AAON (NASDAQ:AAON) Stock Rating Raised to Strong-Buy at Zacks Research

Zacks Research upgraded shares of AAON (NASDAQ:AAON) from a hold rating to a strong-buy rating in a research report sent to investors on Thursday,Zacks reports.

AAON has been the topic of several other reports. Oppenheimer restated an “outperform” rating and set a $105.00 target price (down from $115.00) on shares of AAON in a research note on Tuesday. DA Davidson began coverage on AAON in a research note on Tuesday, September 15th. They issued a “buy” rating and a $110.00 price target for the company. KeyCorp reissued a “sector weight” rating on shares of AAON in a report on Thursday, August 13th. Robert W. Baird lowered their price target on AAON from $110.00 to $104.00 and set an “outperform” rating for the company in a report on Tuesday, November 10th. Finally, Weiss Ratings restated a “hold (c)” rating on shares of AAON in a research note on Monday, October 12th. One research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating and two have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $106.33.

AAON Stock Up 1.8%

NASDAQ AAON traded up $1.45 on Thursday, hitting $80.25. The stock had a trading volume of 1,460,830 shares, compared to its average volume of 1,567,883. The business’s fifty day moving average price is $76.86 and its 200 day moving average price is $96.48. The company has a debt-to-equity ratio of 0.36, a current ratio of 2.82 and a quick ratio of 2.01. AAON has a 52-week low of $53.13 and a 52-week high of $150.46. The stock has a market cap of $6.62 billion, a price-to-earnings ratio of 33.72, a price-to-earnings-growth ratio of 1.29 and a beta of 1.45.

AAON (NASDAQ:AAON) last issued its quarterly earnings data on Monday, November 9th. The construction company reported $0.83 EPS for the quarter, beating the consensus estimate of $0.57 by $0.26. The firm had revenue of $707.43 million during the quarter, compared to analyst estimates of $601.19 million. AAON had a return on equity of 20.23% and a net margin of 8.75%. The business’s revenue for the quarter was up 84.1% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.37 EPS. Equities research analysts anticipate that AAON will post 2.66 earnings per share for the current year.

AAON Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, December 17th. Investors of record on Wednesday, November 25th will be given a $0.10 dividend. This represents a $0.40 annualized dividend and a dividend yield of 0.5%. The ex-dividend date of this dividend is Wednesday, November 25th. AAON’s dividend payout ratio is presently 16.81%.

Insider Buying and Selling at AAON

In other news, Director David Stewart purchased 1,000 shares of the stock in a transaction on Tuesday, September 15th. The stock was bought at an average price of $74.66 per share, with a total value of $74,660.00. Following the transaction, the director owned 4,000 shares in the company, valued at $298,640. The trade was a 33.33% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Matthew Shaub purchased 457 shares of the stock in a transaction on Friday, August 28th. The shares were purchased at an average cost of $76.42 per share, with a total value of $34,923.94. Following the transaction, the executive vice president owned 3,136 shares in the company, valued at $239,653.12. This trade represents a 17.06% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. 18.09% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of the company. SBI Securities Co. Ltd. lifted its holdings in shares of AAON by 363.1% during the third quarter. SBI Securities Co. Ltd. now owns 477 shares of the construction company’s stock worth $39,000 after purchasing an additional 374 shares during the period. Eurizon Capital SGR S.p.A. increased its holdings in AAON by 422.3% in the 3rd quarter. Eurizon Capital SGR S.p.A. now owns 491 shares of the construction company’s stock worth $42,000 after buying an additional 397 shares during the period. EverSource Wealth Advisors LLC increased its holdings in AAON by 48.0% in the 1st quarter. EverSource Wealth Advisors LLC now owns 549 shares of the construction company’s stock worth $45,000 after buying an additional 178 shares during the period. NI Acquisitions Company LLC acquired a new position in AAON in the 2nd quarter worth approximately $102,000. Finally, Central Pacific Bank Trust Division acquired a new position in AAON in the 3rd quarter worth approximately $103,000. 70.81% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting AAON

These are some of the AAON stories that stood out recently:

• Positive Sentiment: AAON reported record third-quarter revenue of $707.4 million, up 84.1% year over year, and EPS of $0.83, above the $0.57 consensus estimate. Management raised its full-year sales-growth outlook to 72%–75%, citing strong demand that includes data-center cooling systems. Why AAON Stock Surged 37.8% This Week
• Positive Sentiment: The company expanded and refinanced its senior credit facility, increasing potential borrowing capacity from $600 million to as much as $1.2 billion. The added capacity may help fund continued growth, though borrowing availability is not the same as cash on hand. The Aaon Group Announces Expansion of Credit Facility
• Positive Sentiment: Zacks upgraded AAON to Rank #1 (Strong Buy), citing improving earnings prospects and estimate revisions—an encouraging near-term signal, though ratings do not guarantee performance. What Makes AAON a New Strong Buy Stock

AAON Company Profile

AAON, Inc. designs and manufactures heating, ventilation and air-conditioning (HVAC) equipment for commercial and industrial buildings. Founded in 1988, the company is headquartered in Tulsa, Oklahoma, and sells products under the AAON and BASX brands. Its products include rooftop units, chillers, air-handling units, heat pumps and other custom HVAC systems. BASX specializes in equipment for data centers and other demanding applications, while AAON also offers controls and related services. AAON serves customers primarily in North America, with products also reaching international markets through its sales and distribution network.