Insider Trading February 17, 2026

A. O. Smith Lochinvar President Sells Shares, Exercises RSUs as Q4 Results Show Mixed Signals

Darrell W. Schuh disposed of 356 AOS shares and exercised restricted stock units the same day company reported EPS beat but revenue shortfall for Q4 2025

By Caleb Monroe AOS
A. O. Smith Lochinvar President Sells Shares, Exercises RSUs as Q4 Results Show Mixed Signals
AOS

Darrell W. Schuh, senior vice president and president and general manager of Lochinvar at A. O. Smith Corporation, sold 356 shares of company stock on February 13, 2026, and exercised restricted stock units for 1,460 shares the same day. The company reported fourth-quarter 2025 earnings per share above expectations while revenue came in below consensus, prompting divergent analyst responses on price targets and ratings.

Key Points

  • Darrell W. Schuh, SVP and President & GM of Lochinvar at A. O. Smith, sold 356 shares on February 13, 2026 for $79.885 per share, totaling $28,439.
  • On the same day Schuh exercised restricted stock units that resulted in the acquisition of 1,460 common shares recorded with a value of $0.
  • A. O. Smiths Q4 2025 results showed EPS of $0.90 beating the $0.84 estimate, while revenue of $912.5 million missed the $928.11 million consensus; analysts responded with mixed signals including a Stifel price-target raise to $85.00 and DA Davidson sustaining a Neutral rating at $75.00.

Insider transaction

Darrell W. Schuh, identified as senior vice president and president and general manager of the Lochinvar business unit at A. O. Smith Corporation (NYSE: AOS), completed a sale of 356 shares of the companys common stock on February 13, 2026. The reported sale price was $79.885 per share, yielding a gross transaction value of $28,439.

On the same date, Schuh also acquired 1,460 shares of common stock with a reported value of $0 through the exercise of restricted stock units. The acquisition via RSU exercise was recorded contemporaneously with the sale of the 356 shares.


Quarterly results

A. O. Smith reported fourth-quarter 2025 financial results showing diluted earnings per share of $0.90, compared with analyst expectations of $0.84. The earnings-per-share result therefore exceeded the consensus estimate.

Revenue for the quarter totaled $912.5 million, which was below the consensus revenue estimate of $928.11 million. The combined outcome was an EPS beat offset by a revenue miss versus expectations.


Analyst reactions

Following the quarterly disclosure, Stifel adjusted its price target for A. O. Smith upward to $85.00 from a prior $80.00, while maintaining a Buy rating on the shares. In contrast, DA Davidson reaffirmed a Neutral rating with a $75.00 price target. DA Davidson specifically cited ongoing challenges in North Americas residential market, while noting that weaker residential demand has been partially offset by strength in the commercial water heaters and boilers segment.


What the record shows

The publicly reported actions on February 13, 2026 combine an insider sale and a separate RSU exercise by a senior executive, alongside quarterly results that presented a mix of stronger-than-expected EPS and softer-than-expected top-line performance. Analysts have reacted with differing views on valuation and outlook, as reflected in an upward price-target revision by one firm and a reiteration of a Neutral stance by another, citing market-specific headwinds and pockets of strength.

Risks

  • Sluggish demand in North Americas residential market, as noted by DA Davidson, which could continue to pressure segments tied to residential activity - impacting residential plumbing and heating markets.
  • Revenue for Q4 2025 fell short of analyst expectations, indicating top-line vulnerability that could affect investor sentiment in the industrial and commercial products sectors.
  • Divergent analyst views on valuation and outlook create uncertainty for market participants relying on external guidance when assessing exposure to A. O. Smith and related manufacturing and water-heating markets.

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