Citigroup Issues Positive Forecast for A. O. Smith (NYSE:AOS) Stock Price

A. O. Smith (NYSE:AOS) had its price objective upped by Citigroup from $64.00 to $67.00 in a research report report published on Friday morning,Benzinga reports. Citigroup currently has a neutral rating on the industrial products company’s stock.

AOS has been the topic of several other reports. Longbow Research lowered shares of A. O. Smith from a “buy” rating to a “neutral” rating in a report on Monday, October 19th. Stifel Nicolaus set a $59.00 price target on shares of A. O. Smith and gave the company a “hold” rating in a research report on Sunday, October 18th. Zacks Research raised shares of A. O. Smith from a “strong sell” rating to a “hold” rating in a research report on Monday, August 10th. The Goldman Sachs Group reiterated a “sell” rating and issued a $58.00 price objective on shares of A. O. Smith in a report on Friday. Finally, Weiss Ratings raised A. O. Smith from a “hold (c-)” rating to a “hold (c)” rating in a research note on Monday. One equities research analyst has rated the stock with a Buy rating, seven have issued a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, A. O. Smith presently has an average rating of “Reduce” and an average price target of $66.00.

A. O. Smith Stock Performance

Shares of A. O. Smith stock opened at $63.10 on Friday. The business’s 50 day moving average price is $58.97 and its 200 day moving average price is $63.55. The company has a market cap of $8.58 billion, a price-to-earnings ratio of 17.58, a PEG ratio of 1.52 and a beta of 1.12. The company has a debt-to-equity ratio of 0.35, a quick ratio of 1.04 and a current ratio of 1.64. A. O. Smith has a one year low of $54.16 and a one year high of $81.86.

A. O. Smith (NYSE:AOS) last issued its earnings results on Thursday, October 29th. The industrial products company reported $0.93 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.90 by $0.03. A. O. Smith had a return on equity of 27.66% and a net margin of 13.01%. The company had revenue of $940.50 million during the quarter, compared to analysts’ expectations of $960.20 million. During the same period in the prior year, the business earned $0.94 EPS. The firm’s quarterly revenue was down .2% on a year-over-year basis. On average, research analysts predict that A. O. Smith will post 3.47 EPS for the current year.

A. O. Smith Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, November 16th. Shareholders of record on Friday, October 30th will be given a dividend of $0.38 per share. This is a boost from A. O. Smith’s previous quarterly dividend of $0.36. This represents a $1.52 dividend on an annualized basis and a dividend yield of 2.4%. The ex-dividend date is Friday, October 30th. A. O. Smith’s dividend payout ratio (DPR) is 40.00%.

Hedge Funds Weigh In On A. O. Smith

Several large investors have recently made changes to their positions in AOS. Wedbush Securities Inc. boosted its holdings in A. O. Smith by 2.4% during the 3rd quarter. Wedbush Securities Inc. now owns 12,705 shares of the industrial products company’s stock valued at $716,000 after acquiring an additional 297 shares during the period. Nisa Investment Advisors LLC lifted its position in shares of A. O. Smith by 118.2% during the third quarter. Nisa Investment Advisors LLC now owns 29,200 shares of the industrial products company’s stock worth $1,646,000 after purchasing an additional 15,818 shares in the last quarter. Willis Investment Counsel lifted its position in shares of A. O. Smith by 6.2% during the third quarter. Willis Investment Counsel now owns 80,989 shares of the industrial products company’s stock worth $4,565,000 after purchasing an additional 4,763 shares in the last quarter. V Square Quantitative Management LLC boosted its stake in shares of A. O. Smith by 15.7% in the third quarter. V Square Quantitative Management LLC now owns 6,499 shares of the industrial products company’s stock valued at $366,000 after purchasing an additional 881 shares during the period. Finally, Versant Capital Management Inc boosted its stake in shares of A. O. Smith by 23.5% in the third quarter. Versant Capital Management Inc now owns 3,142 shares of the industrial products company’s stock valued at $164,000 after purchasing an additional 597 shares during the period. 76.10% of the stock is currently owned by institutional investors and hedge funds.

Key A. O. Smith News

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

• Positive Sentiment: North America sales increased 3% to $761.6 million, supported by the Leonard Valve acquisition, 13% boiler-sales growth and pricing actions. Free cash flow also rose 4% to $396 million year to date. A. O. Smith Reports Third Quarter 2026 Results
• Positive Sentiment: The earnings beat, favorable boiler demand and pricing benefits provide evidence that A. O. Smith is generating resilience in its core North American operations. AOS Q3 Earnings Beat Estimates
• Neutral Sentiment: Goldman Sachs raised its price target to $58 from $55, signaling improved expectations, although the new target remains below the stock’s recent trading level. Goldman Sachs Adjusts Price Target
• Negative Sentiment: Rest-of-world sales dropped 7% because of ongoing weakness in China’s consumer-appliance market. A. O. Smith will sell an 81% stake in its China business while retaining 19%, and 2026 guidance was revised to exclude China, adding uncertainty around comparisons and future growth.
• Negative Sentiment: Residential water-heater volumes remained weak, while the company expects approximately $20 million in North American water-treatment restructuring and impairment costs. Full-year 2026 adjusted EPS guidance, excluding China and those costs, is $3.42–$3.52. A. O. Smith Updates 2026 Guidance

About A. O. Smith

A. O. Smith Corporation is a manufacturer of water heating and water treatment products for residential, commercial and industrial customers. Its portfolio includes gas and electric storage water heaters, tankless water heaters, boilers, heat pump water heaters, water filtration systems, water softeners and reverse-osmosis products.

The company markets products under the A. O. Smith brand and other regional brands, serving applications ranging from homes and apartments to hotels, hospitals, schools, manufacturing facilities and other commercial properties.