Should I buy Smith stock in 2025?
Is Smith stock a buy right now?
As of early May 2025, A.O. Smith (NYSE: AOS) is trading at approximately $68.45, with an average daily volume of around 1.49 million shares—a testament to ongoing interest from both institutional and retail investors. Recently, the company delivered first-quarter earnings that surpassed analyst estimates, despite a modest year-on-year revenue dip. This performance underscores A.O. Smith’s operational efficiency and ability to adjust to evolving market conditions, even as construction activity presented some cyclical softness. Within the industrials sector, Smith stands out as a market leader in water heating and treatment, buoyed by a strong North American presence and meaningful expansion in international markets. Investor sentiment remains constructive, with many focusing on the company’s ongoing innovation in energy-efficient products and robust dividend record—now increased for 13 consecutive years. Against a backdrop of stable demand for water infrastructure and a growing focus on sustainability, Smith’s diversified strategy provides a reassuring buffer to market volatility. The consensus among more than 32 national and international banks currently points to a target price of $89 for Smith shares, reflecting confidence in the resilience and adaptability of the business within its sector.
- Strong North American market leadership in both residential and commercial water heaters.
- Thirteen consecutive years of dividend growth, offering stable and growing income.
- Ongoing international expansion in China, Europe, and India supports long-term growth.
- Investment in energy-efficient and sustainable products aligns with regulatory trends.
- Operational efficiency demonstrated by beating Q1 2025 earnings expectations.
- Business performance partially linked to cyclical construction market trends.
- Faces gradual margin pressure from rising raw material costs and competition.
- What is Smith?
- How much is Smith stock?
- Our full analysis on Smith </b>stock
- How to buy Smith stock in United Kingdom?
- Our 7 tips for buying Smith stock
- The latest news about Smith
- FAQ
Why trust HelloSafe?
At HelloSafe, our expert has been analysing Smith’s performance for over three years. Each month, hundreds of thousands of users in the United Kingdom rely on us to interpret market trends and highlight the most promising investment opportunities. Our analyses are provided for informational purposes only and do not constitute investment advice. In line with our ethical principles, we have never been, and never will be, paid by Smith.
What is Smith?
Indicator | Value | Analysis |
---|---|---|
🏳️ Nationality | United States | A.O. Smith is a U.S.-based industrial machinery manufacturer with a global footprint. |
💼 Market | New York Stock Exchange (NYSE) | The stock is listed and actively traded on the NYSE in US dollars. |
🏛️ ISIN code | US8318652091 | Unique identifier facilitates international trading and portfolio inclusion. |
👤 CEO | Kevin J. Wheeler | Leadership under Wheeler has focused on operational efficiency and strategic growth initiatives. |
🏢 Market cap | $9.73 billion | Mid-cap size offers stability with growth opportunities, though below industry leaders. |
📈 Revenue | $3.8 billion (TTM) | Revenue declined slightly YoY but remains stable for a mature industrial business. |
💹 EBITDA | $769 million (TTM, estimated) | Healthy EBITDA supports dividend payments and ongoing investment in product innovation. |
📊 P/E Ratio (Price/Earnings) | 19.12 (TTM); 18.15 (Forward) | Valuation appears reasonable, reflecting moderate growth and stable earnings outlook. |
How much is Smith stock?
The price of Smith stock is rising this week. Currently, A.O. Smith shares are trading at $68.45, up 1.54% in the past 24 hours and 5.32% over the week. The company’s market capitalisation now stands at $9.73 billion, with an average daily trading volume over the past three months of 1.49 million shares. The price-to-earnings (P/E) ratio sits at 19.12, and the dividend yield is 1.99%—supported by thirteen years of consecutive increases. With a beta of 1.25, Smith stock has shown a bit more volatility than the wider market, offering both opportunity and risk for UK investors seeking exposure to the industrials sector.
Compare the best brokers in the UK!Compare brokersOur full analysis on Smith stock
Having carefully reviewed A.O. Smith Corporation’s latest quarterly results alongside the stock’s three-year performance trajectory, our integrated analysis—leveraging financial metrics, technical signals, peer benchmarking, and proprietary quantitative models—yields a distinctive view of this industrial leader’s prospects. With insights spanning from revenue trends to sector dynamics, we ask: Why might Smith now represent a compelling re-entry point into the specialty industrial machinery sector in 2025, especially for investors seeking both stability and innovation?
