Oshkosh Corporation (NYSE:OSK) received a bullish endorsement from Truist Securities, which upgraded the stock to Buy from Hold and significantly raised its price target to $127 from $93. The upgrade reflects a shift in sentiment, with analysts pointing to the stock’s compelling valuation and improving earnings prospects. As a result, the company’s shares rose more than 3% intra-day today.
According to Truist, Oshkosh is trading at a steep discount compared to its machinery sector peers, with forward earnings and EV/EBITDA multiples around 40% below the group average. The firm highlighted the company’s strong balance sheet, robust order backlog in its Vocational segment, and signs of bottoming in its Defense division as key reasons for the revised outlook.
Truist now projects Oshkosh to deliver adjusted earnings per share of $12.55 in 2026 and $15.00 in 2027, up from previous estimates of $11.55 and $13.00, respectively. The new price target implies nearly 30% upside from current levels and is based on discounted earnings and EBITDA valuation models.
While concerns persist around potential weakness in the Access Equipment segment extending into 2026, Truist argues that the market has already priced in a worst-case scenario, presenting an attractive risk-reward setup for investors.
