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AAON

Nasdaq:AAON
Snowflake Description

Flawless balance sheet with reasonable growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
AAON
Nasdaq
$2B
Market Cap
  1. Home
  2. US
  3. Capital Goods
Company description

AAON, Inc., together with its subsidiaries, engages in engineering, manufacturing, marketing, and selling air conditioning and heating equipment in the United States and Canada. The last earnings update was 24 days ago. More info.


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AAON Share Price and Events
7 Day Returns
1.1%
NasdaqGS:AAON
-1.5%
US Building
-1.1%
US Market
1 Year Returns
13.9%
NasdaqGS:AAON
-7.2%
US Building
6.4%
US Market
AAON Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
AAON (AAON) 1.1% 0.5% 30.7% 13.9% 57.4% 131.5%
US Building -1.5% -4.9% 18.6% -7.2% 10.9% 8.8%
US Market -1.1% 0.3% 17.2% 6.4% 37.9% 42.1%
1 Year Return vs Industry and Market
  • AAON outperformed the Building industry which returned -7.2% over the past year.
  • AAON outperformed the Market in United States of America which returned 6.4% over the past year.
Price Volatility
AAON
Industry
5yr Volatility vs Market

Value

 Is AAON undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of AAON to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for AAON.

NasdaqGS:AAON Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 3 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9.3%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGS:AAON
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Building Unlevered Beta Simply Wall St/ S&P Global 1.15
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.153 (1 + (1- 21%) (0%))
1.103
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.1
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.103 * 5.96%)
9.3%

Discounted Cash Flow Calculation for NasdaqGS:AAON using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for AAON is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NasdaqGS:AAON DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 9.3%)
2019 43.25 Analyst x1 39.57
2020 62.33 Analyst x1 52.17
2021 78.59 Est @ 26.07% 60.18
2022 93.57 Est @ 19.07% 65.56
2023 106.83 Est @ 14.17% 68.48
2024 118.30 Est @ 10.74% 69.37
2025 128.16 Est @ 8.33% 68.76
2026 136.69 Est @ 6.65% 67.09
2027 144.17 Est @ 5.48% 64.74
2028 150.88 Est @ 4.65% 61.99
Present value of next 10 years cash flows $617.91
NasdaqGS:AAON DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $150.88 × (1 + 2.73%) ÷ (9.3% – 2.73%)
$2,358.17
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $2,358.17 ÷ (1 + 9.3%)10
$968.86
NasdaqGS:AAON Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $617.91 + $968.86
$1,586.78
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $1,586.78 / 51.98
$30.53
NasdaqGS:AAON Discount to Share Price
Calculation Result
Value per share (USD) From above. $30.53
Current discount Discount to share price of $42.38
= -1 x ($42.38 - $30.53) / $30.53
-38.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of AAON is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for AAON's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are AAON's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:AAON PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $0.81
NasdaqGS:AAON Share Price ** NasdaqGS (2019-03-22) in USD $42.38
United States of America Building Industry PE Ratio Median Figure of 29 Publicly-Listed Building Companies 16.4x
United States of America Market PE Ratio Median Figure of 3,062 Publicly-Listed Companies 17.16x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of AAON.

NasdaqGS:AAON PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:AAON Share Price ÷ EPS (both in USD)

= 42.38 ÷ 0.81

52.05x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • AAON is overvalued based on earnings compared to the US Building industry average.
  • AAON is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does AAON's expected growth come at a high price?
Raw Data
NasdaqGS:AAON PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 52.05x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts
31.4%per year
United States of America Building Industry PEG Ratio Median Figure of 27 Publicly-Listed Building Companies 1.26x
United States of America Market PEG Ratio Median Figure of 2,105 Publicly-Listed Companies 1.44x

*Line of best fit is calculated by linear regression .

