A.O. Smith price target lowered to $74 from $80 at UBS

UBS analyst Damian Karas lowered the firm’s price target on A.O. Smith (AOS) to $74 from $80 and keeps a Neutral rating on the shares. Operating results were weak in both segments of the business, and 2025 guidance is calling for a second consecutive year of roughly flat EPS, the analyst tells investors in a research note. The valuation multiple should have limited downside and a low bar has already been set for this year, which should ease concerns of downward guidance revisions, but the question of whether rising competition is eating away at the company’s market position requires further clarity, UBS says.