Edgestream Partners L.P. Raises Holdings in A. O. Smith Corporation $AOS

Edgestream Partners L.P. lifted its holdings in A. O. Smith Corporation (NYSE:AOS) by 473.5% during the first quarter, Holdings Channel reports. The institutional investor owned 71,236 shares of the industrial products company’s stock after purchasing an additional 58,814 shares during the quarter. Edgestream Partners L.P.’s holdings in A. O. Smith were worth $4,697,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors also recently bought and sold shares of the company. Parvin Asset Management LLC boosted its position in shares of A. O. Smith by 3.0% during the 1st quarter. Parvin Asset Management LLC now owns 14,920 shares of the industrial products company’s stock worth $984,000 after purchasing an additional 430 shares in the last quarter. Empire Financial Management Company LLC increased its holdings in A. O. Smith by 6.0% in the first quarter. Empire Financial Management Company LLC now owns 23,690 shares of the industrial products company’s stock valued at $1,562,000 after buying an additional 1,342 shares in the last quarter. California State Teachers Retirement System lifted its position in shares of A. O. Smith by 27.2% during the 1st quarter. California State Teachers Retirement System now owns 136,319 shares of the industrial products company’s stock valued at $8,989,000 after acquiring an additional 29,112 shares during the period. Empowered Funds LLC lifted its position in shares of A. O. Smith by 68.3% during the 1st quarter. Empowered Funds LLC now owns 31,073 shares of the industrial products company’s stock valued at $2,049,000 after acquiring an additional 12,612 shares during the period. Finally, Quantinno Capital Management LP boosted its stake in shares of A. O. Smith by 70.6% during the 1st quarter. Quantinno Capital Management LP now owns 910,117 shares of the industrial products company’s stock worth $60,013,000 after acquiring an additional 376,684 shares in the last quarter. Institutional investors and hedge funds own 76.10% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently weighed in on the company. Robert W. Baird set a $70.00 price target on A. O. Smith in a report on Friday, May 1st. Citigroup reduced their price objective on A. O. Smith from $65.00 to $64.00 and set a “neutral” rating for the company in a report on Friday. Weiss Ratings downgraded A. O. Smith from a “hold (c)” rating to a “hold (c-)” rating in a research report on Wednesday, May 27th. JPMorgan Chase & Co. reissued an “underweight” rating and issued a $60.00 target price (down from $65.00) on shares of A. O. Smith in a report on Friday, May 15th. Finally, Stifel Nicolaus cut their price target on A. O. Smith from $76.00 to $70.00 and set a “buy” rating for the company in a research note on Friday. Two analysts have rated the stock with a Buy rating, four have issued a Hold rating and three have given a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Reduce” and a consensus target price of $67.75.

A. O. Smith Trading Up 0.8%

NYSE AOS opened at $60.31 on Friday. The company has a market cap of $8.31 billion, a P/E ratio of 16.75, a P/E/G ratio of 1.33 and a beta of 1.16. A. O. Smith Corporation has a 12 month low of $54.16 and a 12 month high of $81.86. The company has a debt-to-equity ratio of 0.32, a current ratio of 1.59 and a quick ratio of 1.00. The company has a 50-day moving average of $59.56 and a 200-day moving average of $65.39.

A. O. Smith (NYSE:AOS) last released its earnings results on Thursday, July 30th. The industrial products company reported $1.03 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.96 by $0.07. A. O. Smith had a net margin of 13.15% and a return on equity of 27.88%. The business had revenue of $1 billion for the quarter, compared to analysts’ expectations of $994.89 million. During the same period last year, the company earned $1.07 earnings per share. The company’s quarterly revenue was down .7% on a year-over-year basis. A. O. Smith has set its FY 2026 guidance at 3.700-3.850 EPS. As a group, equities analysts predict that A. O. Smith Corporation will post 3.74 earnings per share for the current year.

A. O. Smith Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Monday, August 17th. Shareholders of record on Friday, July 31st will be issued a $0.36 dividend. This represents a $1.44 dividend on an annualized basis and a dividend yield of 2.4%. The ex-dividend date is Friday, July 31st. A. O. Smith’s dividend payout ratio (DPR) is 38.30%.

A. O. Smith News Summary

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

• Positive Sentiment: Second-quarter results exceeded expectations. A. O. Smith reported adjusted EPS of $1.03, above the $0.96 consensus estimate, while sales of approximately $1.0 billion also topped forecasts. North America sales rose 5% to $820.5 million, supported by the Leonard Valve acquisition, 21% boiler sales growth and pricing actions. A. O. Smith Reports Second Quarter 2026 Results
• Positive Sentiment: Cash generation and shareholder returns improved. Year-to-date operating cash flow increased 42% to $254 million, free cash flow climbed 67% to $233 million, and the company raised its 2026 share-repurchase target to $300 million. A. O. Smith also declared a quarterly dividend of $0.36 per share. A. O. Smith Q2 Sales Report
• Neutral Sentiment: Full-year guidance remains broadly in line with expectations. Management reiterated adjusted EPS guidance of $3.70 to $3.85 and sales growth of 2% to 3%; the midpoint is close to the analyst consensus. The company’s earnings beat and boiler momentum provide support, but the outlook does not represent a major upward revision. A. O. Smith Q2 Earnings and Revenues Top Estimates
• Negative Sentiment: International weakness and costs remain concerns. Rest of World sales fell 19%, primarily because of continued weakness in China’s consumer-appliance market. Quarterly revenue declined slightly year over year, adjusted EPS was below the prior-year result, and higher input costs pressured profitability. A. O. Smith Q2 Earnings Beat Estimates
• Negative Sentiment: Analysts lowered their valuation targets. Citigroup cut its target to $64 from $65 and kept a neutral rating, while Stifel reduced its target to $70 from $76 but maintained a buy rating. The reductions may limit upside sentiment despite both targets remaining above the recent trading level. Analyst Price Target Changes

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.