The Aaron's Company, Inc. (AAN) Stock Analysis
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
The Aaron's Company, Inc. (AAN) trades at $10.09 with AI Score 44/100 (Grade C). The Aaron's Company, Inc. provides lease-to-own and retail purchase solutions for furniture, appliances, electronics, and other goods. Market cap: $318M, Sector: Industrials.
Price as of Jul 20, 2026 · Last analyzed: May 10, 2026Analyst Coverage for AAN: AAN does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage. In the absence of analyst consensus, our AI model evaluates AAN against Industrials peers across nine fundamental dimensions and assigns an underweight signal based on the underlying data.
AAN: the 3 scored disciplines are evenly split. Dominant signal: Seth Klarman bullish.
How is this calculated? →Why this analysis is different
- A 9-signal quantitative MoonshotScore built from filings, insider activity, and market data — computed from the numbers, not from opinion.
- An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
- Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.
The Aaron's Company, Inc. (AAN) Industrial Operations Profile
The Aaron's Company, Inc. offers lease-to-own solutions for furniture, appliances, and electronics, operating through a network of company-owned and franchised stores, and an e-commerce platform in the United States and Canada. Its direct-to-consumer model and manufacturing capabilities differentiate it within the rental and leasing services sector.
What Is the Investment Thesis for AAN?
The Aaron's Company, Inc. presents a mixed investment thesis. The company's established presence in the lease-to-own market and its integrated manufacturing capabilities offer a degree of stability. The dividend yield of 4.96% may attract income-focused investors. However, a high P/E ratio of 110.0 suggests the stock may be overvalued relative to its earnings. The company's profitability, indicated by a slim 0.1% profit margin, raises concerns about its operational efficiency. Upcoming growth hinges on expanding its e-commerce presence and optimizing its store network. Investors should closely monitor the company's ability to improve profitability and manage its debt effectively.
Based on FMP financials and quantitative analysis
AAN Key Highlights
- Market capitalization of $318M, reflecting its current valuation in the market.
- P/E ratio of 110.0, indicating the price investors are willing to pay for each dollar of earnings.
- Gross margin of 52.3%, showcasing the profitability of its products and services before operating expenses.
- Dividend yield of 4.96%, providing a substantial return to shareholders through dividend payments.
- Beta of 1.42, indicating higher volatility compared to the overall market.
Who Are AAN's Competitors?
AAN is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| FTAI FTAI Aviation Ltd. | $199.71 | -3.74% | $20.5B | 38 |
| EOHDF Emeco Holdings Limited | $0.70 | +0.00% | $361M | 48 |
| CFRLF China Aircraft Leasing Group Holdings Limited | $0.64 | +0.00% | $482M | 56 |
| ICHHF Ichinen Holdings Co., Ltd. | $8.66 | +0.00% | $205M | 45 |
| ALTG Alta Equipment Group Inc. | $6.25 | -1.96% | $204M | 32 |
| HTZWW Hertz Global Holdings, Inc. | $0.81 | +0.00% | $568M | 39 |
| AOHLF Autohellas S.A. | $13.63 | +0.00% | $654M | 40 |
| BEBE Bebe Stores, Inc. | $9.97 | -0.10% | $150M | 47 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are AAN's Key Strengths?
- Established brand presence in the lease-to-own market.
- Integrated manufacturing capabilities.
- Extensive network of company-operated and franchised stores.
- E-commerce platform for online sales.
What Are AAN's Weaknesses?
- Low profit margin of 0.1%.
- High P/E ratio of 110.0.
- Dependence on economic conditions and consumer spending.
- Potential for regulatory scrutiny in the lease-to-own industry.
What Could Drive AAN Stock Higher?
- Expansion of the e-commerce platform to drive online sales growth.
- Optimization of the store network to improve operational efficiency.
- Introduction of new product offerings to attract a broader customer base.
- Strengthening relationships with franchisees to enhance overall performance.
What Are the Key Risks for AAN?
- Rich valuation — a P/E of 110.0 runs well above the Industrials sector’s ~30x, leaving little room for a miss.
- Increased competition from traditional retailers and online marketplaces.
- Economic downturns affecting consumer spending.
- Changes in regulations impacting the lease-to-own industry.
- Fluctuations in interest rates and credit availability.
- Low profit margin impacting overall financial performance.
What Are the Growth Opportunities for AAN?
