Executive Vice President Of AAON Makes $484K Buy

On December 15, a substantial insider purchase was made by Stephen E Wakefield, Executive Vice President at AAON (NASDAQ:AAON), as per the latest SEC filing.

What Happened: In a recent Form 4 filing with the U.S. Securities and Exchange Commission on Monday, Wakefield increased their investment in AAON by purchasing 6,141 shares through open-market transactions, signaling confidence in the company's potential. The total transaction value is $484,400.

AAON shares are trading up 2.15% at $78.48 at the time of this writing on Tuesday morning.

About AAON

AAON Inc is a manufacturer of air-conditioning and heating equipment. The products include rooftop units, chillers, packaged outdoor mechanical rooms, air-handling units, makeup air units, energy-recovery units, condensing units, geothermal heat pumps, and self-contained units and coils. The company operates through three segments: AAON Oklahoma, AAON Coil Products, and BASX. It generates the majority of its revenue from the AAON Oklahoma segment which engineers, manufactures, and sells, semi-custom, and custom HVAC systems, designs and manufactures control solutions, and sells retail parts to customers through retail part stores and online.

AAON: Delving into Financials

Revenue Growth: AAON's remarkable performance in 3 months is evident. As of 30 September, 2025, the company achieved an impressive revenue growth rate of 17.41%. This signifies a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Industrials sector.

Insights into Profitability:

• Gross Margin: The company faces challenges with a low gross margin of 27.81%, suggesting potential difficulties in cost control and profitability compared to its peers.

• Earnings per Share (EPS): AAON's EPS reflects a decline, falling below the industry average with a current EPS of 0.38.

Debt Management: AAON's debt-to-equity ratio is below the industry average. With a ratio of 0.44, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

Valuation Metrics:

• Price to Earnings (P/E) Ratio: AAON's stock is currently priced at a premium level, as reflected in the higher-than-average P/E ratio of 63.5.

• Price to Sales (P/S) Ratio: The current P/S ratio of 4.86 is above industry norms, reflecting an elevated valuation for AAON's stock and potential overvaluation based on sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): Boasting an EV/EBITDA ratio of 31.9, AAON demonstrates a robust market valuation, outperforming industry benchmarks.

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

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Illuminating the Importance of Insider Transactions

It's important to note that insider transactions alone should not dictate investment decisions, but they can provide valuable insights.

Exploring the legal landscape, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, as stipulated by Section 12 of the Securities Exchange Act of 1934. This encompasses executives in the c-suite and major hedge funds. These insiders are required to report their transactions through a Form 4 filing, which must be submitted within two business days of the transaction.

Highlighted by a company insider's new purchase, there's a positive anticipation for the stock to rise.

But, insider sells may not necessarily indicate a bearish view and can be motivated by various factors.

Essential Transaction Codes Unveiled

Taking a closer look at transactions, investors often prioritize those unfolding in the open market, meticulously cataloged in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C denotes the conversion of an option, and transaction code A signifies a grant, award, or other acquisition of securities from the company.

Check Out The Full List Of AAON's Insider Trades.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.