A. O. Smith (NYSE:AOS) Issues FY 2026 Earnings Guidance

A. O. Smith (NYSE:AOS) updated its FY 2026 earnings guidance on Friday. The company provided earnings per share guidance of 3.850-4.150 for the period, compared to the consensus earnings per share estimate of 4.070. The company issued revenue guidance of $3.9 billion-$4.0 billion, compared to the consensus revenue estimate of $4.0 billion.

A. O. Smith Trading Up 5.2%

NYSE AOS opened at $73.12 on Friday. The business’s fifty day moving average is $68.66 and its 200-day moving average is $69.66. The company has a debt-to-equity ratio of 0.09, a current ratio of 1.54 and a quick ratio of 0.95. The stock has a market capitalization of $10.18 billion, a price-to-earnings ratio of 19.71, a PEG ratio of 1.41 and a beta of 1.35. A. O. Smith has a one year low of $58.83 and a one year high of $77.31.

A. O. Smith (NYSE:AOS) last announced its quarterly earnings data on Thursday, January 29th. The industrial products company reported $0.90 EPS for the quarter, topping the consensus estimate of $0.84 by $0.06. A. O. Smith had a net margin of 13.85% and a return on equity of 29.34%. The business had revenue of $912.50 million for the quarter, compared to analyst estimates of $928.97 million. During the same quarter in the previous year, the firm posted $0.85 earnings per share. The company’s revenue for the quarter was up .0% on a year-over-year basis. Equities research analysts predict that A. O. Smith will post 3.76 EPS for the current year.

A. O. Smith Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, February 17th. Shareholders of record on Friday, January 30th will be paid a $0.36 dividend. The ex-dividend date is Friday, January 30th. This represents a $1.44 annualized dividend and a dividend yield of 2.0%. A. O. Smith’s payout ratio is presently 38.81%.

Wall Street Analysts Forecast Growth

Several brokerages recently weighed in on AOS. Citigroup reissued a “neutral” rating on shares of A. O. Smith in a report on Friday. Weiss Ratings restated a “hold (c)” rating on shares of A. O. Smith in a research note on Wednesday, December 24th. Jefferies Financial Group set a $75.00 target price on shares of A. O. Smith and gave the company a “hold” rating in a report on Friday, January 9th. Stifel Nicolaus set a $80.00 price target on A. O. Smith and gave the stock a “buy” rating in a report on Wednesday, October 29th. Finally, DA Davidson reiterated a “neutral” rating and issued a $75.00 price target on shares of A. O. Smith in a research report on Thursday, November 13th. Two research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company’s stock. According to MarketBeat.com, A. O. Smith presently has an average rating of “Hold” and an average price target of $76.50.

Trending Headlines about A. O. Smith

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

• Positive Sentiment: Q4 EPS beat and margin improvement — AOS reported $0.90 EPS vs. $0.84 consensus, with operating margin gains that helped offset flat sales; earnings beat drove optimism about profitability. A.O. Smith (AOS) Q4 Earnings Beat
• Positive Sentiment: Strong cash flow and shareholder returns; acquisition adds scale — AOS reported record 2025 diluted EPS of $3.85, generated robust free cash flow (~$546M) and returned ~$597M to shareholders via dividends and buybacks; it also closed the Leonard Valve acquisition to expand its water‑management portfolio. A. O. Smith Reports Record 2025 EPS
• Neutral Sentiment: Market reaction and coverage — Several outlets note the stock is rising today as investors focus on the EPS beat and buyback/dividend activity; coverage provides context but not new fundamentals. Why is A O Smith (AOS) stock rocketing higher today?
• Neutral Sentiment: Full earnings materials available — Call transcript and slide deck published (useful for detail on channel trends, China, and margin outlook). A O Smith AOS Q4 2025 Earnings Call Transcript
• Negative Sentiment: FY‑2026 guidance slightly below consensus — Management set EPS guidance of $3.85–$4.15 versus a Street consensus ~$4.07, and revenue guidance of $3.9B–$4.0B versus ~$4.0B expected; the below‑consensus lower bound and conservative revenue range introduce downside risk to near‑term expectations. A.O. Smith tops Q4 earnings estimates, issues 2026 guidance
• Negative Sentiment: Revenue miss in Q4 — Quarterly sales $912.5M missed consensus (~$929M), reflecting flat year‑over‑year revenue and some regional weakness (notably China), which tempers the EPS beat. A O Smith (NYSE:AOS) misses Q4 CY2025 revenue estimates
• Negative Sentiment: Earnings beat offset by revenue/macro concerns — Analysts note the EPS upside was largely margin‑driven; ongoing demand variability across regions and conservative 2026 top‑line guidance could limit upside until growth visibility improves. A.O. Smith earnings beat offset by revenue miss

Institutional Trading of A. O. Smith

Large investors have recently modified their holdings of the business. Fiduciary Trust Co raised its stake in A. O. Smith by 5.0% in the third quarter. Fiduciary Trust Co now owns 4,072 shares of the industrial products company’s stock valued at $299,000 after purchasing an additional 193 shares in the last quarter. Larson Financial Group LLC increased its holdings in shares of A. O. Smith by 67.9% in the 3rd quarter. Larson Financial Group LLC now owns 487 shares of the industrial products company’s stock worth $36,000 after buying an additional 197 shares during the last quarter. Polymer Capital Management US LLC raised its position in shares of A. O. Smith by 7.8% during the 3rd quarter. Polymer Capital Management US LLC now owns 5,265 shares of the industrial products company’s stock valued at $387,000 after buying an additional 382 shares in the last quarter. Glenmede Investment Management LP lifted its holdings in shares of A. O. Smith by 11.3% during the 3rd quarter. Glenmede Investment Management LP now owns 4,075 shares of the industrial products company’s stock worth $299,000 after acquiring an additional 414 shares during the last quarter. Finally, EverSource Wealth Advisors LLC increased its stake in A. O. Smith by 78.0% in the second quarter. EverSource Wealth Advisors LLC now owns 963 shares of the industrial products company’s stock valued at $63,000 after acquiring an additional 422 shares during the last quarter. Institutional investors own 76.10% of the company’s stock.

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.