Analyzing A. O. Smith (NYSE:AOS) and Traeger (NYSE:COOK)

A. O. Smith (NYSE:AOS) and Traeger (NYSE:COOK) are both industrial products companies, but which is the better business? We will contrast the two companies based on the strength of their institutional ownership, dividends, valuation, earnings, risk, analyst recommendations and profitability.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for A. O. Smith and Traeger, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
A. O. Smith 1 3 2 0 2.17
Traeger 0 1 9 0 2.90

A. O. Smith currently has a consensus price target of $63.40, suggesting a potential downside of 1.67%. Traeger has a consensus price target of $31.33, suggesting a potential upside of 42.75%. Given Traeger’s stronger consensus rating and higher probable upside, analysts plainly believe Traeger is more favorable than A. O. Smith.

Profitability

This table compares A. O. Smith and Traeger’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
A. O. Smith 13.69% 24.38% 14.30%
Traeger N/A N/A N/A

Valuation and Earnings

This table compares A. O. Smith and Traeger’s top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
A. O. Smith $2.90 billion 3.54 $344.90 million $2.16 29.85
Traeger $545.77 million 4.73 N/A N/A N/A

A. O. Smith has higher revenue and earnings than Traeger.

Institutional & Insider Ownership

74.1% of A. O. Smith shares are owned by institutional investors. 1.0% of A. O. Smith shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Summary

A. O. Smith beats Traeger on 6 of the 10 factors compared between the two stocks.

A. O. Smith Company Profile

A. O. Smith Corp. manufactures residential and commercial gas and electric water heaters, boilers, tanks and water treatment products. It operates through the following two segments: North America and Rest of World. The North America segment manufactures and markets comprehensive lines of residential and commercial gas and electric water heaters, boilers, tanks. The Rest of World segment comprises of China, Europe, and India; and manufactures and markets water treatment products. The company was founded by Charles Jeremiah Smith in 1874 and is headquartered in Milwaukee, WI.

Traeger Company Profile

Traeger Inc. provides wood pellet grill. The company’s pellet grills utilize wood-fired convection power, owners can grill, smoke, bake, roast, braise and barbecue meals on one cooking system. Traeger Inc. is headquartered in Salt Lake City.

Receive News & Ratings for A. O. Smith Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for A. O. Smith and related companies with MarketBeat.com's FREE daily email newsletter.