AOS:NYE-A. O. Smith Corporation (USD)

COMMON STOCK | Specialty Industrial Machinery | NYE

Last Closing Price

USD 71.13

Change

0.00 (0.00)%

Market Cap

USD 11.41B

Volume

0.85M

Average Target Price

USD 66.00 (-7.21%)
Average Analyst Rating

Verdict

Fundamental Analysis

Verdict

About

A. O. Smith Corporation manufactures and markets residential and commercial gas and electric water heaters, boilers, tanks, and water treatment products in North America, China, Europe, and India. It operates through two segments, North America and Rest of World. The company offers water heaters for residences, restaurants, hotels and motels, office buildings, laundries, car washes, and small businesses; residential and commercial boilers for space heating applications in hospitals, schools, hotels, and other commercial buildings; and water treatment products, including on-the-go filtration bottles, point-of-use carbon and reverse osmosis products, point-of-entry water softeners, and whole-home water filtration products for residences, restaurants, hotels, and offices. It also provides food and beverage filtration products; expansion tanks, commercial solar water heating systems, swimming pool and spa heaters, and related products and parts; and heat pumps, combi-boilers, solar tank units, and air purification products. The company offers its products primarily under the A. O. Smith, State, Lochinvar, and water softener brands. It distributes its products through independent wholesale plumbing distributors, as well as through retail channels consisting of hardware and home center chains, and manufacturer representative firms; and offers Aquasana branded products directly to consumers through e-commerce, as well as other online retailers. The company was founded in 1874 and is headquartered in Milwaukee, Wisconsin.

Technical Indicators

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

Compare
Relative Returns (From:    To: 2021-05-09 )

Largest Industry Peers for Specialty Industrial Machinery

Symbol Name Price(Change) Market Cap Price / Earning Ratio EV/EBITDA
MMM 3M Company

N/A

USD117.71B 20.78 13.80
GE General Electric Company

N/A

USD116.76B 23.42 55.13
ITW Illinois Tool Works Inc

N/A

USD75.41B 34.19 25.07
ETN Eaton Corporation plc

N/A

USD58.79B 41.50 25.48
EMR Emerson Electric Co

N/A

USD57.00B 26.81 17.07
ROP Roper Technologies, Inc

N/A

USD46.77B 47.13 27.05
PH Parker-Hannifin Corporation

N/A

USD41.20B 27.09 16.66
CMI Cummins Inc

N/A

USD38.95B 21.03 12.15
AME AMETEK, Inc

N/A

USD31.71B 39.34 24.46
ROK Rockwell Automation, Inc

N/A

USD31.42B 19.95 15.42

ETFs Containing AOS

Symbol Name Weight Mer Price(Change) Market Cap
PHO Invesco Water Resources E.. 0.00 % 0.60 %

N/A

USD1.60B
DXZ:CA Dynamic Active U.S. Mid-C.. 0.00 % 0.75 %

N/A

USD0.02B
WATL:LSE Lyxor World Water (DR) UC.. 0.00 % 0.60 %

N/A

USD0.96B
WAT:PA Lyxor World Water (DR) UC.. 0.00 % 0.60 %

N/A

USD0.97B

Market Performance

  Market Performance vs.
Industry/Classification (Specialty Industrial Machinery)
Market Performance vs. Exchange
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain 29.75% 80% B- 81% B-
Dividend Return 0.95% 95% A 48% F
Total Return 30.70% 82% B- 81% B-
Trailing 12 Months  
Capital Gain 58.81% 31% F 65% D
Dividend Return 2.28% 61% D- 34% F
Total Return 61.09% 31% F 64% D
Trailing 5 Years  
Capital Gain 80.53% 47% F 71% C-
Dividend Return 10.05% 53% F 32% F
Total Return 90.58% 40% F 70% C-
Average Annual (5 Year Horizon)  
Capital Gain 6.54% 38% F 62% D-
Dividend Return 1.56% 52% F 37% F
Total Return 8.10% 40% F 60% D-
Risk Return Profile  
Volatility (Standard Deviation) 25.34% 59% F 42% F
Risk Adjusted Return 31.97% 45% F 47% F
Market Capitalization 11.41B 69% D+ 83% B
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 87%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Key Financial Ratios

  Ratio vs. Industry/Classification
(Specialty Industrial Machinery)
Ratio vs. Market
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 29.63 65% D 27% F
Price/Book Ratio 6.18 25% F 17% F
Price / Cash Flow Ratio 20.30 45% F 23% F
EV/EBITDA 18.55 50% F 37% F
Management Effectiveness  
Return on Equity 22.56% 83% B 87% B+
Return on Invested Capital 17.26% 89% B+ 90% A-
Return on Assets 10.22% 91% A- 94% A
Debt to Equity Ratio 5.76% 94% A 89% B+
Technical Ratios  
Short Ratio 4.34 24% F 19% F
Short Percent 4.14% 17% F 50% F
Beta 1.04 81% B- 52% F
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 97%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Annual Financials (USD)

Quarterly Financials (USD)

Analyst Rating

Target Price Action Rating Action Analyst Rating Price Date

Fundamental Analysis Breakdown

This is a composite scorecard based on the application of evaluation criteria deemed most important by analysts. This is not a buy or sell recommendation.

What to like:
Superior return on equity

The company management has delivered better return on equity in the most recent 4 quarters then its peers, placing it in the top quartile.

Superior capital utilization

The company management has delivered better return on invested capital in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior return on assets

The company management has delivered better return on assets in the most recent 4 quarters than its peers, placing it in the top quartile.

Low debt

The company is less leveraged than its peers ,, and is among the top quartile, which makes it more flexible. However, do check the news and look at its sector. Sometimes this is low because the company is not growing and has no growth potential.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

Superior Dividend Growth

This stock has shown top quartile dividend growth in the previous 5 years compared to its sector

High Gross Profit to Asset Ratio

This stock is in the top quartile compared to its peers on Gross Profit to Asset Ratio. This is a popular measure among value investors for showing superior returns in the long run.

What to not like:
Poor risk adjusted returns

This company is delivering below median risk adjusted returns in its peers. Even if it is outperforming on returns , the returns are unpredictable. Proceed with caution.

Below median dividend returns

The company’s average income yield over the past 5 years has been low compared to its peers. However, it is not a problem if you are not looking for income.

Overpriced compared to book value

The stock is trading high compared to its peers median on a price to book value basis.

Overpriced on cashflow basis

The stock is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Overpriced on free cash flow basis

The stock is trading high compared to its peers on a price to free cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.