Every part of our life today is touched by the magic of technology in some of the other forms. Technological advancements in every field have provided a new level of ease and comfort for us. Come to think of it, even small things are now controlled by technology and digitization. One such aspect of life is our living conditions. By living conditions, I mean the temperature in our homes. Air conditioners have made it so convenient for us to keep the environment in our homes cozy and comfortable. Heating and cooling systems have given a new level of comfort and it has now become an almost inseparable part of our life.
Investing in the stock market can be a tricky ball game. With so many industries in the market, it can be confusing to choose which company or industry to invest in. The industry dealing in heating and cooling equipment falls under the capital goods sector in the stock market, specifically the Nasdaq index. This industry comprises companies dealing in industrial-grade equipment as well as consumer-based products. These equipment are also known as heating, ventilation and air conditioning (HVAC) equipment.
If you want to invest in this sector which is ever-present in our lives and is definitely here to stay, you might want to consider the company AAON. This company is engaged in the engineering, manufacturing, marketing and sale of semi-custom HVAC equipment for commercial and residential use. Primarily, it makes and sells air conditioning and heating equipment for the new construction and replacement markets. AAON Inc. (NASDAQ: AAON) was founded by Norm Asbjornson in 1987 when the company acquired John Zink. The company’s headquarters are in Tulsa, Oklahoma. Its subsidiaries are engaged in the production of various components of heating and air conditioning equipment.
AAON Inc. (NASDAQ: AAON at https://www.webull.com/quote/nasdaq-aaon) has a market cap of more than 3 billion dollars. Its competitors are A.O. Smith, Lennox International, Mestek, LSB Industries, Standex International, Trex, Masco, Owens Corning, etc. In the first two quarters of 2020, the company has reported a little more than expected earnings and revenue. Analysts estimated earnings per share to be $0.35 as opposed to the actual EPS of $0.41, and revenue estimated was $125 million but the actual revenue stands at $137 million. The company pays out 37.25% of its earnings as dividends to its shareholders. The company’s dividends have grown since the past 5 years.
If you are looking to invest or stock trading online in this stock, comparing its performance with its peers would be a good idea. Also, check for technical data like ratios to make up your mind on whether this stock is good for your portfolio.