Zacks Research Increases Earnings Estimates for A. O. Smith

A. O. Smith Corporation (NYSE:AOS) – Stock analysts at Zacks Research lifted their Q3 2026 earnings estimates for A. O. Smith in a research report issued to clients and investors on Tuesday, November 18th. Zacks Research analyst Team now anticipates that the industrial products company will earn $0.97 per share for the quarter, up from their prior estimate of $0.93. The consensus estimate for A. O. Smith’s current full-year earnings is $3.76 per share.

A. O. Smith (NYSE:AOS) last released its earnings results on Tuesday, October 28th. The industrial products company reported $0.94 earnings per share for the quarter, topping analysts’ consensus estimates of $0.89 by $0.05. The business had revenue of $942.50 million for the quarter, compared to the consensus estimate of $946.33 million. A. O. Smith had a return on equity of 29.34% and a net margin of 13.85%.The firm’s revenue for the quarter was up 4.4% compared to the same quarter last year. During the same period last year, the business earned $0.82 earnings per share. A. O. Smith has set its FY 2025 guidance at 3.700-3.850 EPS.

AOS has been the topic of several other research reports. Citigroup lowered their price target on shares of A. O. Smith from $77.00 to $72.00 and set a “neutral” rating on the stock in a report on Wednesday, October 29th. Stifel Nicolaus set a $80.00 target price on shares of A. O. Smith and gave the company a “buy” rating in a research report on Wednesday, October 29th. Oppenheimer increased their price target on shares of A. O. Smith from $82.00 to $88.00 and gave the stock an “outperform” rating in a research report on Monday, July 28th. UBS Group restated a “neutral” rating and set a $76.00 price target (up previously from $74.00) on shares of A. O. Smith in a research note on Monday, July 28th. Finally, Weiss Ratings reissued a “hold (c+)” rating on shares of A. O. Smith in a report on Wednesday, October 8th. Two equities research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company. According to MarketBeat.com, A. O. Smith presently has a consensus rating of “Hold” and a consensus target price of $76.71.

A. O. Smith Stock Performance

AOS opened at $63.38 on Wednesday. The stock has a market cap of $8.83 billion, a PE ratio of 17.08, a P/E/G ratio of 1.43 and a beta of 1.30. A. O. Smith has a 1 year low of $58.83 and a 1 year high of $77.31. The stock’s 50 day simple moving average is $69.49 and its 200-day simple moving average is $68.99. The company has a current ratio of 1.54, a quick ratio of 1.03 and a debt-to-equity ratio of 0.09.

Hedge Funds Weigh In On A. O. Smith

Several institutional investors have recently bought and sold shares of AOS. Advisory Services Network LLC boosted its stake in A. O. Smith by 2.9% in the third quarter. Advisory Services Network LLC now owns 28,717 shares of the industrial products company’s stock worth $2,108,000 after purchasing an additional 822 shares in the last quarter. Morningstar Investment Management LLC bought a new position in shares of A. O. Smith in the third quarter valued at about $911,000. Parvin Asset Management LLC raised its holdings in shares of A. O. Smith by 1,104.8% in the third quarter. Parvin Asset Management LLC now owns 3,735 shares of the industrial products company’s stock valued at $274,000 after buying an additional 3,425 shares during the last quarter. Zurich Insurance Group Ltd FI acquired a new position in A. O. Smith during the 3rd quarter worth about $1,270,000. Finally, Voleon Capital Management LP grew its holdings in A. O. Smith by 192.3% during the 3rd quarter. Voleon Capital Management LP now owns 32,687 shares of the industrial products company’s stock worth $2,400,000 after acquiring an additional 21,505 shares during the last quarter. Institutional investors own 76.10% of the company’s stock.

A. O. Smith Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, November 17th. Stockholders of record on Friday, October 31st were paid a $0.36 dividend. This represents a $1.44 dividend on an annualized basis and a dividend yield of 2.3%. This is an increase from A. O. Smith’s previous quarterly dividend of $0.34. The ex-dividend date was Friday, October 31st. A. O. Smith’s dividend payout ratio is presently 38.81%.

About A. O. Smith

A. O. Smith Corporation manufactures and markets residential and commercial gas and electric water heaters, boilers, heat pumps, tanks, and water treatment products in North America, China, Europe, and India. The company offers water heaters for residences, restaurants, hotels, office buildings, laundries, car washes, and small businesses; boilers for hospitals, schools, hotels, and other large commercial buildings, as well as homes, apartments, and condominiums; and water treatment products comprising point-of-entry water softeners, well water solutions, and whole-home water filtration products, and point-of-use carbon and reverse osmosis products for residences, restaurants, hotels, and offices.