A. O. Smith Corporation (AOS): When The Market Gets It Wrong

The stock of A. O. Smith Corporation (NYSE:AOS) has been Downgraded to Neutral from Outperform by Boenning & Scattergood in its latest research note that was published on May 01. KeyBanc Capital Mkts analysts bumped their recommendation on AOS stock from Sector Weight to Overweight in a separate flash note to investors on November 27.

A. O. Smith Corporation, which has current market capitalization of above $8 Billion, published its last quarter earnings on June 30, 2019.

AOS surged by $0.94 during the normal trading session on Thursday and reaching a high of $51.78 during the day while it closed the day at $51.71. The A. stock had a low trading volume of 1.65 million shares on that day, which is low compared to the average daily volume of 1.85M shares. AOS has also gained 8.59% of its value over the past 7 days. However, the stock has surged by 14.15% in the 3 months of the year. Over the past six months meanwhile, it has gained 1.45% while it has added 21.10% year-on date. Let us now take a look at the stock’s potential support and resistance levels. The publicly traded company was seen to have slipped by -0.14% from its 3 months high price. However, taking another look at AOS will indicate that it is trading +26.09% away from its 90-day low. Looking at the bigger picture, the A. O. Smith Corporation stock has dropped by -15.34% from its 52-week high while it has surged by +28.19% from its 52-week low price.

On September 10, 2019 Rajendra Ajita G, Executive Chairman sold 16556 shares of the company. The average price for that transaction was $49.47 per share, which meant that Rajendra Ajita G earned $819025.3 selling the stocks. The sale was made public, with the document of the transaction filed with the SEC. Another insider trading occurred, with Vice President and Controller, Gurholt Helen E selling 1263 shares of this stock on August 23, 2019. The average selling price for the stock was $45.82 per share, with the sold stock accruing $57870.66. Following this transaction, the Vice President and Controller Gurholt Helen E now holds 126161 shares of the company, which is worth around $6414025.

A. has around 282 Billion cash on their books at the moment. This figure will have to be compared and looked into, with their current liabilities standing at $731 Billion. The A. stock is bringing in revenue of over 12 months, which is roughly 457 Billion. Despite all that, A. O. Smith Corporation is seeing things declining very much as their y-o-y quarterly revenue dropped by -7.23%.

Looking at the stock’s Technical analysis information over the past 50 days shows that its Raw Stochastic average stood at 99.35%. This figure is better than the company’s 20-day Raw Stochastic average which currently stands at 99.09%. Over the past 20 days, A.’s Stochastic %K stood at 98.91% while its Stochastic %D was revealed to be 97.71%.