NasdaqGS:AAON PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 52.05x ÷ 31.4%

1.66x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • AAON is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on AAON's assets?
Raw Data
NasdaqGS:AAON PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $4.76
NasdaqGS:AAON Share Price * NasdaqGS (2019-03-22) in USD $42.38
United States of America Building Industry PB Ratio Median Figure of 38 Publicly-Listed Building Companies 2.09x
United States of America Market PB Ratio Median Figure of 5,165 Publicly-Listed Companies 1.85x
NasdaqGS:AAON PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:AAON Share Price ÷ Book Value per Share (both in USD)

= 42.38 ÷ 4.76

8.9x

* Primary Listing of AAON.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • AAON is overvalued based on assets compared to the US Building industry average.
X
Value checks
We assess AAON's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Building industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Building industry average (and greater than 0)? (1 check)
  5. AAON has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is AAON expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
31.4%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is AAON expected to grow at an attractive rate?
  • AAON's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • AAON's earnings growth is expected to exceed the United States of America market average.
  • AAON's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:AAON Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:AAON Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts 31.4%
NasdaqGS:AAON Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 3 Analysts 11.2%
United States of America Building Industry Earnings Growth Rate Market Cap Weighted Average 7.4%
United States of America Building Industry Revenue Growth Rate Market Cap Weighted Average 3.8%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.2%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGS:AAON Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:AAON Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 542 102 82 2
2019-12-31 506 87 68 3
NasdaqGS:AAON Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 434 55 43
2018-09-30 426 60 46
2018-06-30 426 60 46
2018-03-31 418 59 49
2017-12-31 405 58 54
2017-09-30 393 59 50
2017-06-30 384 68 51
2017-03-31 385 58 52
2016-12-31 384 64 53
2016-09-30 390 64 55
2016-06-30 379 73 52
2016-03-31 367 67 49

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • AAON's earnings are expected to grow significantly at over 20% yearly.
  • AAON's revenue is expected to grow by 11.2% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGS:AAON Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below

All data from AAON Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:AAON Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 1.57 1.61 1.53 2.00
2019-12-31 1.30 1.31 1.27 3.00
NasdaqGS:AAON Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 0.81
2018-09-30 0.87
2018-06-30 0.89
2018-03-31 0.92
2017-12-31 1.04
2017-09-30 0.95
2017-06-30 0.97
2017-03-31 0.99
2016-12-31 1.01
2016-09-30 1.03
2016-06-30 0.98
2016-03-31 0.91

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • AAON is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess AAON's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
AAON has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has AAON performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare AAON's growth in the last year to its industry (Building).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • AAON's year on year earnings growth rate has been positive over the past 5 years.
  • AAON's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • AAON's 1-year earnings growth is negative, it can't be compared to the US Building industry average.
Earnings and Revenue History
AAON's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from AAON Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:AAON Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 433.95 42.57 45.87
2018-09-30 425.77 45.81 48.32
2018-06-30 426.50 46.44 48.19
2018-03-31 418.24 48.54 47.15
2017-12-31 405.23 54.50 47.81
2017-09-30 392.74 50.15 42.87
2017-06-30 383.64 51.11 40.30
2017-03-31 384.63 52.04 38.92
2016-12-31 383.98 53.38 37.34
2016-09-30 389.54 54.90 38.57
2016-06-30 379.33 52.48 37.79
2016-03-31 367.29 48.88 36.66
2015-12-31 358.63 45.73 36.06
2015-09-30 346.13 43.31 34.60
2015-06-30 354.69 42.50 35.91
2015-03-31 356.72 42.74 36.11
2014-12-31 356.32 44.16 35.48
2014-09-30 344.97 41.39 35.29
2014-06-30 331.74 39.47 33.91
2014-03-31 330.67 40.23 33.48
2013-12-31 321.14 37.55 32.90
2013-09-30 325.77 37.36 31.59
2013-06-30 312.90 32.84 29.04
2013-03-31 304.99 30.02 27.05
2012-12-31 303.11 27.45 25.26
2012-09-30 288.51 20.74 25.24
2012-06-30 285.52 20.36 23.94
2012-03-31 271.26 14.90 22.75

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • AAON has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • AAON used its assets more efficiently than the US Building industry average last year based on Return on Assets.
  • AAON's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess AAON's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Building industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
AAON has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is AAON's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up AAON's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • AAON is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • AAON's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of AAON's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • AAON has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from AAON Company Filings, last reported 2 months ago.

