Professional
Added to YB: 2025-12-19
Pitch date: 2025-12-17
AOS [bullish]
A. O. Smith Corporation
-0.25%
current return
Author Info
Company Info
A. O. Smith Corporation manufactures and markets residential and commercial gas and electric water heaters, boilers, heat pumps, tanks, and water treatment products in North America, China, Europe, and India.
Market Cap
$9.5B
Pitch Price
$68.31
Price Target
118.50 (+74%)
Dividend
2.12%
EV/EBITDA
11.77
P/E
18.34
EV/Sales
2.48
Sector
Building Products
Category
value
Graham & Doddsville Portfolio Holding: A. O. Smith Corporation
AOS: Water heater oligopoly (36% residential, 53% commercial share) poised for growth from replacement cycle recovery + DOE efficiency rules driving volume/pricing uplift 2028-29. Vertical integration & plumber loyalty create moat. 11% net income CAGR since 2013, 35% ROIC, disciplined buybacks. Target $118.5 (71% upside, 14% IRR).
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