Oshkosh (OSK) AI Stock Analysis

• Market Cap: $5.76B
• Dividend Yield: 2.39%
• Average Volume (3M): 787.35K
• Price to Earnings (P/E): 8.6
• Beta (1Y): 1.28
• Revenue Growth: 11.36%
• EPS Growth: 13.78%
• Country: US
• Employees: 18,500
• Sector: Industrials
• Sector Strength: 61
• Industry: Agricultural - Machinery
• EPS (TTM): 10.35
• Shares Outstanding: 64,626,816
• 10 Day Avg. Volume: 832,738
• 30 Day Avg. Volume: 787,345
• PEG Ratio: 0.62
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.58
• Price to Cash Flow (P/CF): 2.00
• P/FCF Ratio: 2.10
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $117.67
• Price Target Upside: 32.14% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 12

Oshkosh's strong financial performance and promising earnings guidance are key strengths, despite technical indicators showing bearish trends and some segment challenges. The stock's inexpensive valuation offers potential upside for long-term investors.

Positive Factors

Earnings Outlook

Oshkosh issued its FY2025 adjusted EPS guide of roughly $11.00, ahead of analyst estimates and consensus.

Revenue Outlook

The FY2025 Net Sales outlook is expected to be $10.6B, exceeding both analyst estimates and consensus, driven by growth in Defense and Vocational segments.

Vocational Segment Performance

Oshkosh's vocational unit is a bright spot with a backlog and solid pricing providing a runway into 2026, supported by strong fundamentals.

Negative Factors

Access Segment Challenges

The Access segment faces incremental headwinds from a customer change on telehandlers and potential struggles to recover in the second half of 2025.

Electric Vehicle Mix Impact

The electric vehicles in the contract with USPS are priced at a significant premium compared to the internal combustion engine counterparts, which could affect the contract's profitability if the electric mix is reduced.

USPS Contract Uncertainty

Shares of Oshkosh Corporation fell 5% due to concerns over potential cancellation of USPS contracts for building a large battery electric vehicle fleet.

Oshkosh Business Overview & Revenue Model

Company Description

Oshkosh Corporation designs, manufactures, and markets specialty vehicles and vehicle bodies worldwide. The company's Access Equipment segment provides aerial work platforms and telehandlers for use in various construction, industrial, institutional, and general maintenance applications. This segment also offers rental fleet loans and leases, and floor plan and retail financing through third-party funding arrangements; towing and recovery equipment; carriers and wreckers; equipment installation services; and chassis and service parts sales. Its Defense segment provides heavy, medium, and light tactical wheeled vehicles and related services for the department of defense. The company's Fire & Emergency segment offers custom and commercial firefighting vehicles and equipment; and commercial fire apparatus and emergency vehicles, such as pumpers, aerial platform, ladder and tiller trucks, tankers, rescue vehicles, wild land rough terrain response vehicles, mobile command and control centers, bomb squad vehicles, hazardous materials control vehicles, and other emergency response vehicles. This segment also provides aircraft rescue and firefighting, snow removal, and broadcast vehicles, as well as command trucks, and military simulator shelters and trailers. Its Commercial segment offers front-and rear-discharge concrete mixers for the concrete ready-mix industry; refuse collection vehicles and related components to commercial and municipal waste haulers; and field service vehicles and truck-mounted cranes for the construction, equipment dealer, building supply, utility, tire service, railroad, and mining industries. Oshkosh Corporation provides its products through direct sales representatives, dealers, and distributors. The company was formerly known as Oshkosh Truck Corporation and changed its name to Oshkosh Corporation in February 2008. Oshkosh Corporation was founded in 1917 and is headquartered in Oshkosh, Wisconsin.

How the Company Makes Money

Oshkosh Corporation generates revenue primarily through the sale of its specialty vehicles and vehicle bodies across its various business segments. The Access Equipment segment, which includes products like aerial work platforms and telehandlers, is a significant revenue generator, serving industries such as construction and maintenance. The Defense segment provides military vehicles and related services, often through contracts with the U.S. Department of Defense, contributing substantially to the company's earnings. The Fire & Emergency segment offers firefighting vehicles and equipment to municipal and industrial fire departments, while the Commercial segment provides refuse collection vehicles and concrete mixers. Oshkosh also benefits from aftermarket parts and services, enhancing its revenue streams by supporting long-term customer relationships. Strategic partnerships and government contracts play a crucial role in the company’s financial success, providing stable and recurring income.

