Weiss Ratings Reiterates 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.

Weiss Ratings reissued their hold (c+) rating on shares of A. O. Smith (NYSE:AOS - Free Report) in a research note released on Saturday, September 13th,Weiss Ratings reports.

Several other research firms have also recently issued reports on AOS. Oppenheimer boosted their target price on A. O. Smith from $82.00 to $88.00 and gave the stock an "outperform" rating in a research report on Monday, July 28th. Robert W. Baird boosted their target price 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. UBS Group reiterated a "neutral" rating and set a $76.00 target price (up previously from $74.00) on shares of A. O. Smith in a research report on Monday, July 28th. Stifel Nicolaus boosted their target price on A. O. Smith from $78.00 to $81.00 and gave the stock a "buy" rating in a research report on Monday, July 21st. Finally, JPMorgan Chase & Co. began coverage on A. O. Smith in a research note on Tuesday, June 24th. They issued a "neutral" rating and a $70.00 price objective for the company. Two investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. Based on data from MarketBeat.com, A. O. Smith presently has a consensus rating of "Hold" and an average target price of $77.43.

A. O. Smith Stock Performance

AOS stock traded down $0.01 during trading on Friday, hitting $73.06. The company had a trading volume of 2,025,689 shares, compared to its average volume of 1,007,065. The firm has a market cap of $10.24 billion, a PE ratio of 20.35, a price-to-earnings-growth ratio of 1.59 and a beta of 1.25. A. O. Smith has a 1-year low of $58.83 and a 1-year high of $92.06. The firm has a 50-day moving average price of $71.66 and a 200-day moving average price of $67.90. The company has a quick ratio of 1.03, a current ratio of 1.65 and a debt-to-equity ratio of 0.15.

A. O. Smith (NYSE:AOS - Get Free Report) last issued its quarterly 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 return on equity of 28.42% and a net margin of 13.68%.The firm had revenue of $1.01 billion for the quarter, compared to analysts' expectations of $997.89 million. During the same quarter in the previous year, the firm posted $1.06 EPS. The firm'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. On average, analysts expect that A. O. Smith will post 3.76 earnings per share for the current year.

A. O. Smith Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Friday, August 15th. Shareholders of record on Thursday, July 31st were issued a dividend of $0.34 per share. This represents a $1.36 dividend on an annualized basis and a yield of 1.9%. The ex-dividend date was Thursday, July 31st. A. O. Smith's dividend payout ratio is 37.88%.

Insider Buying and Selling

In other A. O. Smith news, Chairman Kevin J. Wheeler sold 22,200 shares of the stock in a transaction on 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 position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Company insiders own 0.76% of the company's stock.

Institutional Investors Weigh In On A. O. Smith

Large investors have recently bought and sold shares of the stock. Vermillion & White Wealth Management Group LLC acquired a new stake in A. O. Smith during the 1st quarter valued at $26,000. True Wealth Design LLC lifted its stake in shares of A. O. Smith by 44,400.0% during the 2nd quarter. True Wealth Design LLC now owns 445 shares of the industrial products company's stock worth $29,000 after purchasing an additional 444 shares during the period. TD Private Client Wealth LLC lifted its stake in shares of A. O. Smith by 143.7% during the 2nd quarter. TD Private Client Wealth LLC now owns 446 shares of the industrial products company's stock worth $29,000 after purchasing an additional 263 shares during the period. National Pension Service lifted its stake in shares of A. O. Smith by 74.8% during the 1st quarter. National Pension Service now owns 458 shares of the industrial products company's stock worth $30,000 after purchasing an additional 196 shares during the period. Finally, Loomis Sayles & Co. L P purchased a new position in shares of A. O. Smith during the 2nd quarter worth $30,000. Institutional investors and hedge funds own 76.10% of the company's stock.

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.