AAON INC (AAON) Fundamental Analysis & Valuation
NASDAQ:AAON • US0003602069
Current stock price
99.59 USD
+0.88 (+0.89%)
At close:
99.59 USD
0 (0%)
After Hours:
This AAON fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. AAON Profitability Analysis
1.1 Basic Checks
- In the past year AAON was profitable.
- In the past year AAON had a positive cash flow from operations.
- In the past 5 years AAON has always been profitable.
- In the past 5 years AAON always reported a positive cash flow from operatings.
1.2 Ratios
- With a Return On Assets value of 6.38%, AAON perfoms like the industry average, outperforming 58.54% of the companies in the same industry.
- With a decent Return On Equity value of 12.02%, AAON is doing good in the industry, outperforming 60.98% of the companies in the same industry.
- With a Return On Invested Capital value of 8.91%, AAON perfoms like the industry average, outperforming 51.22% of the companies in the same industry.
- AAON had an Average Return On Invested Capital over the past 3 years of 16.66%. This is above the industry average of 11.84%.
- The 3 year average ROIC (16.66%) for AAON is well above the current ROIC(8.91%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.38% | ||
| ROE | 12.02% | ||
| ROIC | 8.91% |
ROA(3y)13.2%
ROA(5y)12.19%
ROE(3y)18.87%
ROE(5y)17.43%
ROIC(3y)16.66%
ROIC(5y)15.16%
1.3 Margins
- With a Profit Margin value of 7.46%, AAON perfoms like the industry average, outperforming 58.54% of the companies in the same industry.
- In the last couple of years the Profit Margin of AAON has declined.
- AAON has a Operating Margin (10.14%) which is comparable to the rest of the industry.
- AAON's Operating Margin has declined in the last couple of years.
- AAON's Gross Margin of 26.75% is on the low side compared to the rest of the industry. AAON is outperformed by 65.85% of its industry peers.
- In the last couple of years the Gross Margin of AAON has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.14% | ||
| PM (TTM) | 7.46% | ||
| GM | 26.75% |
OM growth 3Y-10.75%
OM growth 5Y-11.35%
PM growth 3Y-12.91%
PM growth 5Y-13.44%
GM growth 3Y0.02%
GM growth 5Y-2.45%
2. AAON Health Analysis
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), AAON is creating some value.
- AAON has more shares outstanding than it did 1 year ago.
- Compared to 5 years ago, AAON has more shares outstanding
- The debt/assets ratio for AAON is higher compared to a year ago.
2.2 Solvency
- An Altman-Z score of 8.34 indicates that AAON is not in any danger for bankruptcy at the moment.
- AAON has a Altman-Z score of 8.34. This is amongst the best in the industry. AAON outperforms 97.56% of its industry peers.
- AAON has a Debt/Equity ratio of 0.45. This is a healthy value indicating a solid balance between debt and equity.
- AAON has a Debt to Equity ratio of 0.45. This is in the better half of the industry: AAON outperforms 60.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 8.34 |
ROIC/WACC0.87
WACC10.28%
2.3 Liquidity
- AAON has a Current Ratio of 2.63. This indicates that AAON is financially healthy and has no problem in meeting its short term obligations.
- With a decent Current ratio value of 2.63, AAON is doing good in the industry, outperforming 73.17% of the companies in the same industry.
- AAON has a Quick Ratio of 1.84. This is a normal value and indicates that AAON is financially healthy and should not expect problems in meeting its short term obligations.
- The Quick ratio of AAON (1.84) is better than 78.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.63 | ||
| Quick Ratio | 1.84 |
3. AAON Growth Analysis
3.1 Past
- AAON shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -32.84%.
- The Earnings Per Share has been growing slightly by 7.66% on average over the past years.
- AAON shows a strong growth in Revenue. In the last year, the Revenue has grown by 20.11%.
- AAON shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 22.89% yearly.
EPS 1Y (TTM)-32.84%
EPS 3Y3.06%
EPS 5Y7.66%
EPS Q2Q%30%
Revenue 1Y (TTM)20.11%
Revenue growth 3Y17.51%
Revenue growth 5Y22.89%
Sales Q2Q%42.49%
3.2 Future
- AAON is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 36.17% yearly.
