Why Shares in AAON Surged in February
Shares in premium heating, ventilation, and air conditioning (HVAC) company AAON (NASDAQ: AAON) rose 19.2% in February, according to data provided by S&P Global Market Intelligence. The move comes mainly from an excellent set of fourth-quarter 2022 earnings that dispelled fears investors might have had over its trading conditions.
Specifically, AAON operates in the commercial, industrial, data center, and cleanroom end markets. However, the company is relatively less exposed to the residential HVAC market compared to other providers. Given the pressure homeowners face in the rising rate environment, that's a good thing right now. For example, its competitor Carrier's residential and light commercial HVAC orders declined 30% in its fourth quarter, and Trane's residential HVAC bookings in the Americas were down by a mid 20% percentage in the fourth quarter.
Still, Carrier's commercial HVAC orders were up by over 10%, and Trane's Americas bookings were up by a low-teens percentage.
Source Fool.com