Oshkosh Financial Statement Overview

Summary

Oshkosh shows strong financial performance with significant revenue growth, robust profit margins, and improved leverage. However, cash flow generation could be enhanced further.

Income Statement

Oshkosh has demonstrated strong revenue growth, with a 11.26% increase from 2023 to 2024. The company's gross profit margin is healthy at 18.35%, and the net profit margin is robust at 6.35% for 2024. The EBIT and EBITDA margins have also improved to 9.42% and 11.39%, respectively, indicating efficient operational management and cost control. Overall, the income statement reflects a positive growth trajectory and stable profitability.

Balance Sheet

The debt-to-equity ratio improved to 0.23 in 2024, indicating a strong capital structure with reduced leverage. The equity ratio stands at 44.05%, showing a stable financial position with a significant proportion of assets funded by equity. Return on equity increased to 16.41%, reflecting efficient utilization of shareholders' equity to generate profits. The balance sheet is strong with manageable debt levels and solid equity.

Cash Flow

Free cash flow experienced a slight decline of 1.89% in 2024, while operating cash flow to net income ratio is stable at 0.81, indicating good cash generation from operations. The free cash flow to net income ratio is at 0.39, suggesting room for improvement in converting net income to free cash flow. Overall, the cash flow statement shows satisfactory performance, but with potential to enhance free cash flow generation.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
10.73B	9.65B	8.28B	7.74B	6.86B
	Gross Profit
1.97B	1.77B	1.05B	1.22B	1.12B
	EBIT
1.01B	843.80M	372.30M	544.70M	488.70M
	EBITDA
1.22B	988.70M	444.30M	650.10M	602.60M
	Net Income Common Stockholders
681.40M	598.00M	173.90M	472.70M	324.50M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
204.90M	125.40M	805.90M	1.38B	582.90M
	Total Assets
9.42B	9.13B	7.73B	6.89B	5.82B
	Total Debt
961.80M	1.08B	604.70M	818.80M	823.10M
	Net Debt
756.90M	952.30M	-201.20M	-557.00M	240.20M
	Total Liabilities
5.27B	5.42B	4.54B	3.64B	2.97B
	Stockholders Equity
4.15B	3.71B	3.19B	3.25B	2.85B
Cash Flow		Free Cash Flow
269.10M	274.30M	321.60M	1.11B	197.10M
	Operating Cash Flow
550.10M	599.60M	601.30M	1.22B	327.30M
	Investing Cash Flow
-388.80M	-1.29B	-300.40M	-245.60M	-77.60M
	Financing Cash Flow
-75.10M	3.40M	-485.00M	-180.40M	-115.50M

Oshkosh Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 89.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OSK, the sentiment is Negative. The current price of 89.05 is below the 20-day moving average (MA) of 93.21, below the 50-day MA of 100.07, and below the 200-day MA of 101.88, indicating a bearish trend. The MACD of -1.58 indicates Positive momentum. The RSI at 38.08 is Neutral, neither overbought nor oversold. The STOCH value of 26.31 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for OSK.

Oshkosh Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TEX	78 Outperform	$2.43B	7.41	19.13%	2.11%	-0.47%	-34.74%
ALG	76 Outperform	$2.08B	17.92	11.88%	0.68%	-3.62%	-15.20%
LNN	74 Outperform	$1.30B	17.03	15.38%	1.23%	0.46%	12.22%
REVG	73 Outperform	$1.63B	17.80	20.13%	0.76%	-12.16%	-56.14%
OSK	68 Neutral	$5.76B	8.60	17.34%	2.39%	11.36%	13.78%
ASTE	67 Neutral	$759.44M	176.73	0.67%	1.70%	-2.47%	-87.25%
Sector *	62 Neutral	$7.67B	13.25	3.04%	3.47%	3.63%	-13.99%

Oshkosh Corporate Events

Oshkosh Names Matthew Field as New CFO

Oshkosh Corporation announced the appointment of Matthew Field as its new Chief Financial Officer, effective December 16, 2024. Field, who previously held senior financial roles at Joby Aviation and Ford Motor Company, brings extensive experience in the automotive and aviation sectors. He will receive a competitive compensation package, including a base salary, incentives, and equity awards, along with a sign-on bonus and restricted stock units, as he transitions from his previous role.