| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 28 | 68.9x | 17.8x | Bottom tier | |
Growth | 21 | -2.7% | 7.1% | Bottom tier | |
Quality | 59 | 8.2% | 4.5% | Around median | |
Safety | 49 | 3.7x | 2.6x | Around median | |
Capital Return | 93 | — | 2.12% | Top tier | |
Momentum | — | — | 2.9% | N/A | |
Sentiment | 96 | — | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Madison Air Solutions Corporation builds and expands air quality businesses in specialized areas adjacent to traditional HVAC systems through two segments, commercial and residential. Its portfolio includes Addison, AprilAire, Big Ass Fans, Broan-NuTone, Nortek Air Solutions, Nortek Data Center Cooling, and Reznor, and it generates revenue from thermal management, air handling, energy efficiency, humidity control, air purification, ventilation, services, and replacement parts solutions. The company generated approximately $3.5 billion in revenue in 2025, distributed across a portfolio predominantly active in North America, while aftermarket sales represented approximately 10% of revenue and services grew at a double-digit compound annual rate.
In the second quarter of fiscal year 2026, Madison Air reported revenue of $991.3 million, gross profit of $386.4 million, and net income of $69.2 million, equivalent to earnings per share of $0.15. These results equate to a gross margin of approximately 39.0% and a net income margin of approximately 7.0%. Compared with the previous quarterly data presented, revenue increased from $819.6 million, gross profit from $322.4 million, and net income from $22.3 million.
The first-quarter fiscal year 2026 results illustrate the business mix that drove performance before the latest financial disclosure: commercial segment sales reached $610 million, with reported growth of 24% and combined-company growth of 18%, versus $316 million for the residential segment, with reported growth of 60% and combined-company growth of 4%. Adjusted EBITDA for the commercial segment reached $161 million, up 25%, and adjusted EBITDA for the residential segment reached $79 million, up 84%. On a preliminary company-wide basis, sales grew 13% to $924 million and adjusted EBITDA increased 16%, with its margin expanding by 70 basis points to 25.3%.
The stock has a Buy analyst consensus, with an average target of $44.63 and a relatively wide target range of $38 to $50; the average is slightly above the peak of the 52-week range of $44.50, compared with a low of $24.75. No usable price-to-earnings ratio appears in the data, so MAIR's valuation depends more heavily on executing fiscal year 2026 guidance, achieving the targeted adjusted EBITDA margin of approximately 27%, and absorbing the impact of issuing 90.1 million shares and the $5.8 billion ebm-papst transaction.
Figures in the text are as of 2026-08-29; the live price is shown at the top of the page.
The commercial segment is driving growth, with its orders increasing 41% and backlog increasing 124% in the first quarter of fiscal year 2026, supported by data centers, clean energy, healthcare, and institutional and government markets. Segment sales reached $610 million, up 18% on a combined-company basis, and adjusted EBITDA reached $161 million. The company is also targeting fiscal year 2026 revenue of between $3.75 billion and $3.85 billion and adjusted EBITDA of between $1.02 billion and $1.065 billion.
Data centers were a major driver of commercial orders and revenue in the first quarter of fiscal year 2026 through Nortek Data Center Cooling and thermal management and air handling solutions. Management described demand as balanced between air and liquid cooling, with the share of liquid cooling increasing compared with the previous year. Backlog in the thermal management and data center platform may extend to four or five quarters, compared with one to three quarters typically for the rest of the business.
On August 22, 2026, Madison Air announced a definitive agreement to acquire Germany-based ebm-papst for $5.8 billion. The transaction aims to add a high-performance air movement technology business and strengthen the company's technical capabilities and global presence. Conversely, the size of the transaction adds financing and execution risks, particularly as Madison Air had been targeting a reduction in net leverage to below 2.5 times within 12 months.
Automated analysis for informational purposes only — not investment advice.
On August 25, 2026, the company announced the sale of 90,108,130 Class A common shares to accredited investors at $24.97 per share. The approximate total value of the placement is $2.25 billion, providing substantial capital and liquidity. However, the increase in the number of shares means dilution of existing shareholders' stakes and may cause earnings per share growth to lag net income growth.
Demand for AprilAire healthy air solutions grew in the low double digits during the first quarter of fiscal year 2026 despite weakness in housing starts and renovation. Management indicates that 92% of U.S. homes have none of its purification, ventilation, humidification, dehumidification, sensing, or control solutions. The company's channel reaches approximately 40 million home opportunities annually, including nearly 30 million service visits and 10 million HVAC system replacements.
Guidance assumes total tariff costs of $100 million in fiscal year 2026, including approximately $50 million incremental to the previous year's rate. The company plans to offset the cost through pricing and operational measures while targeting an adjusted EBITDA margin of approximately 27%. However, weak residential volumes, delayed tariff recovery, or supply chain disruption related to the Middle East conflict could pressure the achievement of this level. The impact was not material according to the May 12, 2026 disclosure, but management continued to monitor it.