NasdaqGS:AAON Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 247.50 0.00 1.99
2018-09-30 249.63 0.00 10.68
2018-06-30 238.44 0.00 24.33
2018-03-31 239.61 0.00 23.12
2017-12-31 237.23 0.00 30.41
2017-09-30 230.30 0.00 39.90
2017-06-30 217.75 0.00 51.80
2017-03-31 211.80 0.00 41.88
2016-12-31 205.90 0.00 43.75
2016-09-30 204.78 0.00 41.31
2016-06-30 194.98 0.00 44.34
2016-03-31 188.67 0.00 43.20
2015-12-31 178.92 0.00 30.43
2015-09-30 198.37 0.00 48.93
2015-06-30 187.43 0.00 49.94
2015-03-31 182.12 0.00 42.69
2014-12-31 174.06 0.00 40.02
2014-09-30 179.04 0.00 42.12
2014-06-30 177.69 0.00 45.65
2014-03-31 172.06 0.00 51.58
2013-12-31 164.11 0.00 36.24
2013-09-30 161.93 0.00 21.90
2013-06-30 152.52 0.00 30.23
2013-03-31 145.02 0.00 16.85
2012-12-31 138.14 0.00 9.11
2012-09-30 136.99 0.00 10.29
2012-06-30 131.99 7.26 6.60
2012-03-31 126.13 0.00 3.25
  • AAON has no debt.
  • AAON had no debt 5 years ago.
  • AAON has no debt, it does not need to be covered by operating cash flow.
  • AAON has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess AAON's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. AAON has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is AAON's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.76%
Current annual income from AAON dividends. Estimated to be 0.76% next year.
If you bought $2,000 of AAON shares you are expected to receive $15 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • AAON's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).
  • AAON's dividend is below the markets top 25% of dividend payers in United States of America (3.72%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGS:AAON Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
United States of America Building Industry Average Dividend Yield Market Cap Weighted Average of 15 Stocks 2.1%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2003 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.9%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGS:AAON Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31 0.32 1.00
2019-12-31 0.32 1.00
NasdaqGS:AAON Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2018-11-08 0.320 0.843
2018-11-01 0.320 0.781
2018-05-18 0.320 0.899
2017-11-07 0.260 0.737
2017-11-02 0.260 0.753
2017-05-17 0.260 0.747
2016-11-09 0.260 0.759
2016-11-03 0.220 0.777
2016-05-25 0.220 0.792
2015-11-02 0.220 0.913
2015-05-20 0.220 1.010
2015-02-27 0.180 0.768
2014-11-06 0.180 0.824
2014-08-07 0.180 0.978
2014-05-05 0.173 0.824
2013-11-07 0.133 0.685
2013-05-22 0.133 0.826
2013-03-14 0.107 0.853
2012-11-08 0.107 1.092
2012-08-08 0.107 1.237
2012-05-17 0.107 1.250
2012-03-14 0.107 1.215
2011-11-10 0.107 1.188
2011-11-08 0.107 1.094
2011-08-04 0.107 1.346
2011-05-19 0.107 1.085
2011-03-10 0.107 1.136
2010-11-10 0.107 1.291
2010-11-08 0.107 1.441
2010-08-06 0.107 1.537
2010-05-26 0.107 1.495
2010-03-15 0.107 1.563
2009-11-23 0.107 1.784
2009-11-02 0.107 1.833
2009-05-20 0.107 1.791
2009-05-06 0.107 1.765
2009-03-25 0.095 1.771

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • AAON is not paying a notable dividend for United States of America, therefore no need to check if the payments are stable.
  • AAON is not paying a notable dividend for United States of America, therefore no need to check if the payments are increasing.
Current Payout to shareholders
What portion of AAON's earnings are paid to the shareholders as a dividend.
  • No need to calculate the sustainability of AAON's dividends as it is not paying a notable one for United States of America.
Future Payout to shareholders
  • No need to calculate the sustainability of AAON's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess AAON's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.9%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can AAON afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. AAON has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of AAON's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Norm Asbjornson
COMPENSATION $2,027,295
AGE 82
TENURE AS CEO 30.2 years
CEO Bio

Mr. Norman H. Asbjornson, also known as Norm, is the Founder of AAON, Inc. and has been its Chief Executive Officer since 1989. Mr. Asbjornson serves as the President AAON Coil Products, Inc., (ACP), AAON Canada Inc. (AAON Canada) and AAON Properties Inc. (AAON Properties), all wholly-owned subsidiaries of Aaon Inc. He served as the President of AAON Inc. since 1989 until November 1, 2016. Mr. Asbjornson has been the Chairman of the Board of AAON, Inc. since November 1, 2016. He has provided the leadership and vision for Aaon's growth. Mr. Asbjornson has been a Director of Aaon Inc. since 1989.

