Heating and cooling solutions company AAON (NASDAQ: AAON) will be reporting earnings this Monday afternoon. Here’s what to look for.
AAON beat analysts’ revenue expectations last quarter, reporting revenues of $496.9 million, up 54.3% year on year. It was an incredible quarter for the company, with a beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.
Is AAON a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting AAON’s revenue to grow 61.4% year on year, improving from its flat revenue in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. AAON has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at AAON’s peers in the hvac and water systems segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Northwest Pipe delivered year-on-year revenue growth of 19.7%, beating analysts’ expectations by 3.1%, and Carrier Global reported revenues up 3.9%, topping estimates by 5.6%. Northwest Pipe traded up 3% following the results while Carrier Global was down 13.6%.
Read our full analysis of Northwest Pipe’s results here and Carrier Global’s results here.
There has been positive sentiment among investors in the hvac and water systems segment, with share prices up 3% on average over the last month. AAON is down 16.4% during the same time and is heading into earnings with an average analyst price target of $151.33 (compared to the current share price of $95.45).
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