: 4.61
• Enterprise Value/Ebitda: 7.24
• 1Y Price Target: $155.42
• Price Target Upside: 11.65% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 12

• Rating: 74 Outperform
• Price Target: $147.00 ▲(5.60% Upside)

Oshkosh's strong financial performance and attractive valuation are the most significant factors driving its stock score. The company's robust cash flow and efficient operations provide a solid foundation for future growth. While technical indicators suggest some short-term challenges, the positive outlook from the earnings call and strategic defense contracts support a favorable long-term perspective.

Positive Factors

Strong Cash Flow Generation

Oshkosh's robust cash flow generation supports future investments and debt repayments, ensuring financial stability and growth potential.

New Defense Contracts

The new defense contract secures long-term revenue and enhances Oshkosh's position in the defense sector, providing stability and growth opportunities.

Vocational Segment Growth

Growth in the Vocational segment indicates strong demand and effective pricing strategies, contributing to overall revenue stability and market expansion.

Negative Factors

Decreased Revenue

A decline in revenue signals potential challenges in maintaining market share and could impact long-term growth if not addressed.

Access Segment Challenges

Challenges in the Access segment, such as contract expirations, may hinder growth and require strategic adjustments to regain momentum.

Decreased Transport Segment Revenue

Reduced transport segment revenue due to program wind-downs could affect Oshkosh's revenue diversity and necessitate new growth strategies.

Oshkosh Business Overview & Revenue Model

Company Description

Oshkosh Corporation (OSK) is a leading manufacturer of specialty vehicles and vehicle bodies, primarily serving the defense, fire and emergency, access equipment, and commercial markets. Headquartered in Oshkosh, Wisconsin, the company operates through several segments, including Defense, Fire & Emergency, and Access Equipment. Its core products include tactical military vehicles, fire trucks, aerial work platforms, and concrete mixers, catering to various industries and enhancing operational efficiency and safety.

How the Company Makes Money

Oshkosh generates revenue through the sale of its specialty vehicles and related services. The company has several key revenue streams, including the Defense segment, which provides military vehicles to government entities, leading to long-term contracts and recurring sales. The Fire & Emergency segment relies on both new vehicle sales and aftermarket parts and services, ensuring ongoing revenue from maintenance and repairs. The Access Equipment segment focuses on aerial work platforms, with revenue coming from both equipment sales and rental services. Significant partnerships with government agencies, municipal fire departments, and construction companies bolster Oshkosh's earnings, as do its investments in innovation and technology to enhance product offerings and meet evolving market needs.

Oshkosh Financial Statement Overview

Summary

Oshkosh demonstrates strong financial health with consistent profitability and efficient cash flow management. While revenue growth has recently slowed, the company maintains solid margins and a stable balance sheet. The robust cash flow generation positions Oshkosh well for future growth and financial stability.

Income Statement

Oshkosh's income statement shows a stable gross profit margin around 18% over recent periods, indicating consistent cost management. However, the TTM data reveals a slight decline in revenue growth rate, which is a concern. The net profit margin remains steady at approximately 6%, reflecting solid profitability. EBIT and EBITDA margins are healthy, suggesting efficient operations despite the recent revenue dip.

Balance Sheet

The balance sheet reflects a moderate debt-to-equity ratio of 0.34 in the TTM period, indicating manageable leverage. Return on equity is strong at 15.35%, showcasing effective use of equity capital. The equity ratio stands at 44.5%, suggesting a solid capital structure. Overall, the balance sheet is stable with a good balance between debt and equity.

Cash Flow

Cash flow analysis shows a remarkable free cash flow growth rate of 103.2% in the TTM period, indicating robust cash generation. The operating cash flow to net income ratio is 0.30, suggesting efficient cash conversion. The free cash flow to net income ratio of 0.73 further highlights strong cash flow relative to earnings, supporting future investments and debt repayments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	10.38B	10.73B	9.65B	8.28B	7.74B	6.86B
Gross Profit	1.88B	1.97B	1.77B	1.05B	1.22B	1.12B
EBITDA	1.20B	1.22B	988.70M	444.30M	650.10M	602.60M
Net Income	650.40M	681.40M	598.00M	173.90M	472.70M	324.50M
Balance Sheet
Total Assets	10.02B	9.42B	9.13B	7.73B	6.85B	5.82B
Cash, Cash Equivalents and Short-Term Investments	191.70M	204.90M	125.40M	805.90M	995.70M	582.90M
Total Debt	1.50B	961.80M	772.50M	604.70M	819.00M	823.10M
Total Liabilities	5.56B	5.27B	5.42B	4.54B	3.65B	2.97B
Stockholders Equity	4.45B	4.15B	3.71B	3.19B	3.20B	2.85B
Cash Flow
Free Cash Flow	588.90M	269.10M	274.30M	331.80M	1.11B	197.10M
Operating Cash Flow	811.20M	550.10M	599.60M	601.30M	1.22B	327.30M
Investing Cash Flow	-338.60M	-388.80M	-1.29B	-300.40M	-245.60M	-77.60M
Financing Cash Flow	-428.50M	-75.10M	3.40M	-485.00M	-180.40M	-115.50M

Oshkosh Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 139.20
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OSK, the sentiment is Positive. The current price of 139.2 is above the 20-day moving average (MA) of 133.06, above the 50-day MA of 135.27, and above the 200-day MA of 112.36, indicating a bullish trend. The MACD of 1.38 indicates Negative momentum. The RSI at 57.94 is Neutral, neither overbought nor oversold. The STOCH value of 89.15 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for OSK.

Oshkosh Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TEX	―	$3.70B	21.02	9.45%	1.21%	-0.35%	-63.44%
OSK	―	$8.93B	14.00	15.52%	1.43%	0.41%	-3.90%
ALG	―	$2.28B	19.15	11.30%	0.64%	-4.91%	-7.08%
AGCO	―	$8.11B	81.69	2.42%	1.42%	-24.27%	-76.31%
LNN	―	$1.26B	17.19	14.61%	1.24%	11.41%	13.05%
Sector *	―	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
CNH	―	$13.48B	16.40	10.79%	2.32%	-21.70%	-57.68%

Oshkosh Corporate Events

Oshkosh Corporation Raises 2025 Earnings Outlook

Oshkosh Corporation, headquartered in Wisconsin, is a global leader in designing and manufacturing purpose-built vehicles and equipment, serving various sectors including defense, access equipment, and vocational vehicles.

Oshkosh Corp’s Earnings Call: Strong Margins Amid Challenges

Oshkosh Corporation’s recent earnings call painted a picture of robust performance, underscored by significant achievements in operating margins and EPS growth. The company celebrated successes in its Vocational and Transport segments, although it also acknowledged challenges such as a decrease in consolidated sales and a decline in the Access segment revenue. The ongoing dynamic tariff environment was also highlighted as a concern.