NYSE:OSK

Stock Analysis Report

Executive Summary

Oshkosh Corporation designs, manufactures, and markets specialty vehicles and vehicle bodies worldwide.

Rewards

Trading at 20.9% below its fair value

Earnings grew by 4.1% over the past year

Risk Analysis

No risks detected for OSK from our risk checks.


Snowflake Analysis

Flawless balance sheet and undervalued.


Similar Companies

Share Price & News

How has Oshkosh's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: OSK has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-3.3%

OSK

1.5%

US Machinery

1.5%

US Market


1 Year Return

6.8%

OSK

11.4%

US Machinery

20.1%

US Market

Return vs Industry: OSK underperformed the US Machinery industry which returned 11.4% over the past year.

Return vs Market: OSK underperformed the US Market which returned 20.1% over the past year.


Shareholder returns

OSKIndustryMarket
7 Day-3.3%1.5%1.5%
30 Day-8.3%-2.1%1.4%
90 Day-7.3%2.0%8.7%
1 Year8.4%6.8%13.4%11.4%22.7%20.1%
3 Year28.5%23.4%37.2%28.4%50.1%40.5%
5 Year90.1%76.9%64.0%44.5%73.1%54.1%

Price Volatility Vs. Market

How volatile is Oshkosh's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Oshkosh undervalued compared to its fair value and its price relative to the market?

20.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: OSK ($84.13) is trading below our estimate of fair value ($106.3)

Significantly Below Fair Value: OSK is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: OSK is good value based on its PE Ratio (10.6x) compared to the Machinery industry average (21.4x).

PE vs Market: OSK is good value based on its PE Ratio (10.6x) compared to the US market (18.4x).


Price to Earnings Growth Ratio

PEG Ratio: OSK is poor value based on its PEG Ratio (7.2x)


Price to Book Ratio

PB vs Industry: OSK is good value based on its PB Ratio (2.1x) compared to the US Machinery industry average (2.2x).


Next Steps

Future Growth

How is Oshkosh forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

1.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: OSK's forecast earnings growth (1.5% per year) is below the savings rate (1.7%).

Earnings vs Market: OSK's earnings (1.5% per year) are forecast to grow slower than the US market (14.6% per year).

High Growth Earnings: OSK's earnings are forecast to grow, but not significantly.

Revenue vs Market: OSK's revenue (1.4% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: OSK's revenue (1.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: OSK's Return on Equity is forecast to be low in 3 years time (16.8%).


Next Steps

Past Performance

How has Oshkosh performed over the past 5 years?

22.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: OSK has high quality earnings.

Growing Profit Margin: OSK's current net profit margins (6.6%) are lower than last year (6.6%).


Past Earnings Growth Analysis

Earnings Trend: OSK's earnings have grown significantly by 22.6% per year over the past 5 years.

Accelerating Growth: OSK's earnings growth over the past year (4.1%) is below its 5-year average (22.6% per year).

Earnings vs Industry: OSK earnings growth over the past year (4.1%) exceeded the Machinery industry 0.9%.


Return on Equity

High ROE: OSK's Return on Equity (20.4%) is considered high.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Oshkosh's financial position?


Financial Position Analysis

Short Term Liabilities: OSK's short term assets ($3.2B) exceed its short term liabilities ($1.5B).

Long Term Liabilities: OSK's short term assets ($3.2B) exceed its long term liabilities ($1.4B).


Debt to Equity History and Analysis

Debt Level: OSK's debt to equity ratio (30.6%) is considered satisfactory.

Reducing Debt: OSK's debt to equity ratio has reduced from 46.8% to 30.6% over the past 5 years.

Debt Coverage: OSK's debt is well covered by operating cash flow (61.6%).

Interest Coverage: OSK's interest payments on its debt are well covered by EBIT (15.5x coverage).


Balance Sheet

Inventory Level: OSK has a high level of physical assets or inventory.

Debt Coverage by Assets: OSK's debt is covered by short term assets (assets are 3.9x debt).


Next Steps

Dividend

What is Oshkosh's current dividend yield, its reliability and sustainability?

1.43%

Current Dividend Yield


Dividend Yield vs Market

company1.4%marketbottom25%1.4%markettop25%3.7%industryaverage1.9%forecastin3Years1.5%

Current dividend yield vs market & industry

Notable Dividend: OSK's dividend (1.43%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.44%).