CEO Compensation
  • Norm's compensation has been consistent with company performance over the past year.
  • Norm's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the AAON management team in years:

4.3
Average Tenure
58
Average Age
  • The tenure for the AAON management team is about average.
Management Team

Norm Asbjornson

TITLE
Founder
COMPENSATION
$2M
AGE
82
TENURE
30.2 yrs

Gary Fields

TITLE
President & Director
COMPENSATION
$1M
AGE
58
TENURE
2.3 yrs

Scott Asbjornson

TITLE
VP of Finance & CFO
COMPENSATION
$752K
AGE
49
TENURE
6.6 yrs

Mikel Crews

TITLE
Vice President of Operations
COMPENSATION
$700K
AGE
60
TENURE
2.1 yrs

Rebecca Thompson

TITLE
Chief Accounting Officer & Treasurer
COMPENSATION
$437K
AGE
39
TENURE
6.3 yrs

Rony Gadiwalla

TITLE
VP of Information Technology & Chief Information Officer
TENURE
0.3 yrs

Luke Bomer

TITLE
Secretary
Board of Directors Tenure

Average tenure and age of the AAON board of directors in years:

3.3
Average Tenure
57
Average Age
  • The tenure for the AAON board of directors is about average.
Board of Directors

Gary Fields

TITLE
President & Director
COMPENSATION
$1M
AGE
58
TENURE
3.8 yrs

Jack Short

TITLE
Independent Director
COMPENSATION
$239K
AGE
77
TENURE
14.7 yrs

Norm Asbjornson

TITLE
Founder
COMPENSATION
$2M
AGE
82
TENURE
2.3 yrs

Chip McElroy

TITLE
Independent Director
COMPENSATION
$247K
AGE
55
TENURE
11.7 yrs

Ken Lackey

TITLE
Independent Director
COMPENSATION
$217K
AGE
74
TENURE
11.7 yrs

Angela Kouplen

TITLE
Independent Director
COMPENSATION
$241K
AGE
44
TENURE
2.8 yrs

Steve LeClair

TITLE
Independent Director
COMPENSATION
$244K
AGE
49
TENURE
1.8 yrs

Caron Lawhorn

TITLE
Independent Director
AGE
56
TENURE
0.2 yrs
Who owns this company?
Recent Insider Trading
  • AAON insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
06. Mar 19 Sell Gary Fields Individual 05. Mar 19 05. Mar 19 -2,000 $42.39 $-84,770
06. Mar 19 Sell Stephen Wakefield Individual 05. Mar 19 05. Mar 19 -635 $41.88 $-26,596
09. Nov 18 Sell Jack Short Individual 08. Nov 18 08. Nov 18 -9,123 $43.81 $-399,670
09. Nov 18 Sell Gary Fields Individual 08. Nov 18 08. Nov 18 -1,600 $44.22 $-70,749
21. Aug 18 Sell Rebecca Thompson Individual 21. Aug 18 21. Aug 18 -5,533 $42.69 $-236,204
20. Aug 18 Sell Jack Short Individual 17. Aug 18 17. Aug 18 -4,149 $40.34 $-167,371
17. Aug 18 Sell Jack Short Individual 16. Aug 18 16. Aug 18 -5,851 $40.45 $-236,691
08. Aug 18 Sell Gary Fields Individual 07. Aug 18 07. Aug 18 -1,600 $38.70 $-61,922
15. Jun 18 Sell Scott Asbjornson Individual 14. Jun 18 14. Jun 18 -3,912 $33.13 $-129,590
16. May 18 Buy Norman Asbjornson Individual 16. May 18 16. May 18 8,000 $29.67 $237,352
X
Management checks
We assess AAON's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. AAON has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

All You Need To Know About AAON, Inc.'s (NASDAQ:AAON) Financial Health

Small and large cap stocks are widely popular for a variety of reasons, however, mid-cap companies such as AAON, Inc. … However, history shows that overlooked mid-cap companies have performed better on a risk-adjusted manner than the smaller and larger segment of the market. … This article will examine AAON’s financial liquidity and debt levels to get an idea of whether the company can deal with cyclical downturns and maintain funds to accommodate strategic spending for future growth.

