NasdaqGS:AAON

Stock Analysis Report

Executive Summary

AAON, Inc., together with its subsidiaries, engages in engineering, manufacturing, marketing, and selling air conditioning and heating equipment in the United States and Canada.

Snowflake

Fundamentals

Flawless balance sheet with reasonable growth potential.


Similar Companies

Share Price & News

How has AAON's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-3.2%

NasdaqGS:AAON

-2.6%

US Building

-1.6%

US Market


1 Year Return

10.2%

NasdaqGS:AAON

-4.9%

US Building

-3.0%

US Market

AAON outperformed the Building industry which returned -4.9% over the past year.

AAON outperformed the Market in United States of America which returned -3% over the past year.


Share holder returns

AAONIndustryMarket
7 Day-3.2%-2.6%-1.6%
30 Day-10.1%-4.4%-5.7%
90 Day-2.3%1.8%0.2%
1 Year11.1%10.2%-3.4%-4.9%-0.8%-3.0%
3 Year68.6%64.7%13.7%4.7%38.1%29.1%
5 Year154.5%144.3%35.7%18.7%50.8%34.1%

Price Volatility Vs. Market

How volatile is AAON's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

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

47.09x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

AAON's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

AAON's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

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

AAON is poor value based on expected growth next year.


Price Based on Value of Assets

AAON is overvalued based on assets compared to the US Building industry average.


Next Steps

Future Growth

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

37.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

AAON's revenue is expected to grow by 12.3% yearly, however this is not considered high growth (20% yearly).

AAON's earnings are expected to grow significantly at over 20% yearly.

AAON's revenue growth is expected to exceed the United States of America market average.

AAON's earnings growth is expected to exceed the United States of America market average.

AAON's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if AAON will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has AAON performed over the past 5 years?

3.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

AAON's year on year earnings growth rate has been positive over the past 5 years.

AAON's 1-year earnings growth exceeds its 5-year average (8.7% vs 3%)

AAON's earnings growth has exceeded the US Building industry average in the past year (8.7% vs 8.2%).


Return on Equity

AAON has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

AAON used its assets more efficiently than the US Building industry average last year based on Return on Assets.


Return on Capital Employed

AAON's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is AAON's financial position?


Financial Position Analysis

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.


Debt to Equity History and Analysis

AAON has no debt.

AAON has not taken on any debt in the past 5 years.

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.


Balance Sheet

High level of physical assets or inventory.

AAON has no debt, it does not need to be covered by short term assets.


Next Steps

Dividend

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

0.70%

Expected Dividend Yield


Dividend Yield and Payments Analysis

AAON's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.52%).

AAON's dividend is below the markets top 25% of dividend payers in United States of America (3.93%).

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

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.


Next Steps

Management

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

4.7yrs

Average management tenure


CEO

Norm Asbjornson (83yo)

30.6yrs

Tenure

US$1,946,466

Compensation

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  ...


CEO Compensation Analysis

Norm's remuneration is lower than average for companies of similar size in United States of America.

Norm's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

4.7yrs

Average Tenure

59yo

Average Age

The tenure for the AAON management team is about average.


Board Age and Tenure

3.0yrs

Average Tenure

58yo

Average Age

The tenure for the AAON board of directors is about average.


Insider Trading

AAON individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$52,76712 Jun 19
Rebecca Thompson
EntityIndividual
Role
Chief Accounting Officer
Chief Accounting Officer & Treasurer
Shares1,100
Max PriceUS$47.97
SellUS$186,72610 Jun 19
Scott Asbjornson
EntityIndividual
Role
Chief Financial Officer
VP of Finance & CFO
Shares3,824
Max PriceUS$48.83
SellUS$53,47409 May 19
Stephen Wakefield
EntityIndividual
Shares1,118
Max PriceUS$47.83
SellUS$84,77006 Mar 19
Gary Fields
EntityIndividual
Role
Member of the Board of Directors
President & Director
Shares2,000
Max PriceUS$42.39
SellUS$26,59606 Mar 19
Stephen Wakefield
EntityIndividual
Shares635
Max PriceUS$41.88
SellUS$399,67009 Nov 18
Jack Short
EntityIndividual
Role
Lead Director
Lead Independent Director
Shares9,123
Max PriceUS$43.81
SellUS$70,74909 Nov 18
Gary Fields
EntityIndividual
Role
Member of the Board of Directors
President & Director
Shares1,600
Max PriceUS$44.22

Ownership Breakdown


Management Team

  • Norm Asbjornson (83yo)

    Founder

    • Tenure: 30.6yrs
    • Compensation: US$1.95m
  • Scott Asbjornson (50yo)

    VP of Finance & CFO

    • Tenure: 7.0yrs
    • Compensation: US$766.42k
  • Rebecca Thompson (40yo)

    Chief Accounting Officer & Treasurer

    • Tenure: 6.7yrs
    • Compensation: US$579.12k
  • Gary Fields (59yo)

    President & Director

    • Tenure: 4.3yrs
    • Compensation: US$1.37m
  • Luke Bomer

    Secretary

    • Tenure: 0.0yrs
  • Mikel Crews (61yo)

    Vice President of Operations

    • Tenure: 2.5yrs
    • Compensation: US$650.08k
  • Rony Gadiwalla

    VP of Information Technology & Chief Information Officer

    • Tenure: 0.8yrs

Board Members

  • Norm Asbjornson (83yo)

    Founder

    • Tenure: 30.6yrs
    • Compensation: US$1.95m
  • Ken Lackey (75yo)

    Independent Director

    • Tenure: 12.1yrs
    • Compensation: US$206.67k
  • Chip McElroy (56yo)

    Independent Director

    • Tenure: 12.1yrs
    • Compensation: US$203.67k
  • Jack Short (78yo)

    Lead Independent Director

    • Tenure: 0.6yrs
    • Compensation: US$209.67k
  • Caron Lawhorn (57yo)

    Independent Director

    • Tenure: 0.6yrs
  • Steve LeClair (50yo)

    Independent Director

    • Tenure: 2.3yrs
    • Compensation: US$201.67k
  • Gary Fields (59yo)

    President & Director

    • Tenure: 4.3yrs
    • Compensation: US$1.37m
  • Angela Kouplen (45yo)

    Independent Director

    • Tenure: 3.3yrs
    • Compensation: US$201.67k

Company Information

AAON, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: AAON, Inc.
  • Ticker: AAON
  • Exchange: NasdaqGS
  • Founded: 1987
  • Industry: Building Products
  • Sector: Capital Goods
  • Market Cap: US$2.375b
  • Shares outstanding: 52.11m
  • Website: https://www.aaon.com

Number of Employees


Location

  • AAON, Inc.
  • 2425 South Yukon Avenue
  • Tulsa
  • Oklahoma
  • 74107
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AAONNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJan 1991
AAODB (Deutsche Boerse AG)YesCommon StockDEEURJan 1991

Biography

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, ch ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/24 23:30
End of Day Share Price2019/08/23 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.