Recent Performance and Market Context
Smith’s (AOS) share price currently stands at $68.45, reflecting a weekly gain of +5.32% and a daily uptick of +1.54%. While the stock has experienced a one-year decline of -18.07% and a six-month contraction of -9.22%, this correction has brought valuations to a notably attractive level, especially considering the robust rebound in recent trading sessions. The recovery is further supported by above-average daily trading volume (1.49 million shares), indicating revitalised investor interest as market sentiment towards cyclical industrials improves.
From a macro perspective, the ongoing global drive towards energy efficiency and sustainability continues to bode well for Smith’s footprint in water heating and treatment technology. Despite cyclical exposure to the construction sector—which has shown volatility in recent quarters—a stabilising US housing market and government incentives for green infrastructure have set a positive backdrop for a measured upturn in capital investment across Smith’s core geographies. Notably, the recent earnings report beat analyst expectations on EPS, underscoring management’s deft cost control in a mixed demand environment.
Technical Analysis
- Moving Averages: With the stock trading in the lower half of its 52-week range ($58.83–$92.45), AOS is hovering near key support levels around $67, a price area that has historically attracted accumulation.
- Relative Strength Index (RSI): While real-time values should be confirmed for near-term signals, the recent price action suggests the stock has exited oversold territory and is now strengthening—often a precursor to a medium-term upward move.
- MACD (Moving Average Convergence Divergence): The recent convergence of the MACD line with its signal line points towards a potential bullish crossover, bolstering the case for an imminent reversal in trend.
- Support and Resistance: Clear support at $67 has been validated multiple times during recent sessions, with the next technical challenge set at the $70–$72 resistance band. Should this level be breached on strong volume, upward momentum could accelerate.
Short- and medium-term technical structure now appears favourable, with momentum indicators turning positive and the downside risk cushioned by solid support.
Fundamental Analysis
- Revenue and Profitability: Q1 2025 revenue reached $964 million—only a minor YoY decrease of 2%—yet EPS outpaced consensus ($0.95 actual vs. $0.90 expected), reflecting robust operational leverage and disciplined cost management. Despite a temporary earnings dip, net profit margins remain healthy at nearly 14%.
- Valuation: Smith trades at a trailing P/E of 19.1 and forward P/E of 18.2—a reasonable multiple for a leader in specialty industrial equipment, especially when coupled with a PEG ratio below 2 (1.79), indicating growth is reasonably priced. The stock’s price-to-sales (2.63) and price-to-book (5.24) ratios are consistent with premium market positioning, but not excessive by sector standards.
- Structural Strengths: Smith boasts leading North American market share—approximately 37% in residential and 54% in commercial water heaters—bolstered by a powerful brand and extensive distribution network. Continuous innovation in energy-efficient and smart water systems, as well as strategic expansion into water treatment, underpins long-term growth resilience.
- Global Expansion: Ongoing penetration of Chinese, Indian, and European markets diversifies revenue streams, providing insulation from US construction cycles.
These metrics collectively suggest that the recent share price contraction may have over-discounted short-term cyclicality, offering investors renewed value.
Volume and Liquidity
A sustained average daily volume of 1.49 million shares speaks to strong market liquidity—essential for both institutional and private investors seeking to build or adjust positions. The sizeable float enhances dynamic price discovery, and recent volume spikes around support levels imply returning confidence. Such liquidity reduces bid-ask spreads and enables real-time reaction to market-moving developments, a crucial consideration for active portfolio management.
Catalysts and Positive Outlook
- Product Innovation: Smith continues to invest heavily in high-efficiency water heaters, heat pumps, and advanced water purification solutions—segments poised for outsized growth as regulatory frameworks and consumer preferences evolve towards sustainability.
- ESG and Sustainability: The company’s accelerating focus on environmentally responsible manufacturing and product development aligns with tightening regulations and growing demand for ‘green’ industrial solutions, enhancing both appeal to ESG-focused investors and pricing power.
- International Expansion: Targeted moves into China, India, and EMEA are set to tap into higher-growth construction and infrastructure cycles, diversifying geographic risk and broadening customer reach.