Simply Wall St -

Is AAON, Inc.’s (NASDAQ:AAON) 22% ROCE Any Good?

In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … Understanding Return On Capital Employed (ROCE). … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.

Simply Wall St -

Here's What AAON, Inc.'s (NASDAQ:AAON) P/E Is Telling Us

This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). … To keep it practical, we'll show how AAON, Inc.'s (NASDAQ:AAON) P/E ratio could help you assess the value on offer. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)

Simply Wall St -

Have Insiders Been Selling AAON, Inc. (NASDAQ:AAON) Shares?

So shareholders might well want to know whether insiders have been buying or selling shares in AAON, Inc. … However, most countries require that the company discloses such transactions to the market. … AAON Insider Transactions Over The Last Year.

Simply Wall St -

Is AAON, Inc.'s (NASDAQ:AAON) Balance Sheet A Threat To Its Future?

(NASDAQ:AAON), which sports a zero-debt capital structure, to include debt in its capital structure is the reduced cost of capital. … However, the trade-off is AAON will have to adhere to stricter debt covenants and have less financial flexibility. … Is AAON right in choosing financial flexibility over lower cost of capital.

Simply Wall St -

Why You Should Care About AAON, Inc.’s (NASDAQ:AAON) Cash Levels

Today we will examine AAON’s ability to generate cash flows, as well as the level of capital expenditure it is expected to incur over the next couple of years, which will result in how much money goes to you. … What is free cash flow. … Free cash flow (FCF) is the amount of cash AAON has left after it pays off its expenses, including its net capital expenditures, which is what the company needs to spend each year to maintain or grow its business operations.

Simply Wall St -

Is There Now An Opportunity In AAON, Inc. (NASDAQ:AAON)?

Less-covered, small caps sees more of an opportunity for mispricing due to the lack of information available to the public, which can be a good thing? … So, could the stock still be trading at a low price relative to its actual value. … Let’s take a look at AAON’s outlook and value based on the most recent financial data to see if the opportunity still exists

Simply Wall St -

Should AAON Inc (NASDAQ:AAON) Be Your Next Stock Pick?

AAON Inc (NASDAQ:AAON) is a company with exceptional fundamental characteristics. … Upon building up an investment case for a stock, we should look at various aspects. … In the case of AAON, it

Simply Wall St -

How Should Investors Feel About AAON Inc's (NASDAQ:AAON) CEO Pay?

First, this article will compare CEO compensation with compensation at similar sized companies. … How Does Norm Asbjornson's Compensation Compare With Similar Sized Companies. … Our data indicates that AAON Inc is worth US$1.9b, and total annual CEO compensation is US$2.0m

Simply Wall St -

Is AAON Inc (NASDAQ:AAON) A High Quality Stock To Own?

This article is for those who would like to learn about Return On Equity (ROE). … Our data shows AAON has a return on equity of 18% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Company Info

Description

AAON, Inc., together with its subsidiaries, engages in engineering, manufacturing, marketing, and selling air conditioning and heating equipment in the United States and Canada. It offers rooftop units, chillers, packaged outdoor mechanical rooms, air handling units, makeup air units, energy recovery units, condensing units, geothermal/water-source heat pumps, self-contained units, and coils. The company markets and sells its products to retail, manufacturing, educational, lodging, supermarket, medical, and other commercial industries. AAON, Inc. sells its products through a network of manufacturers’ representatives and internal sales force. AAON, Inc. was founded in 1987 and is based in Tulsa, Oklahoma.

Details
Name: AAON, Inc.
AAON
Exchange: NasdaqGS
Founded: 1987
$2,202,762,162
51,976,455
Website: http://www.aaon.com
Address: AAON, Inc.
2425 South Yukon Avenue,
Tulsa,
Oklahoma, 74107,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS AAON Common Stock Nasdaq Global Select US USD 03. Jan 1991
DB AAO Common Stock Deutsche Boerse AG DE EUR 03. Jan 1991
Number of employees
Current staff
Staff numbers
2,221
AAON employees.
Industry
Building Products
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/24 23:31
End of day share price update: 2019/03/22 00:00
Last estimates confirmation: 2019/03/04
Last earnings filing: 2019/02/28
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.