AAON (NASDAQ:AAON) Trading 4.2% Higher - Here's Why

Key Points

• AAON shares rose 4.2% to about $79.43 in midday trading, although volume was 92% below the stock’s average daily level.
• The company reported strong quarterly results, with EPS of $0.69 versus the $0.51 consensus and revenue of $626.98 million, up 101.2% year over year and well above estimates.
• Analysts maintain a generally positive outlook, with a “Moderate Buy” consensus and an average price target of $126.67, despite several recent target-price reductions; AAON also declared a quarterly dividend of $0.10 per share.

AAON, Inc. (NASDAQ:AAON - Get Free Report)'s share price rose 4.2% on Wednesday . The company traded as high as $78.85 and last traded at $79.4270. Approximately 87,882 shares were traded during mid-day trading, a decline of 92% from the average daily volume of 1,048,555 shares. The stock had previously closed at $76.19.

Wall Street Analysts Forecast Growth

Several equities research analysts have commented on the company. Weiss Ratings restated a "hold (c)" rating on shares of AAON in a research note on Tuesday, July 14th. Robert W. Baird reduced their price objective on AAON from $150.00 to $135.00 and set an "outperform" rating on the stock in a research note on Tuesday, August 11th. KeyCorp reiterated a "sector weight" rating on shares of AAON in a report on Thursday, August 13th. Oppenheimer dropped their target price on shares of AAON from $145.00 to $125.00 and set an "outperform" rating for the company in a research report on Tuesday, August 11th. Finally, Zacks Research lowered shares of AAON from a "strong-buy" rating to a "hold" rating in a report on Tuesday, July 7th. Four analysts have rated the stock with a Buy rating and three have given a Hold rating to the company's stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $126.67.

AAON Trading Up 5.4%

The stock has a market capitalization of $6.62 billion, a PE ratio of 41.75, a PEG ratio of 1.44 and a beta of 1.45. The company has a current ratio of 3.01, a quick ratio of 2.01 and a debt-to-equity ratio of 0.43. The business's 50-day moving average is $104.23 and its two-hundred day moving average is $105.09.

AAON (NASDAQ:AAON - Get Free Report) last released its quarterly earnings data on Monday, August 10th. The construction company reported $0.69 EPS for the quarter, beating the consensus estimate of $0.51 by $0.18. The company had revenue of $626.98 million for the quarter, compared to analyst estimates of $508.82 million. AAON had a return on equity of 17.32% and a net margin of 8.24%.The firm's revenue was up 101.2% compared to the same quarter last year. During the same period last year, the company posted $0.22 earnings per share. On average, analysts predict that AAON, Inc. will post 2.3 earnings per share for the current year.

AAON Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, September 25th. Investors of record on Friday, September 4th will be issued a dividend of $0.10 per share. This represents a $0.40 annualized dividend and a dividend yield of 0.5%. The ex-dividend date is Friday, September 4th. AAON's dividend payout ratio (DPR) is presently 20.83%.

Insider Activity at AAON

In other AAON news, Director Gary D. Fields sold 19,000 shares of the stock in a transaction that occurred on Friday, May 29th. The shares were sold at an average price of $140.20, for a total value of $2,663,800.00. Following the completion of the sale, the director owned 15,252 shares of the company's stock, valued at $2,138,330.40. This trade represents a 55.47% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CAO Rebecca Thompson sold 4,230 shares of AAON stock in a transaction that occurred on Tuesday, June 2nd. The shares were sold at an average price of $143.42, for a total transaction of $606,666.60. Additional details regarding this sale are available in the official SEC disclosure. Insiders own 18.09% of the company's stock.

Institutional Investors Weigh In On AAON

A number of large investors have recently added to or reduced their stakes in the company. Millennium Management LLC lifted its holdings in AAON by 429.3% in the 1st quarter. Millennium Management LLC now owns 81,145 shares of the construction company's stock worth $6,340,000 after buying an additional 65,813 shares in the last quarter. NewEdge Advisors LLC increased its position in shares of AAON by 1.8% during the first quarter. NewEdge Advisors LLC now owns 16,267 shares of the construction company's stock worth $1,271,000 after acquiring an additional 294 shares during the last quarter. Goldman Sachs Group Inc. lifted its stake in shares of AAON by 20.6% in the first quarter. Goldman Sachs Group Inc. now owns 430,936 shares of the construction company's stock worth $33,669,000 after acquiring an additional 73,644 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its holdings in AAON by 5.7% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 233,002 shares of the construction company's stock valued at $18,204,000 after purchasing an additional 12,489 shares during the last quarter. Finally, EverSource Wealth Advisors LLC boosted its holdings in AAON by 96.5% in the second quarter. EverSource Wealth Advisors LLC now owns 334 shares of the construction company's stock valued at $25,000 after purchasing an additional 164 shares during the last quarter. 70.81% of the stock is owned by institutional investors and hedge funds.

About AAON

AAON, Inc NASDAQ: AAON is a U.S.-based designer and manufacturer of heating, ventilation and air conditioning (HVAC) equipment for commercial and industrial applications. The company's product portfolio focuses on rooftop packaged units, water-source heat pumps, chillers and custom-engineered solutions that cater to a wide array of building types, from office complexes and schools to data centers and healthcare facilities.

AAON's core offerings include rooftop units available in gas, electric and dual-fuel configurations, precision air-conditioning systems for temperature- and humidity-sensitive environments, and modular chillers suited for both indoor and outdoor installations.

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