- The Revenue is expected to grow by 16.38% on average over the next years. This is quite good.
EPS Next Y49.61%
EPS Next 2Y50.93%
EPS Next 3Y27.68%
EPS Next 5Y36.17%
Revenue Next Year23.55%
Revenue Next 2Y18.52%
Revenue Next 3Y15.33%
Revenue Next 5Y16.38%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. AAON Valuation Analysis
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 73.77, which means the current valuation is very expensive for AAON.
- Compared to the rest of the industry, the Price/Earnings ratio of AAON indicates a slightly more expensive valuation: AAON is more expensive than 78.05% of the companies listed in the same industry.
- When comparing the Price/Earnings ratio of AAON to the average of the S&P500 Index (27.42), we can say AAON is valued expensively.
- The Price/Forward Earnings ratio is 49.31, which means the current valuation is very expensive for AAON.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of AAON indicates a slightly more expensive valuation: AAON is more expensive than 75.61% of the companies listed in the same industry.
- AAON is valuated expensively when we compare the Price/Forward Earnings ratio to 22.24, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 73.77 | ||
| Fwd PE | 49.31 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, AAON is valued expensively inside the industry as 80.49% of the companies are valued cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 37.67 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- A more expensive valuation may be justified as AAON's earnings are expected to grow with 27.68% in the coming years.
PEG (NY)1.49
PEG (5Y)9.63
EPS Next 2Y50.93%
EPS Next 3Y27.68%
5. AAON Dividend Analysis
5.1 Amount
- With a yearly dividend of 0.44%, AAON is not a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 0.74, AAON has a dividend in line with its industry peers.
- With a Dividend Yield of 0.44, AAON pays less dividend than the S&P500 average, which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.44% |
5.2 History
- The dividend of AAON is nicely growing with an annual growth rate of 9.56%!
- AAON has paid a dividend for at least 10 years, which is a reliable track record.
- AAON has decreased its dividend recently.
Dividend Growth(5Y)9.56%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- AAON pays out 30.30% of its income as dividend. This is a sustainable payout ratio.
- AAON's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP30.3%
EPS Next 2Y50.93%
EPS Next 3Y27.68%
AAON Fundamentals: All Metrics, Ratios and Statistics
99.59
+0.88 (+0.89%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)03-02 2026-03-02/bmo
Earnings (Next)04-30 2026-04-30
Inst Owners92.62%
Inst Owner Change-0.28%
Ins Owners0.82%
Ins Owner Change0.81%
Market Cap8.15B
Revenue(TTM)1.44B
Net Income(TTM)107.59M
Analysts86.15
Price Target120.16 (20.65%)
Short Float %10.79%
Short Ratio8.51
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.44% |
Yearly Dividend0.4
Dividend Growth(5Y)9.56%
DP30.3%
Div Incr Years1
Div Non Decr Years1
Ex-Date03-18 2026-03-18 (0.1)
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.99%
Min EPS beat(2)-14.75%
Max EPS beat(2)12.77%
EPS beat(4)2
Avg EPS beat(4)4.29%
Min EPS beat(4)-34.77%
Max EPS beat(4)53.89%
EPS beat(8)4
Avg EPS beat(8)-0.96%
EPS beat(12)8
Avg EPS beat(12)5.11%