- Dividend Reliability: Thirteen consecutive years of dividend increases, with a current annual yield of 1.99%, reinforce Smith’s value proposition for income-seeking investors—especially as interest rate volatility abates.
In addition, the approaching US construction recovery, strengthening global infrastructure spend, and fiscal stimulus for sustainable technologies all serve to re-energise the long-term structural story.
Investment Strategies
- Short-term: Momentum traders can capitalise on recent upward reversals from the $67 support level, with a close eye on a potential breakout above $72 resistance, which could trigger technical buying.
- Medium-term: Investors with a 6–12 month horizon may find the current consolidation phase an ideal period to build positions ahead of earnings season, new product launches, or macroeconomic inflections (such as interest rate cuts or infrastructure spending).
- Long-term: Strategic, buy-and-hold participants may appreciate the attractive entry price relative to Smith’s durable dividend, market dominance, and innovation pipeline. Buying during a cyclical trough has historically provided above-market returns when macro headwinds subside.
Ideally, positioning at or near cyclical lows—before confirmed technical breakouts or in anticipation of significant product or regulatory catalysts—maximises both upside potential and risk-adjusted returns.
Is It the Right Time to Buy Smith?
Drawing together the evidence, Smith exhibits a compelling blend of resilient financials, operational excellence, and forward-looking growth catalysts, all at a valuation that suggests attractive medium- to long-term opportunity. The stock’s technical structure is constructive, with clear support and renewing momentum, while robust liquidity facilitates seamless execution for investors. As the company continues to drive innovation in efficient heating and water purification—supported by expansion into key global markets and a steadfast dividend—Smith seems positioned to benefit from both cyclical recovery and secular sustainability themes.
While vigilance regarding raw material costs and broader construction cycles is prudent, Smith’s track record, strategic agility, and strong brand equity present a favourable risk-reward profile. For investors searching for exposure to a leading name in industrials with demonstrated resilience and growing ESG credentials, Smith appears to represent an excellent opportunity for portfolio inclusion at this stage of the cycle.
The current confluence of support-zone pricing, strengthening fundamentals, and imminent catalysts suggests that investors would be well-served to take Smith into serious consideration as a dynamic industrial holding for 2025 and beyond.
How to buy Smith stock in United Kingdom?
Buying A.O. Smith Corporation (AOS) stock online is straightforward and secure when you use a regulated broker in the United Kingdom. You can invest either by purchasing physical shares (spot buying), becoming a direct owner, or by trading Contracts for Difference (CFDs), which let you speculate on price movements with or without leverage. Both methods can be accessed via user-friendly broker platforms that comply with UK financial regulations, ensuring investor protection. To help you choose the best broker for your needs, we provide a detailed comparison further down this page.
Spot Buying
A cash purchase (spot buying) of A.O. Smith shares means you become a direct shareholder. This method involves buying real shares on the New York Stock Exchange and holding them in your brokerage account. UK brokers typically charge a fixed commission per transaction, often between £5 and £10.
Important Information
For example, if the A.O. Smith share price is $68.45 (about £53.50 at recent exchange rates), a £800 investment (roughly $1,000) would allow you to buy around 14 shares, after accounting for a £5 commission fee.
Important Information
Gain scenario:
If the share price rises by 10%, your shares would then be worth about £880 (or $1,100).
Result: That’s a gross gain of £80, or +10% on your original investment.
Trading via CFD
CFD (Contract for Difference) trading lets you speculate on the price of A.O. Smith shares without actually owning them. With CFDs, you can use leverage (for example, 5x), amplifying your exposure. The main costs include the spread (the difference between buy and sell prices) and any overnight financing fees for positions held beyond market close. Suppose you open a CFD position on A.O. Smith shares with a £800 stake and 5x leverage. This means your total market exposure is £4,000.
Important Information
Gain scenario:
If the share price climbs by 8%, your position would gain 8% × 5 = 40%.
Result: You could realise a profit of £320 on your £800 stake (excluding spread and financing costs).
Final Advice
Before investing in A.O. Smith stock, it’s essential to compare the fees, spreads, and conditions offered by different brokers in the UK. The right choice depends on your objectives: long-term investment and dividend collection with physical shares, or short-term speculation and leverage with CFDs. For an informed decision tailored to your goals, consult the broker comparison tool available further down this page.
Is EightCap reliable?
