A. O. Smith
AOS · Building Products
$61.65
1.3%Watts Water Technologies
WTS · Building Products
$358.73
0.5%The short version
- A. O. Smith is the larger business, with $3.8B of revenue in fiscal 2025 against $2.4B for Watts Water Technologies, about 1.6 times as much.
- Watts Water Technologies grew revenue faster (8.3%, against 0.3%).
- A. O. Smith kept more of each dollar of sales as operating profit (19.0% operating margin, against 18.4% operating margin).
- A. O. Smith earned a higher return on the capital invested in it (30.7%, against 20.5%).
- Investors pay more for each dollar of Watts Water Technologies’s earnings: a P/E of 31.3x against 17.1x for A. O. Smith.
| Latest fiscal year | AOS · FY25 | WTS · FY25 |
|---|---|---|
| Size | ||
| Market cap | $8.5B | $12.0B |
| Revenue | $3.8B | $2.4B |
| Free cash flow | $546M | $356M |
| Net income | $546M | $341M |
| Growth | ||
| Revenue growth | 0.3% | 8.3% |
| 5-year growth | 5.8% | 10.1% |
| Share count change | −3.5% | 0.0% |
| Profitability | ||
| Gross margin | 38.8% | 49.5% |
| Operating margin | 19.0% | 18.4% |
| Net margin | 14.3% | 14.0% |
| FCF margin | 14.3% | 14.6% |
| Return on capital | 30.7% | 20.5% |
| Return on equity | 29.2% | 18.3% |
| Balance sheet | ||
| Net debt | −$38.2M | −$205M |
| Net debt / EBITDA | −0.1x | −0.4x |
| Dividends and buybacks | $597M | $82.9M |
| Valuation & quality | ||
| P/E | 17.1x | 31.3x |
| Piotroski F-score | 7 | 8 |
FY16
AOS $2.7B
WTS $1.4B
FY17
AOS $3.0B
WTS $1.5B
FY18
AOS $3.2B
WTS $1.6B
FY19
AOS $3.0B
WTS $1.6B
FY20
AOS $2.9B
WTS $1.5B
FY21
AOS $3.5B
WTS $1.8B
FY22
AOS $3.8B
WTS $2.0B
FY23
AOS $3.9B
WTS $2.1B
FY24
AOS $3.8B
WTS $2.3B
FY25
AOS $3.8B
WTS $2.4B
AOS
WTS
FY16
AOS 19.2%
WTS 10.4%
FY17
AOS 19.3%
WTS 11.1%
FY18
AOS 19.2%
WTS 12.0%
FY19
AOS 17.7%
WTS 12.3%
FY20
AOS 17.4%
WTS 12.0%
FY21
AOS 19.3%
WTS 13.2%
FY22
AOS 9.6%
WTS 15.9%
FY23
AOS 19.4%
WTS 17.1%
FY24
AOS 18.5%
WTS 17.3%
FY25
AOS 19.0%
WTS 18.4%
AOS
WTS
FY16
AOS $366M
WTS $102M
FY17
AOS $232M
WTS $127M
FY18
AOS $364M
WTS $134M
FY19
AOS $392M
WTS $165M
FY20
AOS $505M
WTS $185M
FY21
AOS $566M
WTS $154M
FY22
AOS $321M
WTS $196M
FY23
AOS $598M
WTS $281M
FY24
AOS $474M
WTS $326M
FY25
AOS $546M
WTS $356M
AOS
WTS
FY16
AOS 34.2%
WTS 9.4%
FY17
AOS 28.4%
WTS 7.9%
FY18
AOS 38.6%
WTS 13.2%
FY19
AOS 30.8%
WTS 13.3%
FY20
AOS 29.3%
WTS 11.7%
FY21
AOS 39.8%
WTS 15.9%
FY22
AOS 24.1%
WTS 23.2%
FY23
AOS 35.2%
WTS 20.2%
FY24
AOS 31.6%
WTS 19.7%
FY25
AOS 30.7%
WTS 20.5%
AOS
WTS
Add another company
Compare up to four at once.
Each company's latest fiscal year; fiscal years end in different months. The best value in each row is highlighted where higher (or lower) is clearly better. Not investment advice.