WealthPlan Investment Management LLC has increased its holdings in shares of A. O. Smith Corporation by 21.5% during the second quarter of 2023. According to the firm’s recent filing with the Securities and Exchange Commission, it now owns 44,918 shares of the industrial products company after acquiring an additional 7,942 shares during this period. The value of WealthPlan’s investment in A. O. Smith is approximately $2.95 million.
This acquisition is part of a broader trend among institutional investors. Boston Trust Walden Corp raised its position in A. O. Smith by 4.5%, bringing its total ownership to 822,774 shares, valued at $53.95 million. Similarly, Astoria Portfolio Advisors LLC and Sequoia Financial Advisors LLC have made new investments in A. O. Smith worth about $196,000 and $386,000, respectively. Vest Financial LLC increased its stake by 9.4%, now owning 896,860 shares worth around $58.81 million. Lastly, CWM LLC raised its holdings by 52.7%, now possessing 12,789 shares valued at $839,000. Currently, institutional investors and hedge funds own approximately 76.10% of A. O. Smith’s stock.
Recent Analyst Ratings and Stock Performance
A. O. Smith has attracted attention from several research analysts recently. Oppenheimer raised its price target for the stock from $82.00 to $88.00, assigning an “outperform” rating on July 28, 2023. Stifel Nicolaus also increased its target from $78.00 to $81.00, recommending a “buy” rating. Conversely, Wall Street Zen downgraded the stock from “buy” to “hold” in a report dated September 26, 2023. Overall, data from MarketBeat indicates that A. O. Smith holds a consensus rating of “Hold” with an average target price of $77.43.
As of October 25, 2023, A. O. Smith shares opened at $69.24. The company has a market capitalization of $9.70 billion, a price-to-earnings (P/E) ratio of 19.29, and a beta of 1.30. The stock’s performance over the last year has seen a low of $58.83 and a high of $81.92. Additionally, A. O. Smith reported a quarterly earnings per share (EPS) of $1.07 on July 24, 2023, surpassing the consensus estimate of $0.97.
Dividend Announcement and Insider Transactions
In a recent announcement, A. O. Smith declared a quarterly dividend of $0.36, set to be paid on November 17, 2023. Shareholders of record as of October 31, 2023, will receive this payment, reflecting an increase from the previous dividend of $0.34. The annualized dividend now totals $1.44, with a yield of 2.1% and a payout ratio of 40.11%.
In related news, Kevin J. Wheeler, Chairman of A. O. Smith, sold 22,200 shares on July 30, 2023, for approximately $1.58 million at an average price of $71.26. Following this transaction, Wheeler retains 100,647 shares valued at around $7.17 million, marking an 18.07% reduction in his ownership.
A. O. Smith Corporation, based in North America, manufactures and markets a range of residential and commercial water heating and treatment products. Its offerings include gas and electric water heaters, boilers, and water treatment solutions, catering to various sectors including residential, hospitality, and industrial.
This ongoing investment interest and recent financial performance underscore A. O. Smith’s position in the industrial market, as it continues to attract both institutional support and positive analyst ratings.