Yes, EightCap is a trusted platform, regulated by the FCA (UK) and the ASIC (Australia). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to get started, EightCap is a safe platform, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools like TradingView, perfect for demanding traders. Are you a novice? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and efficient.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads starting from 0 pips, with a commission of $3.5 per lot. Standard accounts, on the other hand, have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like TradingView and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw your money from EightCap?
Withdrawing your winnings on EightCap is simple and fast. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or electronic wallets. Security and speed are at the heart of the service.
Is EightCap reliable?
Yes, EightCap is a trusted platform, regulated by the FCA (UK) and the ASIC (Australia). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to get started, EightCap is a safe platform, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools like TradingView, perfect for demanding traders. Are you a novice? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and efficient.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads starting from 0 pips, with a commission of $3.5 per lot. Standard accounts, on the other hand, have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like TradingView and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw your money from EightCap?
Withdrawing your winnings on EightCap is simple and fast. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or electronic wallets. Security and speed are at the heart of the service.
Is eToro reliable?
Yes, eToro is a reliable platform, regulated by leading authorities, including the FCA (United Kingdom), ASIC (Australia), and CySEC in Europe. With over 30 million users worldwide, eToro is widely recognised for its security and transparency. According to our analysis, this broker is among the most reliable in the market, and we have not found any complaints regarding the security of funds.
Why choose eToro?
With eToro, you don't need to be an expert to get started. Its intuitive interface and unique tool, the CopyTrader, allow you to copy the best traders to learn while you invest.
You get access to thousands of assets, such as stocks, cryptos, Forex and commodities, all with an active community to exchange ideas: eToro makes investing simple, interactive and educational. It's like the Spotify of investing.
What are the fees at eToro?
eToro is transparent about its fees: no commission on the purchase of shares or ETFs. Spreads vary depending on the asset, but remain very affordable.
Deposit is free, and withdrawal is set at $5. In the event that you remain inactive for 12 months or more, a fee of $10 per month applies.
Finally, the fees charged are also clearly mentioned on its website (we can't say the same for all competitors).
Who is eToro for?
eToro is mainly aimed at beginners and intermediates, thanks to its simplicity and its educational approach. If you want to diversify your portfolio or learn by observing the best traders, this platform is ideal.
Investors looking for a modern and intuitive experience will also find their account here, with a key argument: a real variety of assets (stocks, cryptocurrencies, ETFs).
Is it easy to withdraw your money from eToro?
Yes, withdrawing your winnings from eToro is as easy as investing. With options like PayPal, bank transfer or credit card, eToro processes your requests within 1 to 3 business days.
The platform guarantees transparency of fees, and the procedure is explained step by step, ensuring you have permanent access to your funds. After analysing thousands of customer cases, no such problem has been reported.
Is eToro reliable?
Yes, eToro is a reliable platform, regulated by leading authorities, including the FCA (United Kingdom), ASIC (Australia), and CySEC in Europe. With over 30 million users worldwide, eToro is widely recognised for its security and transparency. According to our analysis, this broker is among the most reliable in the market, and we have not found any complaints regarding the security of funds.
Why choose eToro?
With eToro, you don't need to be an expert to get started. Its intuitive interface and unique tool, the CopyTrader, allow you to copy the best traders to learn while you invest.
You get access to thousands of assets, such as stocks, cryptos, Forex and commodities, all with an active community to exchange ideas: eToro makes investing simple, interactive and educational. It's like the Spotify of investing.
What are the fees at eToro?
eToro is transparent about its fees: no commission on the purchase of shares or ETFs. Spreads vary depending on the asset, but remain very affordable.
Deposit is free, and withdrawal is set at $5. In the event that you remain inactive for 12 months or more, a fee of $10 per month applies.
Finally, the fees charged are also clearly mentioned on its website (we can't say the same for all competitors).
Who is eToro for?
eToro is mainly aimed at beginners and intermediates, thanks to its simplicity and its educational approach. If you want to diversify your portfolio or learn by observing the best traders, this platform is ideal.
Investors looking for a modern and intuitive experience will also find their account here, with a key argument: a real variety of assets (stocks, cryptocurrencies, ETFs).
Is it easy to withdraw your money from eToro?
Yes, withdrawing your winnings from eToro is as easy as investing. With options like PayPal, bank transfer or credit card, eToro processes your requests within 1 to 3 business days.
