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Oshkosh (Oshkosh) Altman Z-Score

: 2.99 (As of Today)
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The Altman Z-Score is a model designed to predict the likelihood of a company going bankrupt within the next two years. Created by American finance professor Edward Altman in 1968, the model is specifically designed for publicly traded manufacturing companies with assets greater than $1 million.

Warning Sign:

Altman Z-score of 2.99 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.

Oshkosh has a Altman Z-Score of 2.99, indicating it is in Grey Zones. This implies that Oshkosh is in some kind of financial stress. If it is below 1.81, the company may face bankrupcy risk.

The zones of discrimination were as such:

When Altman Z-Score <= 1.8, it is in Distress Zones.
When Altman Z-Score >= 3, it is in Safe Zones.
When Altman Z-Score is between 1.8 and 3, it is in Grey Zones.

The historical rank and industry rank for Oshkosh's Altman Z-Score or its related term are showing as below:

OSK' s Altman Z-Score Range Over the Past 10 Years
Min: 2.9   Med: 3.56   Max: 4.01
Current: 2.99

During the past 13 years, Oshkosh's highest Altman Z-Score was 4.01. The lowest was 2.90. And the median was 3.56.


Oshkosh Altman Z-Score Historical Data

The historical data trend for Oshkosh's Altman Z-Score can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Oshkosh Annual Data
Trend Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Dec22 Dec23
Altman Z-Score
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.01 3.54 3.57 2.90 2.92

Oshkosh Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Altman Z-Score Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.90 2.86 3.01 2.83 2.92

Competitive Comparison

For the Farm & Heavy Construction Machinery subindustry, Oshkosh's Altman Z-Score, along with its competitors' market caps and Altman Z-Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Oshkosh Altman Z-Score Distribution

For the Farm & Heavy Construction Machinery industry and Industrials sector, Oshkosh's Altman Z-Score distribution charts can be found below:

* The bar in red indicates where Oshkosh's Altman Z-Score falls into.



Oshkosh Altman Z-Score Calculation

Altman Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

Oshkosh's Altman Z-Score for today is calculated with this formula:

Z=1.2*X1+1.4*X2+3.3*X3+0.6*X4+1.0*X5
=1.2*0.1524+1.4*0.4169+3.3*0.0949+0.6*1.4234+1.0*1.0579
=2.99

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency. GuruFocus does not calculate Altman Z-Score when X4 or X5 value is 0.

Trailing Twelve Months (TTM) ended in Dec. 2023:
Total Assets was $9,129 Mil.
Total Current Assets was $4,481 Mil.
Total Current Liabilities was $3,090 Mil.
Retained Earnings was $3,806 Mil.
Pre-Tax Income was 195.2 + 241.4 + 231.6 + 129.4 = $798 Mil.
Interest Expense was -22.3 + -19.6 + -13.3 + -13.4 = $-69 Mil.
Revenue was 2466.8 + 2509.9 + 2413.1 + 2268.1 = $9,658 Mil.
Market Cap (Today) was $7,720 Mil.
Total Liabilities was $5,424 Mil.

* Note that for stock reported semi-annually or annually, GuruFocus uses latest annual data as the TTM data.

X1=Working Capital/Total Assets
=(Total Current Assets - Total Current Liabilities)/Total Assets
=(4480.8 - 3089.6)/9129.2
=0.1524

X2=Retained Earnings/Total Assets
=3805.8/9129.2
=0.4169

X3=Earnings Before Interest and Taxes/Total Assets
=(Pre-Tax Income - Interest Expense)/Total Assets
=(797.6 - -68.6)/9129.2
=0.0949

X4=Market Value Equity/Book Value of Total Liabilities
=Market Cap/Total Liabilities
=7720.405/5423.9
=1.4234

X5=Revenue/Total Assets
=9657.9/9129.2
=1.0579

The zones of discrimination were as such:

Distress Zones - 1.81 < Grey Zones < 2.99 - Safe Zones

Oshkosh has a Altman Z-Score of 2.99 indicating it is in Grey Zones.

Study by Altman found that companies that are in Distress Zone have more than 80% of chances of bankruptcy in two years.


Oshkosh  (NYSE:OSK) Altman Z-Score Explanation

X1: The Working Capital/Total Assets (WC/TA) ratio is a measure of the net liquid assets of the firm relative to the total capitalization. Working capital is defined as the difference between current assets and current liabilities. Ordinarily, a firm experiencing consistent operating losses will have shrinking current assets in relation to total assets. Altman found this one proved to be the most valuable liquidity ratio comparing with the current ratio and the quick ratio. This is however the least significant of the five factors.

X2: Retained Earnings/Total Assets: the RE/TA ratio measures the leverage of a firm. Retained earnings is the account which reports the total amount of reinvested earnings and/or losses of a firm over its entire life. Those firms with high RE, relative to TA, have financed their assets through retention of profits and have not utilized as much debt.

X3, Earnings Before Interest and Taxes/Total Assets (EBIT/TA): This ratio is a measure of the true productivity of the firm's assets, independent of any tax or leverage factors. Since a firm's ultimate existence is based on the earning power of its assets, this ratio appears to be particularly appropriate for studies dealing with corporate failure. This ratio continually outperforms other profitability measures, including cash flow.

X4, Market Value of Equity/Book Value of Total Liabilities (MVE/TL): The measure shows how much the firm's assets can decline in value (measured by market value of equity plus debt) before the liabilities exceed the assets and the firm becomes insolvent.

X5, Revenue/Total Assets (S/TA): The capital-turnover ratio is a standard financial ratio illustrating the sales generating ability of the firm's assets.

Read more about Altman Z-Score and the original research.


Be Aware

Altman Z-Score does not apply to financial companies.


Oshkosh Altman Z-Score Related Terms

Thank you for viewing the detailed overview of Oshkosh's Altman Z-Score provided by GuruFocus.com. Please click on the following links to see related term pages.


Oshkosh (Oshkosh) Business Description

Traded in Other Exchanges
Address
1917 Four Wheel Drive, Oshkosh, WI, USA, 54902
Oshkosh is the top producer of access equipment, specialty vehicles, and military trucks. It serves diverse end markets, where it is typically the market share leader in North America, or, in the case of JLG aerial work platforms, a global leader. In recent years, the company has manufactured joint light tactical vehicles, or JLTV, for the U.S. Department of Defense. However, Oshkosh recently lost the JLTV recompete, bringing its U.S. Postal Service contract into focus, which calls for the electrification of U.S. postal vehicles. The company reports four segments—access equipment (48% of revenue), defense (26%), fire and emergency (13%), and commercial (13%)—and generated $8.3 billion in revenue in 2022.
Executives
Bryan K Brandt officer: SVP & Chief Marketing Officer 1917 FOUR WHEEL DRIVE, OSHKOSH WI 54902
James W. Johnson officer: Exec. VP & Pres., Fire & Emerg C/O OSHKOSH CORPORATION, 1917 FOUR WHEEL DRIVE, OSHKOSH WI 54902
John S Verich officer: SVP and Treasurer 1917 FOUR WHEEL DRIVE, OSHKOSH WI 54902
Michael E Pack officer: Exec. VP and CFO 1917 FOUR WHEEL DRIVE, OSHKOSH WI 54902
Frank R. Nerenhausen officer: EVP & Pres. Commercial Segment C/O OSHKOSH CORPORATION, 1917 FOUR WHEEL DRIVE, OSHKOSH WI 54902
Jason P Baab officer: SVP, Corp. Develop. & Strategy 8111 LYNDALE AVENUE SOUTH, BLOOMINGTON MN 55420
Timothy S Bleck officer: SVP & Pres. Defense Segment 1917 FOUR WHEEL DR, OSHKOSH WI 54902
David G Perkins director 1917 FOUR WHEEL DRIVE, OSHKOSH WI 54902
Thomas P Hawkins officer: SVP, Government Relations 1917 FOUR WHEEL DRIVE, OSHKOSH WI 54902
Jayanthi Iyengar officer: EVP, Chief Tech & Strategic C/O ARRAY TECHNOLOGIES, INC., 3901 MIDWAY PLACE NE, ALBUQUERQUE NM 87109
John J Bryant officer: SVP and Pres, Defense Segment 1917 FOUR WHEEL DRIVE, OSHKOSH WI 54902
Douglas Lee Davis director 1150 N. ALMA SCHOOL ROAD, MESA AZ 85201
James C Freeders officer: Senior VP and Controller 1917 FOUR WHEEL DRIVE, OSHKOSH WI 54902
Bradley M. Nelson officer: SVP & Pres. Commercial Segment C/O OSHKOSH CORPORATION, 1917 FOUR WHEEL DRIVE, OSHKOSH WI 54903-2566
Anupam Khare officer: SVP/Chief Information Officer 1917 FOUR WHEEL DRIVE, OSHKOSH WI 54902