USS Investment Management Ltd Takes Position in A. O. Smith Corporation $AOS

Key Points

• USS Investment Management Ltd acquired 26,666 shares of A. O. Smith Corporation, valued at approximately $1,742,000, indicating a growing interest from institutional investors in the company.
• Analysts have set varying target prices for A. O. Smith, with a consensus target of $77.43, reflecting a mix of "buy," "hold," and "neutral" ratings.
• A. O. Smith recently declared a quarterly dividend of $0.34 per share, representing an annual yield of 1.8% and showcasing the company's commitment to returning value to shareholders.

USS Investment Management Ltd purchased a new position in A. O. Smith Corporation (NYSE:AOS - Free Report) during the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor purchased 26,666 shares of the industrial products company's stock, valued at approximately $1,742,000.

Other large investors have also recently modified their holdings of the company. UniSuper Management Pty Ltd raised its position in A. O. Smith by 8.1% during the 1st quarter. UniSuper Management Pty Ltd now owns 26,827 shares of the industrial products company's stock worth $1,753,000 after buying an additional 2,018 shares during the last quarter. Scientech Research LLC acquired a new stake in shares of A. O. Smith in the first quarter valued at about $990,000. Paradoxiom Capital L.P. grew its holdings in A. O. Smith by 42.9% in the 1st quarter. Paradoxiom Capital L.P. now owns 108,191 shares of the industrial products company's stock valued at $7,071,000 after buying an additional 32,490 shares in the last quarter. Alyeska Investment Group L.P. acquired a new stake in shares of A. O. Smith during the 1st quarter worth about $26,211,000. Finally, Amundi boosted its position in shares of A. O. Smith by 9.4% during the first quarter. Amundi now owns 1,872,658 shares of the industrial products company's stock worth $121,240,000 after buying an additional 160,522 shares during the period. Hedge funds and other institutional investors own 76.10% of the company's stock.

A. O. Smith Price Performance

NYSE AOS traded up $1.89 on Thursday, reaching $74.38. The company's stock had a trading volume of 1,673,138 shares, compared to its average volume of 991,240. The stock has a market cap of $10.42 billion, a PE ratio of 20.72, a PEG ratio of 1.58 and a beta of 1.25. A. O. Smith Corporation has a twelve month low of $58.83 and a twelve month high of $92.06. The company has a debt-to-equity ratio of 0.15, a quick ratio of 1.03 and a current ratio of 1.65. The firm's 50 day moving average is $71.16 and its two-hundred day moving average is $67.61.

A. O. Smith (NYSE:AOS - Get Free Report) last issued its quarterly earnings data on Thursday, July 24th. The industrial products company reported $1.07 earnings per share for the quarter, beating the consensus estimate of $0.97 by $0.10. The firm had revenue of $1.01 billion for the quarter, compared to analyst estimates of $997.89 million. A. O. Smith had a net margin of 13.68% and a return on equity of 28.42%. The company's revenue for the quarter was down 1.3% on a year-over-year basis. During the same quarter last year, the firm earned $1.06 earnings per share. A. O. Smith has set its FY 2025 guidance at 3.700-3.900 EPS. As a group, sell-side analysts predict that A. O. Smith Corporation will post 3.76 EPS for the current year.

A. O. Smith Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, August 15th. Stockholders of record on Thursday, July 31st were given a $0.34 dividend. The ex-dividend date of this dividend was Thursday, July 31st. This represents a $1.36 annualized dividend and a dividend yield of 1.8%. A. O. Smith's dividend payout ratio is presently 37.88%.

Insider Activity

In related news, Chairman Kevin J. Wheeler sold 22,200 shares of A. O. Smith stock in a transaction that occurred on Wednesday, July 30th. The shares were sold at an average price of $71.26, for a total value of $1,581,972.00. Following the transaction, the chairman directly owned 100,647 shares of the company's stock, valued at $7,172,105.22. This trade represents a 18.07% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. 0.76% of the stock is currently owned by insiders.

Analyst Upgrades and Downgrades

A number of research analysts have recently commented on AOS shares. Robert W. Baird increased their price objective on A. O. Smith from $76.00 to $82.00 and gave the company a "neutral" rating in a report on Friday, July 25th. JPMorgan Chase & Co. started coverage on A. O. Smith in a report on Tuesday, June 24th. They set a "neutral" rating and a $70.00 price target for the company. Weiss Ratings reaffirmed a "hold (c)" rating on shares of A. O. Smith in a report on Saturday, August 30th. UBS Group reaffirmed a "neutral" rating and issued a $76.00 price target (up previously from $74.00) on shares of A. O. Smith in a report on Monday, July 28th. Finally, Wall Street Zen upgraded A. O. Smith from a "hold" rating to a "buy" rating in a research note on Friday, August 22nd. Two equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus target price of $77.43.

A. O. Smith Profile

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.