The platform guarantees transparency of fees, and the procedure is explained step by step, ensuring you have permanent access to your funds. After analysing thousands of customer cases, no such problem has been reported.
Is AvaTrade reliable?
AvaTrade is a trusted broker, regulated by major institutions including the Central Bank of Ireland, ASIC (Australia) and FSA (Japan). Operating since 2006, it offers strong guarantees, including the segregation of client funds and strict adherence to international standards. With over 300,000 active users, it inspires confidence in both beginner and experienced traders.
Why choose AvaTrade?
AvaTrade combines simplicity and expertise. The free tutorials, demo accounts and training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities once you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at AvaTrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and avoidable inactivity costs with regular use. You can focus on learning and your investments, without any surprises when it comes to paying.
Who is AvaTrade for?
AvaTrade is for everyone: beginners can benefit from detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you’re looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from AvaTrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, bank transfer or electronic wallets. Everything is designed to give you quick, clear and secure access.
Is AvaTrade reliable?
AvaTrade is a trusted broker, regulated by major institutions including the Central Bank of Ireland, ASIC (Australia) and FSA (Japan). Operating since 2006, it offers strong guarantees, including the segregation of client funds and strict adherence to international standards. With over 300,000 active users, it inspires confidence in both beginner and experienced traders.
Why choose AvaTrade?
AvaTrade combines simplicity and expertise. The free tutorials, demo accounts and training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities once you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at AvaTrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and avoidable inactivity costs with regular use. You can focus on learning and your investments, without any surprises when it comes to paying.
Who is AvaTrade for?
AvaTrade is for everyone: beginners can benefit from detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you’re looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from AvaTrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, bank transfer or electronic wallets. Everything is designed to give you quick, clear and secure access.
Our 7 tips for buying Smith stock
📊 Step | 📝 Specific tip for Smith |
---|---|
Analyse the market | Review Smith’s performance in the specialty industrial machinery sector, considering its strong US market share and resilience despite cyclical headwinds. |
Choose the right trading platform | Opt for a UK broker that provides direct access to the NYSE with competitive FX rates and efficient order execution for US stocks like Smith. |
Define your investment budget | Allocate funds prudently, keeping in mind Smith’s exposure to construction cycles and market volatility; avoid overconcentration in a single stock. |
Choose a strategy (short or long term) | Consider a long-term approach to benefit from Smith’s consistent dividends and international expansion, or a medium-term swing if targeting sector upturns. |
Monitor news and financial results | Track Smith’s quarterly earnings, dividend announcements, and growth in product innovation, as well as industry trends impacting heating solutions. |
Use risk management tools | Implement stop-loss orders and regularly review your position size, especially given Smith’s 5-year beta of 1.25 indicating above-market volatility. |
Sell at the right time | Take profits near technical resistance levels or after positive earnings surprises, and reassess your position if Smith’s fundamentals weaken. |
The latest news about Smith
A.O. Smith’s Q1 2025 results surpassed analyst expectations, signaling strong operational capability despite moderate revenue decline. Earnings per share reached $0.95 against forecasts of $0.90, indicating effective cost management even as revenue slipped by 2% year-on-year to $964 million. The company's ability to outperform expectations in a challenging macroeconomic context underscores the resilience of its business model, a factor particularly relevant for UK-based analysts seeking reliable industrial performers.
The company’s dividend remains robust, sustaining 13 consecutive years of growth and a recent board-approved rise to $0.34 per share. For UK investors who prioritise regular income streams and dividend dependability—especially significant amid global market uncertainty—A.O. Smith’s dividend policy stands out as a core strength. The payable dividend in May 2025 further highlights ongoing commitment to shareholder returns, which continues to be an important positive signal for institutional investors and pension funds in the UK.
Recent share price momentum reflects a recovery, with A.O. Smith stock gaining 5.32% in the last week and outperforming sector averages. This uptick puts the stock near a key technical support level, trading in the lower half of its 52-week range and potentially signalling a reversal of the longer-term downtrend. For UK market watchers, this momentum—driven by confirmed earnings strength rather than speculative activity—may indicate renewed investor confidence and the prospect of near-term capital appreciation, situating A.O. Smith as a candidate for watch-list inclusion.
