A. O. Smith Corporation
AOSA. O. Smith Corporation (AOS) is a Industrials company that currently yields 2.48% — historically undervalued based on 10 years of dividend yield history. The Weiss valuation model places the undervaluation threshold at $65.12 and the overvaluation threshold at $126.10. A. O. Smith Corporation holds a quality score of 90/100 (Excellent), reflecting 25 consecutive years of dividend growth with a 37% payout ratio. The 5-year dividend CAGR stands at 7.1%.
AOS Dividend Yield History — Weiss Valuation
Distance to undervalued
In undervalued territory
Price sits 12.0% below the Weiss buy zone ceiling
The current yield already clears the historical undervaluation threshold. The next question is whether the dividend quality and payout profile deserve that higher yield.
Zone ceiling
$65.12
Current yield
2.48%
Research checklist
What to clear before buying the yield
Updated May 25, 2026
Dividend durability
25YLong dividend history supports a deeper look.
Earnings payout
37%Earnings coverage leaves room for noise.
Cash payout
32%Free cash flow coverage supports the payment.
Dividend growth
7.1%Recent growth adds income compounding potential.
What changed
What changed since the last update
2026-05-23 → 2026-05-25
No major change in signal, yield, price, quality, or payout since the last update.
Why Now?
A. O. Smith Corporation is trading near its historical undervaluation band.
Current yield 2.5% vs historical max 2.1% (115% of maximum).
14 consecutive years without a dividend cut.
Conservative payout ratio of 37%.
What matters now
Read the signal before the headline yield
Valuation is the invitation here: the yield is elevated versus its own history.
The 90/100 quality score keeps AOS on the serious-research list.
Start by checking whether payout coverage and business durability still support the dividend.
AOS Dividend Income Projection — DRIP Compounder
Dividend Compounder (DRIP)
Year 1 Income
$266
Year 10 Income
$674
Yield on Cost
7.07%
Total Income
$4,358
Assumes dividends reinvested at current price. Simplified model — for illustrative purposes only.
More research
Full price history & technical analysis
TradingView ↗Fundamentals, valuation & analyst ratings
FinViz ↗Moat rating & analyst fair value
Morningstar ↗AOS Dividend Quality Score
Quality Score
Excellent
Key Metrics
AOS is historically undervalued. Ready to add it to your portfolio?
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In-depth analysis
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