$0.78 diluted earnings -- not bad, that tops raised estimates that ranged from $0.74-77. Though Gehl's still struggling with margins, their current report is pretty good, especially as CAT missed today.
Agriculture, with sales up about 15% year-over-year, continues to be the surprise star for Gehl. They appear to have worked down some of Mustang's inventory, though I suspect it's still higher than they'd like. Reassuringly, cash flow was up comfortably, my biggest worry of last quarter's report.
The construction market remains strong, and while grain prices are falling, dairy prices are firm. Unlike CSE and DE, Gehl sells mostly to dairy farmers, so they continue to benefit where their competitors are feeling a little weakness.
GEHL's back comfortably over 20, trading at a PE premium to CSE (though still at a discount to DE). Probably, again, a hold, especially since I think fears of a slowdown are overdone.
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