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Oshkosh Crushes Earnings Estimates

By Seth Jayson – Updated Apr 7, 2017 at 12:07PM

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Just the facts, Fool.

Oshkosh (NYSE: OSK) reported earnings on Oct. 26. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Sep. 30 (Q4), Oshkosh beat expectations on revenues and crushed expectations on earnings per share.

Compared to the prior-year quarter, revenue dropped slightly and GAAP earnings per share grew significantly.

Margins increased across the board.

Revenue details
Oshkosh reported revenue of $2.06 billion. The 11 analysts polled by S&P Capital IQ anticipated sales of $1.97 billion on the same basis. GAAP reported sales were 2.5% lower than the prior-year quarter's $2.12 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.65. The 14 earnings estimates compiled by S&P Capital IQ forecast $0.46 per share. GAAP EPS of $0.86 for Q4 were 110% higher than the prior-year quarter's $0.41 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 12.5%, 210 basis points better than the prior-year quarter. Operating margin was 4.7%, 90 basis points better than the prior-year quarter. Net margin was 3.8%, 200 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $1.71 billion. On the bottom line, the average EPS estimate is $0.35.

Next year's average estimate for revenue is $7.65 billion. The average EPS estimate is $2.55.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 793 members out of 858 rating the stock outperform, and 65 members rating it underperform. Among 226 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 215 give Oshkosh a green thumbs-up, and 11 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Oshkosh is outperform, with an average price target of $31.36.

Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no positions in the stocks mentioned above. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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