Second Quarter 2024 Highlights(Comparisons are year-over-year ("YoY"), unless otherwise noted)Record sales of $1 billion, an increase of 7%, driven by higher water heater volumesDiluted earnings per share (EPS) of $1.06, a YoY increase of 2% and an increase of 5% compared to prior year adjusted EPS Reaffirm 2024 sales outlook of an increase of 3% to 5%Narrow EPS guidance to a range of between $3.95 and $4.10Recently announced Pureit acquisition expected to close by the end of 2024MILWAUKEE, July 23, 2024 /P ...

Core Viewpoint - The Industrial Products sector is expected to experience a 7.4% decline in earnings for Q2 2024, driven by a 2.2% decrease in revenues, with several major companies set to report earnings this week [1] Group 1: Sector Performance - The contraction in the U.S. manufacturing sector is reflected in the Industrial Products sector's results, with the Institute for Supply Management's manufacturing index at 48.5% in June 2024, indicating a decline from previous months [2] - Demand remains subdued as companies are hesitant to make capital investments due to current monetary policies, with the New Orders Index also below 50, although it showed slight improvement to 49.3% in June [2] - The Production index fell to 48.5% in June after two months of expansion, with companies reducing production levels due to weak order rates and declining backlog levels [3] Group 2: Specific Industry Insights - Certain areas within the sector, such as Primary Metals and Petroleum & Coal Products, have shown stable demand, while packaging demand for food and e-commerce has also remained strong [4] - Mining output increased at an annual rate of 3.4% in Q2, benefiting companies in mining and construction equipment manufacturing, although agricultural equipment makers faced challenges due to low agricultural commodity prices [4] Group 3: Cost and Margin Challenges - The sector is facing cost inflation, particularly in fuel, natural gas, aluminum, and plastics, which is expected to impact margins despite cost-control measures [5] Group 4: Company-Specific Earnings Predictions - Dover Corporation (DOV) is expected to report earnings of $2.21 per share, reflecting a 7.8% year-over-year growth, with revenues estimated at $2.15 billion, a 2.2% increase [7] - Avery Dennison (AVY) is projected to have earnings of $2.25 per share, indicating a 17% year-over-year increase, with revenues expected at $2.18 billion, suggesting 4.4% growth [9] - Packaging Corporation of America (PKG) is anticipated to report earnings of $2.11 per share, an 8.7% decline year-over-year, with revenues estimated at $2.03 billion, indicating 4% growth [10] - Pentair (PNR) is expected to have earnings of $1.15 per share, suggesting an 11.7% year-over-year growth, with revenues projected at $1.09 billion, indicating a 0.8% increase [11] - A. O. Smith (AOS) is forecasted to report earnings of $1.06 per share, a 5% year-over-year increase, with revenues estimated at $990 million, reflecting a 3% growth [13]

A. O. Smith Corporation (AOS) is likely to witness top and bottom-line growth when it reports second-quarter 2024 results on Jul 23, before the opening bell. The Zacks Consensus Estimate for revenues is pegged at $990 million, which indicates growth of 3% from the year-ago quarter’s reported figure.The consensus mark for earnings is pinned at $1.06 per share, which has remained steady in the past 60 days. The estimate indicates a jump of 5% from the figure reported in the year-ago quarter. The company’s bot ...

Core Insights - Three stocks in the industrials sector are identified as potentially overbought, indicating a warning for momentum-focused investors [1] Group 1: Gates Industrial Corporation PLC (GTES) - Gates Industrial is set to release its second-quarter earnings on July 31, 2024 [2] - The stock has increased approximately 12% over the past five days, reaching a 52-week high of $17.98 [2] - The RSI value for Gates Industrial is 74.86, indicating overbought conditions [2] - The stock closed at $16.97 after a 4.3% gain on Tuesday [2] Group 2: Fluor Corp (FLR) - Truist Securities analyst maintained a Buy rating for Fluor and raised the price target from $47 to $54 [3] - The stock has gained around 14% over the past five days, with a 52-week high of $50.63 [3] - The RSI value for Fluor is 80.06, suggesting it is significantly overbought [3] - The stock closed at $50.26 after a 3.7% increase on Tuesday [3] Group 3: A. O. Smith Corp (AOS) - A. O. Smith announced an agreement to acquire Pureit from Unilever, aiming to enhance its market position in water treatment products [4] - The stock has risen approximately 13% over the past five days, reaching a 52-week high of $92.14 [4] - The RSI value for A. O. Smith is 76.88, indicating overbought status [4] - The stock closed at $91.98 after a 4.8% gain on Tuesday [4]