- Expansion of E-commerce Platform: The Aaron's Company can capitalize on the growing trend of online shopping by further developing its e-commerce platform. Investing in user experience, expanding product offerings, and enhancing digital marketing efforts can drive online sales.
- Optimization of Store Network: Optimizing the store network by closing underperforming locations and opening new stores in strategic markets can improve overall profitability. Analyzing market demographics, consumer demand, and competitive landscape can inform store location decisions. This strategic approach can enhance operational efficiency and drive revenue growth.
- Enhancement of Product Offerings: Expanding product offerings to include new categories and brands can attract a broader customer base. Conducting market research to identify emerging trends and consumer preferences can guide product development efforts. Introducing innovative products and exclusive partnerships can differentiate Aaron's from its competitors.
- Strengthening Franchise Relationships: Strengthening relationships with franchisees through enhanced support, training, and marketing programs can improve overall performance. Providing franchisees with access to advanced technology and data analytics can help them optimize their operations and increase sales. A strong franchise network can drive brand awareness and market penetration.
- Leveraging Data Analytics: Utilizing data analytics to gain insights into customer behavior, market trends, and operational efficiency can drive informed decision-making. Analyzing customer data can help personalize marketing campaigns, optimize pricing strategies, and improve inventory management. Leveraging data analytics can enhance overall business performance and competitive advantage.
What Opportunities Does AAN Have?
- Expansion of e-commerce platform.
- Optimization of store network.
- Enhancement of product offerings.
- Strengthening franchise relationships.
What Threats Does AAN Face?
- Increased competition from traditional retailers and online marketplaces.
- Economic downturns affecting consumer spending.
- Changes in regulations impacting the lease-to-own industry.
- Fluctuations in interest rates and credit availability.
What Are AAN's Competitive Advantages?
- Established brand recognition in the lease-to-own market.
- Integrated manufacturing capabilities for bedding and upholstered furniture.
- Extensive network of company-operated and franchised stores.
- Proprietary technology platform for managing lease agreements and customer data.
What Does AAN Do?
Founded in 1955 and headquartered in Atlanta, Georgia, The Aaron's Company, Inc. has evolved into a prominent provider of lease-to-own and retail purchase solutions. Originally known as Aaron Rents, the company began by offering furniture rentals and has expanded its offerings to include appliances, electronics, computers, and accessories. Aaron's operates through a network of 1,074 company-operated stores and 236 independently owned franchised stores as of December 31, 2021, across the United States and Canada. The company also reaches customers through its e-commerce platform, enhancing accessibility and convenience. In addition to its retail operations, The Aaron's Company manufactures and supplies bedding and upholstered furniture, providing a vertically integrated element to its business model. The company's focus on direct-to-consumer sales and lease ownership caters to a specific market segment seeking flexible payment options for essential household goods.
What Products and Services Does AAN Offer?
- Provides lease-to-own solutions for furniture, appliances, and electronics.
- Engages in direct-to-consumer sales through company-operated stores.
- Offers lease ownership options through franchised stores.
- Operates an e-commerce platform for online sales.
- Manufactures and supplies bedding and upholstered furniture.
- Provides accessories related to its core product offerings.
How Does AAN Make Money?
- Generates revenue through lease payments and retail sales.
- Offers flexible payment options to customers.
- Manages a network of company-operated and franchised stores.
- Utilizes an e-commerce platform for online sales and customer engagement.
What Industry Does AAN Operate In?
The Aaron's Company operates within the Rental & Leasing Services industry, which caters to consumers seeking flexible payment options for essential goods. The industry is influenced by economic conditions, consumer spending habits, and credit availability. Competition includes traditional retailers, online marketplaces, and other lease-to-own providers. Aaron's differentiates itself through its integrated manufacturing capabilities and established store network. The industry is expected to see growth in the e-commerce segment, driven by changing consumer preferences and technological advancements.
Who Are AAN's Key Customers?
- Consumers seeking flexible payment options for furniture, appliances, and electronics.
- Individuals with limited access to traditional credit.
- Customers in the United States and Canada.
- Households looking to furnish their homes with affordable payment plans.
FY2026 estForward Outlook
Wall Street analysts project The Aaron's Company, Inc. revenue of about $2.21B for fiscal 2026, with EPS near $0.81.
