Q3 EPS Estimates for A. O. Smith Increased by Zacks Research

A. O. Smith Corporation (NYSE:AOS) – Investment analysts at Zacks Research upped their Q3 2027 earnings per share (EPS) estimates for shares of A. O. Smith in a report issued on Monday, June 8th. Zacks Research analyst Team now expects that the industrial products company will post earnings of $1.05 per share for the quarter, up from their prior estimate of $1.04. Zacks Research currently has a “Strong Sell” rating on the stock. The consensus estimate for A. O. Smith’s current full-year earnings is $3.78 per share. Zacks Research also issued estimates for A. O. Smith’s Q4 2027 earnings at $1.02 EPS.

A number of other research analysts have also issued reports on the company. Wall Street Zen lowered A. O. Smith from a “buy” rating to a “hold” rating in a research report on Saturday, February 14th. JPMorgan Chase & Co. restated an “underweight” rating and set a $60.00 price objective (down from $65.00) on shares of A. O. Smith in a research report on Friday, May 15th. DA Davidson set a $67.00 price objective on A. O. Smith and gave the company a “neutral” rating in a research report on Monday, May 4th. The Goldman Sachs Group reduced their price objective on A. O. Smith from $69.00 to $61.00 and set a “sell” rating for the company in a research report on Monday, April 13th. Finally, Oppenheimer restated an “outperform” rating and set a $80.00 price objective on shares of A. O. Smith in a research report on Friday, May 1st. Two equities research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Reduce” and a consensus price target of $69.89.

A. O. Smith Trading Up 3.3%

NYSE:AOS opened at $59.22 on Wednesday. A. O. Smith has a 12-month low of $54.16 and a 12-month high of $81.86. The firm has a market capitalization of $8.16 billion, a P/E ratio of 15.75, a P/E/G ratio of 1.26 and a beta of 1.18. The company has a debt-to-equity ratio of 0.31, a current ratio of 1.56 and a quick ratio of 1.00. The business has a 50 day simple moving average of $61.11 and a 200 day simple moving average of $67.29.

A. O. Smith (NYSE:AOS) last issued its quarterly earnings results on Thursday, April 30th. The industrial products company reported $0.85 earnings per share for the quarter, missing analysts’ consensus estimates of $0.94 by ($0.09). A. O. Smith had a net margin of 13.84% and a return on equity of 28.42%. The firm had revenue of $945.60 million during the quarter, compared to the consensus estimate of $974.06 million. During the same quarter last year, the firm posted $0.95 earnings per share. A. O. Smith’s revenue was down 1.9% compared to the same quarter last year. A. O. Smith has set its FY 2026 guidance at 3.600-3.900 EPS.

A. O. Smith Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, May 15th. Shareholders of record on Thursday, April 30th were given a dividend of $0.36 per share. This represents a $1.44 dividend on an annualized basis and a yield of 2.4%. The ex-dividend date was Thursday, April 30th. A. O. Smith’s payout ratio is 38.30%.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in the business. Vanguard Group Inc. boosted its position in A. O. Smith by 4.7% during the 4th quarter. Vanguard Group Inc. now owns 15,096,018 shares of the industrial products company’s stock worth $1,009,622,000 after acquiring an additional 683,176 shares during the period. State Street Corp boosted its position in A. O. Smith by 8.4% during the 4th quarter. State Street Corp now owns 5,911,495 shares of the industrial products company’s stock worth $395,361,000 after acquiring an additional 458,257 shares during the period. Impax Asset Management Group plc boosted its position in 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 worth $356,050,000 after acquiring an additional 157,856 shares during the period. Invesco Ltd. boosted its position in A. O. Smith by 0.8% during the 4th quarter. Invesco Ltd. now owns 4,559,612 shares of the industrial products company’s stock worth $304,947,000 after acquiring an additional 37,621 shares during the period. Finally, American Century Companies Inc. boosted its position in A. O. Smith by 54.2% during the 3rd quarter. American Century Companies Inc. now owns 3,208,831 shares of the industrial products company’s stock worth $235,560,000 after acquiring an additional 1,128,543 shares during the period. Institutional investors and hedge funds own 76.10% of the company’s stock.

Trending Headlines about A. O. Smith

Here are the key news stories impacting A. O. Smith this week:

• Positive Sentiment: GuruFocus highlighted A. O. Smith as still undervalued, with a GF Score of 84/100, which can support investor interest in the shares. A.O. Smith Corp (AOS) Stock Up 3.3% and Still Undervalued — GF Score: 84/100
• Neutral Sentiment: Zacks Research nudged up its Q3 2027 EPS estimate to $1.05 from $1.04 and Q4 2027 EPS to $1.02 from $1.01, showing a slightly better longer-term outlook, though the firm still rates the stock Strong Sell.
• Neutral Sentiment: Zacks also trimmed several near-term EPS forecasts for A. O. Smith, including FY2026 to $3.76 from $3.79, Q2 2026 to $1.00 from $1.01, Q4 2026 to $0.95 from $0.96, and Q1 2027 to $0.97 from $0.98, which suggests some pressure on earnings expectations but only by small amounts.
• Neutral Sentiment: A. O. Smith was added to Zacks Research’s Strong Sell list, reinforcing a cautious analyst stance even as some forward estimates moved slightly higher. New Strong Sell Stocks for June 10th

About A. O. Smith

A. O. Smith Corporation, based in Milwaukee, Wisconsin, is a leading manufacturer of water heating and water treatment products for residential and commercial applications. Since its founding in 1874, the company has built a reputation for producing reliable, energy-efficient water heaters, boilers and pressure vessels. Its product portfolio encompasses gas, electric, condensing and tankless water heaters, as well as specialty boilers designed to meet a variety of building and industrial needs.

The company operates through two primary segments: North America and Asia.