Company Performance - A.O. Smith (AOS) has achieved a year-to-date return of approximately 6.5%, outperforming the average gain of 5.9% in the Industrial Products sector [2] - The Zacks Consensus Estimate for AOS' full-year earnings has remained unchanged over the past quarter, indicating stable analyst sentiment [2] - A.O. Smith holds a Zacks Rank of 2 (Buy), suggesting a favorable outlook for the stock [1][2] Industry Comparison - A.O. Smith is part of the Manufacturing - Electronics industry, which has seen an average gain of 17.9% this year, indicating that AOS is slightly underperforming its industry [3] - Donaldson (DCI), another stock in the Industrial Products sector, has returned 10.5% year-to-date and also holds a Zacks Rank of 2 (Buy) [2][3] - The Pollution Control industry, to which Donaldson belongs, has experienced a gain of 16.2% this year, ranking 82 among industries [3] Sector Overview - The Industrial Products sector, which includes A.O. Smith and Donaldson, ranks 5 in the Zacks Sector Rank, reflecting the overall strength of the group [1] - The Zacks Rank system evaluates stocks based on earnings estimates and revisions, highlighting those likely to outperform the market in the near term [1]

Core Viewpoint - A. O. Smith Corporation has announced the acquisition of Pureit from Unilever for approximately USD $120 million, aiming to enhance its market position in South Asia and expand its premium product portfolio [1][2]. Group 1: Acquisition Details - The acquisition price for Pureit is approximately USD $120 million in cash, with annual sales of Pureit around USD $60 million, primarily in India [1]. - The acquisition is expected to be completed by the end of 2024 and is not anticipated to materially impact earnings in the first year [1]. Group 2: Strategic Implications - The addition of Pureit is expected to strengthen A. O. Smith's leadership in the global water treatment market and double its market penetration in South Asia [2]. - The acquisition aligns with A. O. Smith's corporate strategy to enhance its premium product offerings and distribution capabilities [2]. Group 3: Company Background - A. O. Smith Corporation, celebrating its 150th anniversary, is a global leader in innovative technology and energy-efficient solutions for water heating and treatment products [4].

MILWAUKEE, July 8, 2024 /PRNewswire/ -- Directors of A. O. Smith Corporation (NYSE: AOS) today declared a regular quarterly cash dividend of $.32 per share on the company's Common Stock and Class A Common Stock.The dividend is payable on Thursday, August 15 to shareholders of record Wednesday, July 31, 2024.A. O. Smith Announces Quarterly DividendPost thisAbout A. O. SmithCelebrating its 150th year of business, A. O. Smith Corporation, headquartered in Milwaukee, Wis., is a global leader applying innovative ...

A. O. Smith Corporation (AOS) is poised to benefit from strength across its businesses, acquired assets, healthy liquidity position and focus on operational excellence. The company remains committed to investing in growth opportunities and strengthening its long-term market position.This Zacks Rank #2 (Buy) company has a market capitalization of $11.8 billion. Over the past year, the stock has risen 11.2%. However, both the stock and the industry have declined 1.3% in the past month.Image Source: Zacks Inve ...

MILWAUKEE, July 2, 2024 /PRNewswire/ -- A. O. Smith Corporation (NYSE: AOS) will release its second quarter 2024 financial results before the market opens on Tuesday, July 23, and has scheduled an investor conference call to follow at 10:00 a.m. (Eastern Time). The call can be heard live on the company's website, www.aosmith.com. An audio replay of the call will be available on the company's website after the live event. To access the archived audio replay, go to the "Investors" page and select the "Second ...

Core Insights - The article emphasizes the importance of utilizing Zacks Premium for investors to enhance their stock market strategies and confidence in investing [1] Zacks Style Scores - Zacks Style Scores are indicators designed to help investors select stocks with the highest potential to outperform the market within a 30-day timeframe [1] - Each stock is rated from A to F based on value, growth, and momentum characteristics, with A being the highest score [1] Value Score - The Value Style Score focuses on identifying undervalued stocks by analyzing ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow [2] Growth Score - The Growth Style Score assesses a company's future prospects and financial health by examining projected and historical earnings, sales, and cash flow [3] Momentum Score - The Momentum Style Score identifies optimal times to invest based on trends in stock price and earnings outlook, utilizing factors like one-week price change and monthly earnings estimate changes [3] VGM Score - The VGM Score combines the three Style Scores to highlight stocks with attractive value, strong growth forecasts, and promising momentum, serving as a useful indicator alongside the Zacks Rank [4] Zacks Rank - The Zacks Rank is a proprietary model that leverages earnings estimate revisions to assist investors in building successful portfolios, with 1 (Strong Buy) stocks achieving an average annual return of +25.41% since 1988 [5] - There are over 800 top-rated stocks available, making it essential for investors to choose wisely [5] Stock to Watch: A.O. Smith (AOS) - A.O. Smith Corporation is a leading manufacturer of water heating and treatment products, known for innovative and energy-efficient solutions [7] - AOS holds a 3 (Hold) Zacks Rank and a VGM Score of B, with a Momentum Style Score of B and a 1.6% increase in shares over the past four weeks [7] - The Zacks Consensus Estimate for AOS's fiscal 2024 earnings has risen to $4.08 per share, with an average earnings surprise of 6.7% [7]