AAON, Inc. (AAON) vs Armstrong World Industries, Inc. (AWI)

AAON, Inc. and Armstrong World Industries, Inc. are both Building Products & Equipment companies. Armstrong World Industries, Inc. is the larger, with a market value of $7.0B against $6.4B — 1.1× the size. Armstrong World Industries, Inc. trades at the lower P/E: 23.0× against 37.8×. AAON, Inc. grew revenue faster over the last twelve months: 53.5% against 8.57%. Armstrong World Industries, Inc. has the higher net margin (18.6% vs 8.24%) and the higher return on invested capital (20.6% vs 9.31%). Both pay a dividend; Armstrong World Industries, Inc. yields more (0.81% vs 0.54%). Across the 22 metrics below, Armstrong World Industries, Inc. leads on 14 and AAON, Inc. on 8.

Valuation

Metric AAON AWI Building Products & Equipment median
P/E 37.81 23.04 23.15
P/S 3.14 4.22 2.02
P/B 6.00 8.08 2.81
Price to free cash flow n/m 28.85 16.84
EV/EBITDA 21.67 13.61 12.85
EV/Sales 3.35 4.48 2.04
Earnings yield 2.64% 4.34% 2.76%
Free cash flow yield (2.14%) 3.47% 4.23%

Profitability

Metric AAON AWI Building Products & Equipment median
Gross margin 25.57% 40.30% 29.19%
Operating margin 11.05% 25.79% 6.99%
Net margin 8.24% 18.60% 4.05%
Free cash flow margin (6.71%) 14.61% 7.60%
Return on equity 17.28% 36.62% 9.28%
Return on assets 9.76% 16.30% 2.88%
Return on invested capital 9.31% 20.58% 5.16%

Growth

Metric AAON AWI Building Products & Equipment median
Revenue growth (TTM) 53.53% 8.57% 3.11%
EPS growth (last fiscal year) (36.14%) 17.61% (34.13%)
Revenue growth, 5-year CAGR 22.89% 11.59% 5.37%
Net income growth, 5-year CAGR 6.37% 0.00% 0.00%

Health

Metric AAON AWI Building Products & Equipment median
Debt to equity 0.43 0.59 0.43
Current ratio 3.01 1.52 1.82
Net debt to EBITDA 1.76 0.59 0.98

Dividend

Metric AAON AWI Building Products & Equipment median
Dividend yield 0.54% 0.81% 1.43%
Payout ratio 0.21 0.19 0.29

Size

Metric AAON AWI Building Products & Equipment median
Market cap 6.37b 7.04b 1.17b

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