Zacks Research Decreases Earnings Estimates for A. O. Smith

A. O. Smith Co. (NYSE:AOS) – Investment analysts at Zacks Research dropped their Q2 2025 earnings per share estimates for A. O. Smith in a research report issued to clients and investors on Thursday, April 3rd. Zacks Research analyst R. Department now forecasts that the industrial products company will post earnings per share of $0.97 for the quarter, down from their prior forecast of $0.98. 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 Q2 2026 earnings at $1.07 EPS and Q1 2027 earnings at $1.05 EPS.

A. O. Smith (NYSE:AOS) last issued its earnings results on Thursday, January 30th. The industrial products company reported $0.85 earnings per share for the quarter, missing the consensus estimate of $0.90 by ($0.05). A. O. Smith had a return on equity of 28.87% and a net margin of 13.98%.

Several other equities research analysts also recently weighed in on AOS. Oppenheimer decreased their price objective on A. O. Smith from $88.00 to $84.00 and set an “outperform” rating for the company in a report on Friday, January 31st. Citigroup dropped their price objective on shares of A. O. Smith from $78.00 to $73.00 and set a “neutral” rating on the stock in a research note on Monday, January 13th. Weiss Ratings reiterated a “hold (c)” rating on shares of A. O. Smith in a research note on Saturday, March 22nd. StockNews.com upgraded A. O. Smith from a “hold” rating to a “buy” rating in a research report on Friday, January 31st. Finally, Stifel Nicolaus reduced their price objective on A. O. Smith from $90.00 to $84.00 and set a “buy” rating for the company in a research note on Friday, January 31st. Five investment analysts have rated the stock with a hold rating and three have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus target price of $80.86.

A. O. Smith Stock Down 2.7 %

Shares of NYSE AOS opened at $61.92 on Friday. The business has a 50-day moving average price of $66.60 and a 200 day moving average price of $72.40. The stock has a market cap of $8.91 billion, a PE ratio of 17.06, a price-to-earnings-growth ratio of 1.46 and a beta of 1.26. The company has a quick ratio of 0.96, a current ratio of 1.55 and a debt-to-equity ratio of 0.10. A. O. Smith has a 52-week low of $61.89 and a 52-week high of $92.45.

Hedge Funds Weigh In On A. O. Smith

A number of institutional investors have recently made changes to their positions in the stock. Versant Capital Management Inc increased its position in A. O. Smith by 2,197.8% during the 1st quarter. Versant Capital Management Inc now owns 3,148 shares of the industrial products company’s stock worth $206,000 after purchasing an additional 3,011 shares in the last quarter. Confluence Investment Management LLC raised its position in shares of A. O. Smith by 25.2% in the first quarter. Confluence Investment Management LLC now owns 330,819 shares of the industrial products company’s stock valued at $21,622,000 after buying an additional 66,657 shares during the last quarter. MassMutual Private Wealth & Trust FSB lifted its stake in shares of A. O. Smith by 6.6% during the first quarter. MassMutual Private Wealth & Trust FSB now owns 227,366 shares of the industrial products company’s stock valued at $14,861,000 after buying an additional 14,114 shares during the period. Fairtree Asset Management Pty Ltd acquired a new stake in A. O. Smith during the fourth quarter worth approximately $515,000. Finally, Mattson Financial Services LLC purchased a new stake in A. O. Smith in the 4th quarter worth approximately $467,000. 76.10% of the stock is owned by institutional investors and hedge funds.

Insider Activity

In other A. O. Smith news, SVP Douglas Samuel Karge sold 419 shares of A. O. Smith stock in a transaction dated Friday, February 7th. The shares were sold at an average price of $65.65, for a total transaction of $27,507.35. Following the completion of the transaction, the senior vice president now owns 2,749 shares in the company, valued at approximately $180,471.85. The trade was a 13.23 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, VP Robert J. Heideman sold 1,026 shares of the firm’s stock in a transaction that occurred on Friday, February 7th. The stock was sold at an average price of $65.65, for a total transaction of $67,356.90. Following the transaction, the vice president now directly owns 8,889 shares of the company’s stock, valued at approximately $583,562.85. This trade represents a 10.35 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 0.76% of the company’s stock.

A. O. Smith Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Tuesday, February 18th. Shareholders of record on Friday, January 31st were issued a $0.34 dividend. The ex-dividend date of this dividend was Friday, January 31st. This represents a $1.36 dividend on an annualized basis and a yield of 2.20%. A. O. Smith’s dividend payout ratio (DPR) is presently 37.47%.

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.