EPS beat(16)11
Avg EPS beat(16)5.96%
Revenue beat(2)2
Avg Revenue beat(2)11.78%
Min Revenue beat(2)11.69%
Max Revenue beat(2)11.86%
Revenue beat(4)3
Avg Revenue beat(4)6.17%
Min Revenue beat(4)-6%
Max Revenue beat(4)11.86%
Revenue beat(8)5
Avg Revenue beat(8)1.99%
Revenue beat(12)9
Avg Revenue beat(12)2.31%
Revenue beat(16)13
Avg Revenue beat(16)3.2%
PT rev (1m)2.26%
PT rev (3m)2.26%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-33.83%
EPS NY rev (1m)-0.6%
EPS NY rev (3m)-0.85%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)4.74%
Revenue NY rev (1m)0%
Revenue NY rev (3m)9.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 73.77 | ||
| Fwd PE | 49.31 | ||
| P/S | 5.65 | ||
| P/FCF | N/A | ||
| P/OCF | 15263 | ||
| P/B | 9.11 | ||
| P/tB | 11.18 | ||
| EV/EBITDA | 37.67 |
EPS(TTM)1.35
EY1.36%
EPS(NY)2.02
Fwd EY2.03%
FCF(TTM)-2.5
FCFYN/A
OCF(TTM)0.01
OCFY0.01%
SpS17.62
BVpS10.94
TBVpS8.91
PEG (NY)1.49
PEG (5Y)9.63
Graham Number18.2257 (-81.7%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.38% | ||
| ROE | 12.02% | ||
| ROCE | 10.79% | ||
| ROIC | 8.91% | ||
| ROICexc | 8.91% | ||
| ROICexgc | 10.15% | ||
| OM | 10.14% | ||
| PM (TTM) | 7.46% | ||
| GM | 26.75% | ||
| FCFM | N/A |
ROA(3y)13.2%
ROA(5y)12.19%
ROE(3y)18.87%
ROE(5y)17.43%
ROIC(3y)16.66%
ROIC(5y)15.16%
ROICexc(3y)16.67%
ROICexc(5y)15.2%
ROICexgc(3y)19.97%
ROICexgc(5y)18.87%
ROCE(3y)20.18%
ROCE(5y)18.36%
ROICexgc growth 3Y-20.61%
ROICexgc growth 5Y-16.87%
ROICexc growth 3Y-17.38%
ROICexc growth 5Y-18.84%
OM growth 3Y-10.75%
OM growth 5Y-11.35%
PM growth 3Y-12.91%
PM growth 5Y-13.44%
GM growth 3Y0.02%
GM growth 5Y-2.45%
F-Score3
Asset Turnover0.86
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.45 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.81 | ||
| Cap/Depr | 258.73% | ||
| Cap/Sales | 14.21% | ||
| Interest Coverage | 8.81 | ||
| Cash Conversion | 0.24% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.63 | ||
| Quick Ratio | 1.84 | ||
| Altman-Z | 8.34 |
F-Score3
WACC10.28%
ROIC/WACC0.87
Cap/Depr(3y)278.04%
Cap/Depr(5y)234.16%
Cap/Sales(3y)13.78%
Cap/Sales(5y)11.55%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-32.84%
EPS 3Y3.06%
EPS 5Y7.66%
EPS Q2Q%30%
EPS Next Y49.61%
EPS Next 2Y50.93%
EPS Next 3Y27.68%
EPS Next 5Y36.17%
Revenue 1Y (TTM)20.11%
Revenue growth 3Y17.51%
Revenue growth 5Y22.89%
Sales Q2Q%42.49%
Revenue Next Year23.55%
Revenue Next 2Y18.52%
Revenue Next 3Y15.33%
Revenue Next 5Y16.38%
EBIT growth 1Y-30.01%
EBIT growth 3Y4.87%
EBIT growth 5Y8.94%
EBIT Next Year119.83%
EBIT Next 3Y53.49%
EBIT Next 5YN/A
FCF growth 1Y-891.11%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-99.72%
OCF growth 3Y-79.42%
OCF growth 5Y-66.62%
AAON INC / AAON Fundamental Analysis FAQ
Can you provide the ChartMill fundamental rating for AAON INC?
ChartMill assigns a fundamental rating of 5 / 10 to AAON.
What is the valuation status of AAON INC (AAON) stock?
ChartMill assigns a valuation rating of 1 / 10 to AAON INC (AAON). This can be considered as Overvalued.
What is the profitability of AAON stock?
AAON INC (AAON) has a profitability rating of 5 / 10.
How financially healthy is AAON INC?
The financial health rating of AAON INC (AAON) is 5 / 10.
What is the earnings growth outlook for AAON INC?
The Earnings per Share (EPS) of AAON INC (AAON) is expected to grow by 49.61% in the next year.