Oshkosh (OSK -1.13%) soared higher in late February after the truck and equipment maker won a key government contract. The market was still digesting that contract -- and what it might mean for the company -- in March, helping to lift the shares 11.9%, according to data provided by S&P Global Market Intelligence.
The U.S. Postal Service in late February awarded Oshkosh an initial $482 million to modernize its fleet of postal delivery vehicles, a contract that could eventually be worth more than $6 billion. The win was a bit of a surprise, and in early March some lawmakers announced legislation to halt the contract.
But as the month wore on, the talk of Capitol Hill interference died down, with Postmaster General Louis DeJoy saying he was "pretty confident" about the move.
The company could also be a beneficiary of a planned $2 trillion infrastructure program announced by President Joe Biden mid-month. Citi analyst Timothy Thein raised his price target on Oshkosh thanks to expectations for strong demand for the company's trucks.
Oshkosh shares are now up nearly 40% year to date and have doubled the gains posted by the S&P 500 index over the past five years. That's a strong run for an industrial stock.
There likely isn't another big catalyst like the Post Office contract on the immediate horizon to cause another spike higher, but Oshkosh is a strong, reliable company for long-term shareholders. Even after its run-up, there is a lot to like about this stock.