Wells Fargo analyst Ike Boruchow has assigned their neutral stance on OSK stock, giving a Hold rating on January 19.
Geoff Meacham has given his Hold rating due to a combination of factors that balance positives and concerns regarding Oshkosh’s financial outlook. On the positive side, Oshkosh FY24 order books for Access equipment are full, and the Defense segment has a better-than-expected revenue outlook, including some orders pushed out from the previous quarter. There is also notable traction within the Vocational segment. However, margins are expected to be flatter than anticipated in the Access segment, and Defense margins continue to be impacted by growth investments and start-up expenditures, which are likely to affect year-over-year earnings comparisons post the first quarter of FY24.
Additionally, while easing costs and capacity constraints are expected in FY25, this improvement may coincide with a moderation in Access demand, potentially diluting the impact of these positive developments. The Defense segment faces uncertainty with the U.S. JLTV production ending in early 2025 after a recompete loss, although international JLTV wins provide some offset. In the Vocational segment, despite a strong backlog including AeroTech and multi-year Fire & Emergency contracts, margin pressures are partially offset by lower contributions. Considering these mixed signals—solid bookings and demand drivers against margin pressures and a challenging Defense landscape—Boruchow has opted to maintain an Equal Weight rating on Oshkosh’s stock.
In another report released on January 19, J.P. Morgan also maintained a Hold rating on the stock with a $115.00 price target.
See Insiders’ Hot Stocks on TipRanks >>
TipRanks tracks over 100,000 company insiders, identifying the select few who excel in timing their transactions. By upgrading to TipRanks Premium, you will gain access to this exclusive data and discover crucial insights to guide your investment decisions. Begin your TipRanks Premium journey today.
Oshkosh (OSK) Company Description:
Oshkosh Corp. engages in the design, manufacture, and market of specialty vehicles and vehicle bodies. It operates through the following segments: Access Equipment; Defense; Fire and Emergency; and Commercial. The Access Equipment segment consists of JerrDan and JLG, which manufactures aerial work platforms; and telehandlers that are used in construction, industrial, institutional, and general maintenance applications to position workers and materials at elevated heights. The Defense segment produces tactical wheeled vehicles; and supply parts and services for the United States military and other militaries around the world. The Fire and Emergency segment sells commercial and custom fire vehicles; simulators and emergency vehicles primarily for fire departments, airports and other governmental units; and broadcast vehicles for broadcasters and television stations. The Commercial segment includes McNeilus, CON-E-CO, London, Iowa Mold Tooling Co., Inc (IMT), and Oshkosh Commercial. The company was founded in 1917 and is headquartered in Oshkosh, WI.
Read More on OSK:
