Oshkosh downgraded to Sector Weight from Overweight at KeyBanc

KeyBanc downgraded Oshkosh to Sector Weight from Overweight without a price target. The analyst thinks order rates could moderate from recently elevated levels at the same time supply chain improvements allow for revenue increases and faster backlog monetization. If correct, the optics of sub-1-times book-to-bills, backlog contraction, and forward revenue visibility returning to historical ranges could increase fears of peak cycle conditions even if not imminent, the analyst tells investors in a research note. The firm says “potential signs of bad news” will have an outsized negative impact on the shares relative to the potential upside good news could provide.