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A.O. Smith's gross profit for the
three
months ended in Jun. 2026 was $388 Mil. A.O. Smith's gross profit for the trailing twelve months (TTM) ended in Jun. 2026 was $1,468 Mil.
Gross Margin % is calculated as gross profit divided by its revenue. A.O. Smith's gross profit for the
three
months ended in Jun. 2026 was $388 Mil. A.O. Smith's Revenue for the
three
months ended in Jun. 2026 was $1,004 Mil. Therefore, A.O. Smith's Gross Margin % for the quarter that ended in Jun. 2026 was 38.61%.
A.O. Smith had a gross margin of 38.61% for the quarter that ended in Jun. 2026 => Competition eroding margins
During the past 13 years, the highestGross Margin % of A.O. Smith was 41.48%. The lowest was 35.42%. And the median was 38.69%.
Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.
Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %
1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key
A.O. Smith had a gross margin of 38.61% for the quarter that ended in Jun. 2026 => Competition eroding margins
A.O. Smith Gross Profit Related Terms
A.O. Smith Gross Profit Historical Data
* Premium members only.
The historical data trend for A.O. Smith's Gross Profit can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Specialty Industrial Machinery subindustry, A.O. Smith's Gross Profit, along with its competitors' market caps and Gross Profit data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
A.O. Smith Gross Profit vs Industrial Products Industry
For the Industrial Products industry and Industrials sector, A.O. Smith's Gross Profit distribution charts can be found below:
* The bar in red indicates where A.O. Smith's Gross Profit falls into.
Gross Profit for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $1,468 Mil.
Gross Profit is the numerator in the calculation of Gross Margin.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.
A.O. Smith (AOS) has a Gross Profit of $1,468 Mil as of Jun. 2026. Gross Profit equals net sales less total cost of goods sold. View historical data on A.O. Smith and its competitors.
Is A.O. Smith's Gross Profit too high?
A.O. Smith's current Gross Profit is $1,468 Mil. Overall, A.O. Smith has a GF Score™ of 85/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does A.O. Smith's Gross Profit compare to FLS and JBTM?
A.O. Smith's Gross Profit of $1,468 Mil can be compared against companies in the Industrial Products industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Profit for an Industrial Products company?
A good Gross Profit depends on the Industrial Products industry context. However, Gross Profit should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Profit mean?
A high Gross Profit can signal that a stock is expensive relative to its fundamentals. Gross Profit equals net sales less total cost of goods sold. View historical data on A.O. Smith and its competitors. A.O. Smith's current Gross Profit is $1,468 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is A.O. Smith stock overvalued right now?
Based on GuruFocus' analysis, A.O. Smith (AOS) is currently considered Modestly Undervalued. The stock's GF Value™ is $75.60, compared to a current price of $63.98 — trading 15.4% below its estimated fair value. The current Gross Profit is $1,468 Mil. A.O. Smith's overall GF Score™ is 85/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Profit calculated?
Gross Profit is calculated from a company's financial statements. For A.O. Smith (AOS), the current Gross Profit is $1,468 Mil as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is A.O. Smith (AOS) Overvalued in 2026?
Based on GuruFocus' analysis, A.O. Smith stock appears to be undervalued.
The current stock price of $63.98 is trading 15.4% below its estimated GF Value™ of $75.60.
GuruFocus considers A.O. Smith to be Modestly Undervalued.
Key valuation signals for AOS:
Gross Profit: $1,468 Mil
GF Value™: $75.60 vs. price of $63.98 (15.4% below fair value)
No single metric tells the full story. See the AOS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
A.O. Smith manufactures a broad lineup of water heaters, boilers, and water treatment products. The company has two reporting segments: North America (80% of sales) and rest of world (20% of sales). A.O. Smith is the leading manufacturer of water heaters in North America for the residential and commercial markets, with approximately 36% and 52% market share, respectively. Residential water heaters account for most of North American sales and are distributed equally through wholesale and retail channels. Most of A.O. Smith's international revenue is from China, a market the company entered in the mid-1990s.
85GF Score
Get the complete analysis for AOS
Gross Profit is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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