Robert W. Baird & Co. Incorporated on AAON
Thesis
Baird initiated a position in AAON to maintain exposure to industrial companies benefiting from AI infrastructure spending. The investment team believes the market is underestimating both the duration and magnitude of demand for highly engineered cooling systems. Hyperscalers are building AI data centers that require increasingly sophisticated thermal-management systems, creating a potentially durable demand driver for AAON.
“we believe the market is underestimating the duration and magnitude of demand for highly engineered cooling systems”