Caxton Associates LLP Acquires New Holdings in A. O. Smith Corporation $AOS

Key Points

• Caxton Associates LLP invested approximately $3.10 million in A. O. Smith Corporation by purchasing 47,442 shares in the first quarter of the year.
• A. O. Smith's quarterly earnings exceeded estimates, reporting an EPS of $1.07, surpassing the consensus estimate of $0.97.
• The company recently declared a quarterly dividend of $0.34 per share, representing an annualized dividend of $1.36 and a yield of 1.8%.

Caxton Associates LLP bought a new stake in A. O. Smith Corporation (NYSE:AOS - Free Report) in the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor bought 47,442 shares of the industrial products company's stock, valued at approximately $3,101,000.

A number of other institutional investors and hedge funds have also recently bought and sold shares of AOS. Impax Asset Management Group plc increased its position in shares of A. O. Smith by 67.3% during the first quarter. Impax Asset Management Group plc now owns 5,188,561 shares of the industrial products company's stock worth $339,124,000 after purchasing an additional 2,086,433 shares in the last quarter. American Century Companies Inc. increased its position in A. O. Smith by 998.6% during the first quarter. American Century Companies Inc. now owns 1,348,247 shares of the industrial products company's stock worth $88,121,000 after buying an additional 1,225,521 shares during the period. Sarasin & Partners LLP purchased a new stake in A. O. Smith in the first quarter valued at approximately $74,180,000. Voloridge Investment Management LLC boosted its holdings in shares of A. O. Smith by 242.8% in the fourth quarter. Voloridge Investment Management LLC now owns 627,282 shares of the industrial products company's stock valued at $42,787,000 after acquiring an additional 444,307 shares during the period. Finally, Dimensional Fund Advisors LP boosted its holdings in shares of A. O. Smith by 35.6% in the first quarter. Dimensional Fund Advisors LP now owns 1,670,567 shares of the industrial products company's stock valued at $109,187,000 after acquiring an additional 438,291 shares during the period. 76.10% of the stock is owned by hedge funds and other institutional investors.

A. O. Smith Stock Performance

AOS traded up $1.89 during trading on Thursday, reaching $74.38. The company's stock had a trading volume of 1,673,138 shares, compared to its average volume of 1,510,679. 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 company's fifty day moving average price is $71.03 and its 200-day moving average price is $67.56. A. O. Smith Corporation has a 52-week low of $58.83 and a 52-week high of $92.06. The company has a market capitalization of $10.42 billion, a price-to-earnings ratio of 20.72, a price-to-earnings-growth ratio of 1.57 and a beta of 1.25.

A. O. Smith (NYSE:AOS - Get Free Report) last posted its quarterly earnings results on Thursday, July 24th. The industrial products company reported $1.07 EPS for the quarter, beating the consensus estimate of $0.97 by $0.10. A. O. Smith had a return on equity of 28.42% and a net margin of 13.68%.The business had revenue of $1.01 billion during the quarter, compared to analysts' expectations of $997.89 million. During the same period last year, the firm earned $1.06 EPS. The company's quarterly revenue was down 1.3% compared to the same quarter last year. A. O. Smith has set its FY 2025 guidance at 3.700-3.900 EPS. On average, equities analysts forecast that A. O. Smith Corporation will post 3.76 earnings per share for the current fiscal year.

A. O. Smith Dividend Announcement

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

Analyst Ratings Changes

Several analysts recently commented on AOS shares. UBS Group reiterated a "neutral" rating and issued a $76.00 price target (up previously from $74.00) on shares of A. O. Smith in a research report on Monday, July 28th. Oppenheimer raised their price target on A. O. Smith from $82.00 to $88.00 and gave the stock an "outperform" rating in a report on Monday, July 28th. Wall Street Zen raised A. O. Smith from a "hold" rating to a "buy" rating in a research note on Friday, August 22nd. Robert W. Baird lifted their target price on A. O. Smith from $76.00 to $82.00 and gave the company a "neutral" rating in a research note on Friday, July 25th. Finally, JPMorgan Chase & Co. initiated coverage on A. O. Smith in a research note on Tuesday, June 24th. They issued a "neutral" rating and a $70.00 target price on the stock. Two investment analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company's stock. Based on data from MarketBeat, the stock has an average rating of "Hold" and a consensus price target of $77.43.

Insider Buying and Selling at A. O. Smith

In related news, Chairman Kevin J. Wheeler sold 22,200 shares of the firm's stock in a transaction that occurred on Wednesday, July 30th. The stock was sold at an average price of $71.26, for a total value of $1,581,972.00. Following the completion of 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 position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. 0.76% of the stock is currently owned by corporate insiders.

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.