Is the business good?
How good a business is AAON?
AAON, Inc. earns 17% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
17%
Return on invested capital · cost of capital 9.0% · 7.7 points above what the capital costs: growth creates value
- Operating margin
- 11%
Operating margin · Building Products & Equipment median 16% · 12 months to Q2 2026
- Cash conversion
- −0.75×
Cash conversion · −1.47× a year ago · some of the reported profit has not turned into cash yet
- Share count, year on year
- +0.92%
Share count, year on year · flat: no meaningful dilution
| Year | Operating margin |
|---|---|
| FY2020 | 20% |
| FY2021 | 13% |
| FY2022 | 14% |
| FY2023 | 19% |
| FY2024 | 17% |
| FY2025 | 10% |
Details›
- Gross margin12 months to Q2 2026
- 26%
- Operating margin12 months to Q2 2026
- 11%
- Net margin12 months to Q2 2026
- 8.2%
- Free cash flow margin
- −6.2%
- Revenue, trailing twelve months
- $1.93B
- Free cash flow, trailing twelve months
- −$119M
- Net income, trailing twelve months
- $159M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 17%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Building Products & Equipment
Ranks #16 of 18 by Smart Score