FY2027 EPS Estimates for A. O. Smith Cut by Zacks Research

A. O. Smith Corporation (NYSE:AOS) – Equities research analysts at Zacks Research lowered their FY2027 EPS estimates for A. O. Smith in a research note issued to investors on Monday, June 29th. Zacks Research analyst Team now forecasts that the industrial products company will post earnings per share of $4.11 for the year, down from their previous forecast of $4.12. Zacks Research has a “Strong Sell” rating on the stock. The consensus estimate for A. O. Smith’s current full-year earnings is $3.77 per share. Zacks Research also issued estimates for A. O. Smith’s FY2028 earnings at $4.59 EPS.

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

A number of other equities research analysts also recently weighed in on the company. Weiss Ratings cut shares of A. O. Smith from a “hold (c)” rating to a “hold (c-)” rating in a research report on Wednesday, May 27th. JPMorgan Chase & Co. reaffirmed an “underweight” rating and set a $60.00 price target (down from $65.00) on shares of A. O. Smith in a research report on Friday, May 15th. Stifel Nicolaus set a $75.00 price objective on shares of A. O. Smith in a research note on Friday, May 1st. DA Davidson set a $67.00 price objective on shares of A. O. Smith and gave the company a “neutral” rating in a report on Monday, May 4th. Finally, Citigroup cut their price objective on shares of A. O. Smith from $74.00 to $65.00 and set a “neutral” rating for the company in a report on Monday, May 4th. Two investment analysts have rated the stock with a Buy rating, six have given a Hold rating and three have issued a Sell rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Reduce” and an average target price of $69.33.

A. O. Smith Stock Performance

AOS opened at $61.64 on Tuesday. 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 fifty day simple moving average of $59.47 and a 200 day simple moving average of $66.63. A. O. Smith has a 1 year low of $54.16 and a 1 year high of $81.86. The company has a market capitalization of $8.50 billion, a PE ratio of 16.39, a price-to-earnings-growth ratio of 1.36 and a beta of 1.18.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. Vanguard Group Inc. grew its holdings in shares of 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 valued at $1,009,622,000 after purchasing an additional 683,176 shares during the last quarter. State Street Corp lifted its stake in A. O. Smith by 8.4% in the 4th quarter. State Street Corp now owns 5,911,495 shares of the industrial products company’s stock valued at $395,361,000 after purchasing an additional 458,257 shares during the last quarter. Invesco Ltd. boosted its position in A. O. Smith by 0.8% in the fourth quarter. Invesco Ltd. now owns 4,559,612 shares of the industrial products company’s stock valued at $304,947,000 after buying an additional 37,621 shares in the last quarter. Morgan Stanley boosted its position in A. O. Smith by 3.6% in the fourth quarter. Morgan Stanley now owns 2,909,395 shares of the industrial products company’s stock valued at $194,581,000 after buying an additional 101,453 shares in the last quarter. Finally, First Trust Advisors LP grew its stake in shares of A. O. Smith by 4.6% during the third quarter. First Trust Advisors LP now owns 2,508,947 shares of the industrial products company’s stock worth $184,182,000 after buying an additional 109,654 shares during the last quarter. Institutional investors own 76.10% of the company’s stock.

A. O. Smith Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, May 15th. Shareholders of record on Thursday, April 30th were given a $0.36 dividend. This represents a $1.44 dividend on an annualized basis and a yield of 2.3%. The ex-dividend date was Thursday, April 30th. A. O. Smith’s payout ratio is currently 38.30%.

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.