Weiss Ratings Reaffirms Hold (C+) Rating for A. O. Smith (NYSE:AOS)

Key Points

• Weiss Ratings has reaffirmed a "Hold (C+)" rating for A. O. Smith (NYSE:AOS), while other analysts have given mixed ratings, including two "Buy" ratings and five "Hold" ratings overall.
• A. O. Smith reported earnings of $1.07 per share for the last quarter, surpassing analysts' expectations and projecting EPS guidance for FY 2025 between $3.700 and $3.900.
• Institutional ownership stands at 76.10%, with several hedge funds significantly increasing their stakes in the company during the first quarter.

A. O. Smith (NYSE:AOS - Get Free Report)'s stock had its "hold (c+)" rating restated by research analysts at Weiss Ratings in a note issued to investors on Saturday,Weiss Ratings reports.

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

A. O. Smith Price Performance

Shares of AOS stock opened at $73.32 on Friday. The firm has a market cap of $10.27 billion, a price-to-earnings ratio of 20.42, a PEG ratio of 1.58 and a beta of 1.25. A. O. Smith has a 12 month low of $58.83 and a 12 month high of $92.06. The company has a quick ratio of 1.03, a current ratio of 1.65 and a debt-to-equity ratio of 0.15. The stock has a 50-day moving average price of $71.36 and a 200 day moving average price of $67.72.

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

Insider Activity

In related news, Chairman Kevin J. Wheeler sold 22,200 shares of the company's stock in a transaction dated Wednesday, July 30th. The stock was sold at an average price of $71.26, for a total transaction of $1,581,972.00. Following the sale, the chairman owned 100,647 shares in the company, valued at approximately $7,172,105.22. This represents a 18.07% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Corporate insiders own 0.76% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the stock. Principal Financial Group Inc. raised its stake in shares of A. O. Smith by 9.7% during the 1st quarter. Principal Financial Group Inc. now owns 178,543 shares of the industrial products company's stock worth $11,670,000 after purchasing an additional 15,769 shares in the last quarter. Wealth Enhancement Advisory Services LLC increased its holdings in A. O. Smith by 41.6% during the first quarter. Wealth Enhancement Advisory Services LLC now owns 7,089 shares of the industrial products company's stock worth $463,000 after buying an additional 2,084 shares during the last quarter. Envestnet Asset Management Inc. raised its position in A. O. Smith by 75.8% during the first quarter. Envestnet Asset Management Inc. now owns 402,039 shares of the industrial products company's stock worth $26,277,000 after acquiring an additional 173,366 shares in the last quarter. Cambridge Investment Research Advisors Inc. lifted its stake in A. O. Smith by 18.3% in the first quarter. Cambridge Investment Research Advisors Inc. now owns 8,085 shares of the industrial products company's stock valued at $528,000 after acquiring an additional 1,251 shares during the last quarter. Finally, Allspring Global Investments Holdings LLC lifted its stake in A. O. Smith by 3.3% in the first quarter. Allspring Global Investments Holdings LLC now owns 5,532 shares of the industrial products company's stock valued at $363,000 after acquiring an additional 177 shares during the last quarter. 76.10% of the stock is currently owned by institutional investors.

A. O. Smith Company 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.