High Dividend: OSK's dividend (1.43%) is low compared to the top 25% of dividend payers in the US market (3.69%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, OSK has been paying a dividend for less than 10 years.

Growing Dividend: OSK's dividend payments have increased, but the company has only paid a dividend for 6 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (14%), OSK's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: OSK's dividends in 3 years are forecast to be well covered by earnings (15.9% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.9yrs

Average management tenure


CEO

Wilson Jones (58yo)

4.1yrs

Tenure

US$10,258,166

Compensation

Mr. Wilson R. Jones has been the Chief Executive Officer of Oshkosh Corporation since January 1, 2016 and has been its President since August 1, 2012. Mr. Jones served as the Chief Operating Officer of Osh ...


CEO Compensation Analysis

Compensation vs Market: Wilson's total compensation ($USD10.26M) is above average for companies of similar size in the US market ($USD6.26M).

Compensation vs Earnings: Wilson's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Wilson Jones
President4.1yrsUS$10.26m0.30% $17.1m
David Sagehorn
Executive VP & CFO12.3yrsUS$3.73m0.21% $11.9m
John Pfeifer
Executive VP & COO0.8yrsUS$4.62mno data
James Johnson
Executive VP and President of Fire & Emergency Segment10.1yrsUS$2.37m0.058% $3.3m
Frank Nerenhausen
Executive VP & President of Access Equipment Segment9.5yrsUS$3.23m0.077% $4.4m
James Freeders
Principal Accounting Officer2.9yrsno data0.0051% $294.8k
Robert Messina
Senior VP of Engineering & Technology and CTO4.9yrsno data0.026% $1.5m
Anupam Khare
Senior VP & Chief Information Officer1.8yrsno data0.0018% $103.4k
Robert Sims
Executive VP0yrsUS$1.56m0.017% $1.0m
Patrick Davidson
Senior Vice President of Investor Relations13.4yrsno datano data

4.9yrs

Average Tenure

55yo

Average Age

Experienced Management: OSK's management team is considered experienced (4.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Wilson Jones
President4.1yrsUS$10.26m0.30% $17.1m
Craig Omtvedt
Director11.8yrsUS$412.20k0.033% $1.9m
John Shiely
Independent Director8.1yrsUS$269.20k0.037% $2.1m
Stephen Newlin
Independent Chairman of the Board0yrsUS$277.95k0.0047% $269.0k
Duncan Palmer
Independent Director8.6yrsUS$267.37k0.040% $2.3m
Keith Allman
Independent Director4.4yrsUS$268.63k0.0020% $115.5k
Kimberley Metcalf-Kupres
Independent Director3.8yrsUS$274.30k0.014% $804.6k
Sandra Rowland
Independent Director1.4yrsUS$264.54k0.0064% $367.8k
Raymond Odierno
Independent Director1.8yrsUS$263.58k0.011% $620.1k
Tyrone Jordan
Independent Director0.3yrsno data0.0030% $170.1k

4.1yrs

Average Tenure

58yo

Average Age

Experienced Board: OSK's board of directors are considered experienced (4.1 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: OSK insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Oshkosh Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Oshkosh Corporation
  • Ticker: OSK
  • Exchange: NYSE
  • Founded: 1917
  • Industry: Construction Machinery and Heavy Trucks
  • Sector: Capital Goods
  • Market Cap: US$5.747b
  • Shares outstanding: 68.31m
  • Website: https://www.oshkoshcorp.com

Number of Employees


Location

  • Oshkosh Corporation
  • 2307 Oregon Street
  • PO Box 2566
  • Oshkosh
  • Wisconsin
  • 54903
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
OSKNYSE (New York Stock Exchange)YesCommon StockUSUSDOct 1985
OK3DB (Deutsche Boerse AG)YesCommon StockDEEUROct 1985
0KDILSE (London Stock Exchange)YesCommon StockGBUSDOct 1985

Biography

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 to the department of defense. The company’s Fire & Emergency segment offers custom and commercial firefighting vehicles and equipment; 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 and communication vehicles, as well as command trucks, and military simulator shelters and trailers. Its Commercial segment offers front-and rear-discharge concrete mixers, portable and stationary concrete batch plants for the concrete ready-mix industry; refuse collection vehicles to waste service industry; 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. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/17 23:57
End of Day Share Price2020/02/14 00:00
Earnings2019/12/31
Annual Earnings2019/09/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.