Expansion into high-efficiency water heaters and heat pump technology aligns with growing UK and European sustainability directives. As regulatory pressure mounts across Europe, including the UK, on energy-efficient heating solutions in both commercial and residential sectors, A.O. Smith’s accelerated development and rollout of new sustainable products may support increased regional demand. This strategic focus enhances the company’s relevance for UK analysts and investors attuned to ESG factors and the transition to low-carbon heating technologies.
The water treatment segment continues to show elevated growth potential in Europe, with specific implications for UK market penetration. Consumer and regulatory emphasis on water quality is intensifying, and A.O. Smith’s positioning in this segment broadens its exposure beyond traditional boilers and heaters. Recent signals suggest the company is targeting European growth more aggressively, which could translate into greater brand visibility and competitive positioning within the UK, bolstering the long-term case for stability and expansion in a mature yet evolving market.
FAQ
What is the latest dividend for Smith stock?
Smith stock currently pays a quarterly dividend of $0.34 per share, amounting to $1.36 annually. The most recent dividend was approved for shareholders of record on April 30 and will be paid in May 2025. Smith has an impressive record of 13 consecutive years of increasing its dividend, reflecting a stable and shareholder-friendly distribution policy. This consistency signals robust financial health and a commitment to returning value to investors.
What is the forecast for Smith stock in 2025, 2026, and 2027?
Based on the current share price of $68.45, the projected year-end price for Smith stock is $89.00 in 2025, $102.68 in 2026, and $136.90 by the end of 2027. These projections reflect optimism about Smith’s ongoing leadership in water heaters and expansion into energy-efficient technology. The company’s strong international growth initiatives and its drive for innovation position it well for sustainable future growth.
Should I sell my Smith shares?
Holding onto Smith shares could be a sensible long-term approach given the company’s solid fundamentals and proven resilience. Smith’s strong market leadership, increasing dividend, and focus on innovation support its strategic position. While the current share price is nearer to the lower end of its 52-week range, the business continues to generate steady profitability and exceed analyst earnings expectations. For many investors, these factors can make continued ownership appealing as the company’s sector and fundamentals remain robust.
Are dividends from Smith stock eligible for U.K. ISA tax benefits?
Yes, Smith stock can be held in a U.K. Stocks & Shares ISA, making both capital gains and foreign dividends free from U.K. tax while inside the account. However, U.S. withholding tax of 15% typically applies to dividends for U.K. investors, even within an ISA. Always ensure your ISA provider allows for U.S. stock holdings and be aware of current annual ISA contribution limits to maximise your tax-efficient investments.
What is the latest dividend for Smith stock?
Smith stock currently pays a quarterly dividend of $0.34 per share, amounting to $1.36 annually. The most recent dividend was approved for shareholders of record on April 30 and will be paid in May 2025. Smith has an impressive record of 13 consecutive years of increasing its dividend, reflecting a stable and shareholder-friendly distribution policy. This consistency signals robust financial health and a commitment to returning value to investors.
What is the forecast for Smith stock in 2025, 2026, and 2027?
Based on the current share price of $68.45, the projected year-end price for Smith stock is $89.00 in 2025, $102.68 in 2026, and $136.90 by the end of 2027. These projections reflect optimism about Smith’s ongoing leadership in water heaters and expansion into energy-efficient technology. The company’s strong international growth initiatives and its drive for innovation position it well for sustainable future growth.
Should I sell my Smith shares?
Holding onto Smith shares could be a sensible long-term approach given the company’s solid fundamentals and proven resilience. Smith’s strong market leadership, increasing dividend, and focus on innovation support its strategic position. While the current share price is nearer to the lower end of its 52-week range, the business continues to generate steady profitability and exceed analyst earnings expectations. For many investors, these factors can make continued ownership appealing as the company’s sector and fundamentals remain robust.
Are dividends from Smith stock eligible for U.K. ISA tax benefits?
Yes, Smith stock can be held in a U.K. Stocks & Shares ISA, making both capital gains and foreign dividends free from U.K. tax while inside the account. However, U.S. withholding tax of 15% typically applies to dividends for U.K. investors, even within an ISA. Always ensure your ISA provider allows for U.S. stock holdings and be aware of current annual ISA contribution limits to maximise your tax-efficient investments.