Zacks Research Boosts Earnings Estimates for A. O. Smith

A. O. Smith Corporation (NYSE:AOS) – Analysts at Zacks Research increased their Q3 2026 earnings estimates for shares of A. O. Smith in a note issued to investors on Tuesday, November 18th. Zacks Research analyst Team now forecasts that the industrial products company will post earnings of $0.97 per share for the quarter, up from their previous forecast of $0.93. The consensus estimate for A. O. Smith’s current full-year earnings is $3.76 per share.

Several other equities research analysts have also recently commented on the stock. Weiss Ratings reiterated a “hold (c+)” rating on shares of A. O. Smith in a research report on Wednesday, October 8th. Wall Street Zen raised shares of A. O. Smith from a “hold” rating to a “buy” rating in a report on Saturday, October 18th. 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 set a $80.00 price target on A. O. Smith and gave the stock a “buy” rating in a research report on Wednesday, October 29th. Finally, Robert W. Baird set a $76.00 price objective on A. O. Smith in a research note on Wednesday, October 29th. Two research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus target price of $76.71.

A. O. Smith Price Performance

Shares of AOS stock opened at $63.21 on Wednesday. The firm has a market cap of $8.80 billion, a price-to-earnings ratio of 17.04, a PEG ratio of 1.43 and a beta of 1.30. A. O. Smith has a 12 month low of $58.83 and a 12 month high of $77.31. The company has a quick ratio of 1.03, a current ratio of 1.54 and a debt-to-equity ratio of 0.09. The stock has a 50-day moving average price of $69.09 and a 200 day moving average price of $68.92.

A. O. Smith (NYSE:AOS) last released its earnings results on Tuesday, October 28th. The industrial products company reported $0.94 earnings per share for the quarter, topping analysts’ consensus estimates of $0.89 by $0.05. A. O. Smith had a return on equity of 29.34% and a net margin of 13.85%.The company had revenue of $942.50 million during the quarter, compared to the consensus estimate of $946.33 million. During the same quarter in the previous year, the company posted $0.82 earnings per share. The firm’s quarterly revenue was up 4.4% on a year-over-year basis. A. O. Smith has set its FY 2025 guidance at 3.700-3.850 EPS.

A. O. Smith Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, November 17th. Stockholders of record on Friday, October 31st were given a dividend of $0.36 per share. This is a positive change from A. O. Smith’s previous quarterly dividend of $0.34. This represents a $1.44 dividend on an annualized basis and a dividend yield of 2.3%. The ex-dividend date of this dividend was Friday, October 31st. A. O. Smith’s payout ratio is 38.81%.

Institutional Trading of A. O. Smith

Several hedge funds have recently added to or reduced their stakes in AOS. Vanguard Group Inc. lifted its holdings in A. O. Smith by 1.3% during the third quarter. Vanguard Group Inc. now owns 14,412,842 shares of the industrial products company’s stock worth $1,058,047,000 after acquiring an additional 182,876 shares in the last quarter. Invesco Ltd. raised its position in shares of A. O. Smith by 6.5% during the first quarter. Invesco Ltd. now owns 5,011,496 shares of the industrial products company’s stock worth $327,551,000 after purchasing an additional 307,201 shares during the period. Impax Asset Management Group plc lifted its holdings in shares of A. O. Smith by 3.4% during the 3rd quarter. Impax Asset Management Group plc now owns 4,850,158 shares of the industrial products company’s stock valued at $356,050,000 after purchasing an additional 157,856 shares in the last quarter. American Century Companies Inc. grew its position in shares of A. O. Smith by 54.2% in the 3rd quarter. American Century Companies Inc. now owns 3,208,831 shares of the industrial products company’s stock valued at $235,560,000 after purchasing an additional 1,128,543 shares during the period. Finally, First Trust Advisors LP increased its stake in A. O. Smith by 4.6% during the 3rd quarter. First Trust Advisors LP now owns 2,508,947 shares of the industrial products company’s stock worth $184,182,000 after purchasing an additional 109,654 shares in the last quarter. Institutional investors and hedge funds own 76.10% of the company’s stock.

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.