Latest revenue
$945.6M
as of 2026-03-31
Latest net income
$118.0M
as of 2026-03-31
Net margin
12.5%
as of 2026-03-31
Price · 5Y
Live market
delayed ≤15 min- Market cap
- $4.34B
- Enterprise value
- $4.77B
- P/E (trailing)
- 7.9×
- Forward P/E
- —
- P/B
- 2.31×
- Dividend yield
- 2.5%
- 52-wk high
- $81.87
- 52-wk low
- $54.16
- Beta
- —
- Shares out
- 75.7M
5-year trend
What this company does
A.O. Smith manufactures and sells water heaters, boilers, and water treatment products for homes and businesses, mainly in North America and China. The company generates most of its revenue from selling residential and commercial water heaters in North America, which accounts for roughly 80% of sales. It just acquired Leonard Valve for $470 million to push deeper into water management while simultaneously restructuring its struggling water treatment unit and reviewing strategic alternatives for its declining China business.
Generated from AOS's filing dated 2026-02-10
Key risks
- China deterioration: Q1 third-party sales fell 17% in local currency; full-year now guided to low double-digit decline as appliance subsidies ended.
- Guidance cut: 2026 diluted EPS lowered to $3.60–$3.90 from $3.85–$4.15, with sales growth high-end reduced from 5% to 4%.
- Leveraged M&A and restructuring drag: $470M Leonard Valve acquisition tripled interest expense to $7.1M; Q2 will absorb ~$20M water-treatment restructuring charge.
Generated from AOS's filing dated 2026-02-10
Profitability
Gross margin
38.8%
1.8%Net margin
14.3%
2.0%Return on equity
29.4%
3.8%Return on assets
17.4%
5.5%Leverage
Debt / equity
0.69×
4.0%Long-term debt / equity
0.06×
37.6%Debt / assets
40.9%
2.4%Earnings tracker
| Quarter | Revenue | YoY | Net income | YoY | Net margin |
|---|---|---|---|---|---|
Q1 2026 2026-03-31 | $945.6M | -1.9% | $118.0M | -13.6% | 12.5% |
Q4 2025 2025-12-31 | $912.5M | +0.0% | $125.4M | +14.3% | 13.7% |
Q3 2025 2025-09-30 | $942.5M | +4.4% | $132.0M | +9.9% | 14.0% |
Q2 2025 2025-06-30 | $1.01B | -1.3% | $152.2M | -2.6% | 15.0% |
Q1 2025 2025-03-31 | $963.9M | -1.5% | $136.6M | -7.5% | 14.2% |
Q4 2024 2024-12-31 | $912.4M | — | $109.7M | — | 12.0% |
Q3 2024 2024-09-30 | $902.6M | -3.7% | $120.1M | -11.3% | 13.3% |
Q2 2024 2024-06-30 | $1.02B | +6.6% | $156.2M | -0.5% | 15.2% |
Year-over-year change vs the same fiscal quarter one year prior. Revenue + net income sourced from SEC 10-Q / 10-K filings — no analyst-consensus dependency.
Industry trend
Household Appliances · SIC 3630
Your notes
Keep private notes on AOS — thesis, target price, catalysts to watch.
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Insider activity
Insider buying
$0
Insider selling
$3.1M
Net activity
−$3.1M
Distinct insiders
4
Open-market trades over the last 365 days.
Recent transactions
| Date | Insider | Type | Shares | Price | Value | |
|---|---|---|---|---|---|---|
| 2026-03-04 | Darrell W. Schuh SVP; President & GM Lochinvar | Sale | 1,104 | $74.39 | $82.1K | |
| 2026-02-13 | Darrell W. Schuh SVP; President & GM Lochinvar | Sale | 356 | $79.89 | $28.4K |
Source: SEC Form 4 filings. Officers, directors, and 10%+ owners must disclose share transactions within two business days. RSU grants and tax-withholding rows are excluded by default — compensation activity is not a trading signal.
Who owns AOS
Institutional value
$4.24B
Total shares held
66.9M
Distinct holders
430
As of
2026-03-31
Filers with $100M+ AUM disclose holdings 45 days after quarter end.
Top institutional holders
| # | Manager | Shares | Value | QoQ change | Action |
|---|---|---|---|---|---|
| 1 | BlackRock, Inc. | 7.4M | $485.1M | — | New |
| 2 | VANGUARD CAPITAL MANAGEMENT LLC | 7.3M | $483.6M | — | New |
| 3 | VANGUARD PORTFOLIO MANAGEMENT LLC | 7.1M | $468.1M | — | New |
| 4 | Invesco Ltd. | 4.7M | $311.9M | — | New |
| 5 | Impax Asset Management Group plc | 4.3M | $282.1M | — | New |
| 6 | ProShare Advisors LLC | 2.3M | $152.3M | — | New |
| 7 | FIRST TRUST ADVISORS LP | 2.2M | $143.0M | — | New |
| 8 | DIMENSIONAL FUND ADVISORS LP | 2.0M | $129.2M | — | New |
| 9 | Bank of New York Mellon Corp | 1.4M | $94.0M | — | New |
| 10 | SEI INVESTMENTS CO | 1.3M | $88.8M | — | New |
| 11 | Sarasin & Partners LLP | 1.2M | $79.2M | — | New |
| 12 | Madison Asset Management, LLC | 1.1M | $75.3M | — | New |
| 13 | Boston Trust Walden Corp | 1.1M | $69.3M | — | New |
| 14 | NOMURA ASSET MANAGEMENT CO LTD | 990.1K | $65.3M | — | New |
| 15 | UBS Group AG | 921.6K | $60.8M | — | New |
| 16 | Vest Financial, LLC | 815.9K | $53.8M | — | New |
| 17 | WELLS FARGO & COMPANY/MN | 734.0K | $48.4M | — | New |
| 18 | Pictet Asset Management Holding SA | 703.1K | $46.4M | — | New |
| 19 | VANGUARD FIDUCIARY TRUST CO | 632.9K | $41.7M | — | New |
| 20 | WELCH & FORBES LLC | 579.8K | $38.2M | — | New |
Source: SEC Form 13F-HR. Positions aggregated across sub-managers within each firm. Options (puts/calls) excluded — common stock only.
Top questions investors are asking
- 1
With China sales projected down low double-digits and ROW margin collapsing to 6.2%, what specific outcomes of your strategic assessment—divestiture, JV, or impairment—are on the table this year?
- 2
Leonard Valve contributed $16M in Q1 against a $470M purchase price; can you defend that ~7x sales multiple given North America residential volume weakness?
- 3
North America margin fell 140bps to 23.3% despite Leonard Valve and pricing; how do you bridge to your 24% full-year guide?
Refreshed when AOS files a new report · last from 2026-02-10