Oshkosh Truck

Oshkosh Truck (OSK) is one of those stocks that no one follows, few have even heard of, and it seems to do nothing but rise. While today is a sluggish day on Wall Street, Oshkosh is rallying on another great earnings report.

Net income at Oshkosh rose to $53.1 million, or 72 cents a share, compared with $40.6 million, or 56 cents a share in the same quarter a year ago.
Oshkosh had forecast earnings of 50 to 55 cents a share. Analysts polled by Thomson First Call expected, on average, 54 cents a share.
Sales in the three months ended Dec. 31 rose about 22% to $790.3 million from $644.9 million.
The stock gained 5% early Thursday to $51.15.
Defense segment sales rose 68.5% to $363.1 million for the quarter, compared to the prior year, as truck, parts and service sales grew primarily as a result of the Iraq war. Oshkosh said an increase in sales of new heavy-payload and remanufactured trucks for the U.S. Department of Defense and of wheeled tankers for the United Kingdom Ministry of Defence “significantly offset” lower Medium Tactical Vehicle Replacement truck sales.
The company said its 2006 earnings would be $2.55 to $2.65 a share. Wall Street’s consensus is $2.70 a share. Its board also declared a quarterly dividend of 10 cents a share, up about 48%, payable Feb. 23 to shareholders of record as of Feb. 16.

Here’s a chart from the past several years. Notice how the P/E ratio has never gotten very high, but the earnings keep pushing along.
OSK.bmp

Posted by on February 2nd, 2006 at 11:28 am


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