Zacks Research Forecasts Reduced Earnings for A. O. Smith

A. O. Smith Co. (NYSE:AOS - Free Report) - Research analysts at Zacks Research reduced their Q4 2025 EPS estimates for shares of A. O. Smith in a research note issued to investors on Tuesday, May 20th. Zacks Research analyst R. Department now anticipates that the industrial products company will earn $0.91 per share for the quarter, down from their previous estimate of $0.94. The consensus estimate for A. O. Smith's current full-year earnings is $3.76 per share. Zacks Research also issued estimates for A. O. Smith's Q3 2026 earnings at $0.93 EPS, Q4 2026 earnings at $1.00 EPS and Q1 2027 earnings at $1.08 EPS.

Several other research firms have also issued reports on AOS. Weiss Ratings restated a "hold (c)" rating on shares of A. O. Smith in a report on Saturday. UBS Group cut their price target on shares of A. O. Smith from $80.00 to $74.00 and set a "neutral" rating on the stock in a research report on Friday, January 31st. Stifel Nicolaus lifted their price objective on A. O. Smith from $75.00 to $78.00 and gave the stock a "buy" rating in a research report on Wednesday, April 30th. Wall Street Zen raised A. O. Smith from a "hold" rating to a "buy" rating in a research note on Friday, January 31st. Finally, Oppenheimer decreased their target price on A. O. Smith from $88.00 to $84.00 and set an "outperform" rating for the company in a research note on Friday, January 31st. Four research analysts have rated the stock with a hold rating and three have issued a buy rating to the company's stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Hold" and an average target price of $76.17.

A. O. Smith Trading Down 6.5%

Shares of AOS traded down $4.45 during mid-day trading on Friday, reaching $64.12. 1,603,116 shares of the company were exchanged, compared to its average volume of 1,179,649. The business has a 50 day simple moving average of $65.87 and a two-hundred day simple moving average of $68.20. The company has a debt-to-equity ratio of 0.10, a quick ratio of 0.96 and a current ratio of 1.55. The stock has a market capitalization of $9.11 billion, a PE ratio of 17.66, a PEG ratio of 1.46 and a beta of 1.28. A. O. Smith has a 52 week low of $58.83 and a 52 week high of $92.45.

A. O. Smith (NYSE:AOS - Get Free Report) last posted its quarterly earnings data on Tuesday, April 29th. The industrial products company reported $0.95 earnings per share for the quarter, beating analysts' consensus estimates of $0.90 by $0.05. The business had revenue of $963.90 million during the quarter, compared to the consensus estimate of $950.56 million. A. O. Smith had a return on equity of 28.87% and a net margin of 13.98%. A. O. Smith's quarterly revenue was down 1.5% on a year-over-year basis. During the same period in the prior year, the business posted $1.00 earnings per share.

Institutional Trading of A. O. Smith

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Vanguard Group Inc. boosted its holdings in A. O. Smith by 2.0% in the first quarter. Vanguard Group Inc. now owns 14,404,259 shares of the industrial products company's stock worth $941,462,000 after acquiring an additional 286,316 shares in the last quarter. Impax Asset Management Group plc grew its position in A. O. Smith by 67.3% in the 1st quarter. Impax Asset Management Group plc now owns 5,188,561 shares of the industrial products company's stock valued at $339,124,000 after purchasing an additional 2,086,433 shares during the period. Invesco Ltd. grew its position in A. O. Smith by 6.5% in the 1st quarter. Invesco Ltd. now owns 5,011,496 shares of the industrial products company's stock valued at $327,551,000 after purchasing an additional 307,201 shares during the period. Geode Capital Management LLC increased its stake in A. O. Smith by 3.1% during the 4th quarter. Geode Capital Management LLC now owns 3,698,517 shares of the industrial products company's stock valued at $251,751,000 after purchasing an additional 111,612 shares in the last quarter. Finally, First Trust Advisors LP raised its holdings in A. O. Smith by 19.0% during the fourth quarter. First Trust Advisors LP now owns 2,618,191 shares of the industrial products company's stock worth $178,587,000 after buying an additional 417,595 shares during the last quarter. 76.10% of the stock is owned by institutional investors.

A. O. Smith Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, May 15th. Stockholders of record on Wednesday, April 30th were given a dividend of $0.34 per share. The ex-dividend date of this dividend was Wednesday, April 30th. This represents a $1.36 dividend on an annualized basis and a dividend yield of 2.12%. A. O. Smith's dividend payout ratio (DPR) is presently 37.99%.

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.