F-Score 5/9Financial Health
The Aaron's Company, Inc.'s Piotroski F-Score is 5/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 1.99 places it in the grey zone, a middle ground that warrants monitoring.
ROE 0%Key Financial Metrics
Return on equity for The Aaron's Company, Inc. stands at 0.4%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 0.2%, showing how much profit it generates from its asset base. AAN trades at a trailing price-to-earnings ratio of 110.01, above the Industrials sector average of ~30x. Its free cash flow yield is 27.0%, a gauge of the cash the business throws off relative to its market value. A current ratio of 2.08 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is 0.9%, the inverse of the P/E and a quick read on earnings relative to price.
The Aaron's Company, Inc. (AAN) Valuation Context
Valued at $318M, AAN is classified as a small-cap stock. Relative to its peer group, AAN's quantitative score of 44/100 is roughly in line with the peer average of 44/100.
AAN Revenue & Earnings Trend
In Q2 2024, AAN generated $503.1M in top-line revenue, marking a sequential decrease of 1.6%. The company recorded a net loss of $11.9M, with diluted EPS of $-0.39.
Company Profile
The Aaron's Company, Inc. operates in the Rental & Leasing Services industry within the Industrials sector. It is headquartered in Atlanta, US. The company is led by CEO Douglas A. Lindsay. AAN has traded publicly since 2020.
AAN Financials
Fundamental Snapshot
Based on FMP financials and quantitative analysis
Bull Case vs Bear Case
Bull Case
- Recent insider buying suggests confidence in the company's future, indicating that key stakeholders believe in its potential.
- Community sentiment has shifted positively, with discussions highlighting improvements in customer service and product offerings.
- Analysts are noting a growing demand for rental and lease-to-own services, which aligns with Aaron's business model.
- The company's strategic partnerships have expanded its market reach, enhancing brand visibility and attracting new customers.
Bear Case
- Concerns have emerged regarding rising competition in the rental space, which could pressure margins and market share.
- Social sentiment reflects skepticism about the sustainability of recent growth, with some community members questioning long-term profitability.
- Insider selling activity, while not dominant, raises red flags about potential challenges ahead, suggesting a lack of confidence among some insiders.
- Economic uncertainties and potential shifts in consumer spending could negatively impact demand for rental services, creating a bearish outlook.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · March 2026
Recent Quarterly Results
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q2 2024 | $503M | -$12M | -$0.39 |
| Q1 2024 | $511M | -$14M | -$0.46 |
Based on FMP financials and quantitative analysis
AAN Latest News
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Stocks That Hit 52-Week Lows On Friday
· Feb 28, 2020
AAN Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for AAN.
Price Targets
Wall Street price target analysis for AAN.
AAN MoonshotScore
What does this score mean?
The MoonshotScore rates AAN 0-100 on quantitative fundamentals — growth, financial health, valuation, momentum, and risk.
Classification
Industry Rental & Leasing ServicesLeadership: Douglas A. Lindsay
CEO
Douglas A. Lindsay serves as the CEO of The Aaron's Company, bringing extensive experience in retail and consumer finance. His career includes leadership roles at various companies, where he focused on driving growth, improving operational efficiency, and enhancing customer experience. He has a proven track record of developing and executing strategic initiatives to achieve business objectives. His expertise spans across various functions, including sales, marketing, operations, and finance.
Track Record: Since becoming CEO, Douglas A. Lindsay has focused on optimizing the company's store network, expanding its e-commerce platform, and enhancing its product offerings. He has also prioritized strengthening relationships with franchisees and leveraging data analytics to improve decision-making. Under his leadership, the company has navigated a challenging economic environment while maintaining its commitment to providing affordable payment options to customers.
Common Questions About AAN (Industrials)
What does the AI Score mean for AAN?
AAN holds an AI Score of 44/100 (Grade: C). This is an educational research signal, not a buy or sell recommendation. The Aaron's Company, Inc. provides lease-to-own and retail purchase solutions for furniture, appliances, electronics, and other goods. Operating through company-owned and franchised stores, as well …
What does The Aaron's Company, Inc. do?
The Aaron's Company, Inc. provides lease-to-own and retail purchase solutions for furniture, appliances, electronics, and accessories. The company operates through company-operated and franchised stores in the United States and Canada, as well as an e-commerce platform. It offers flexible payment options to customers who may have limited access to traditional credit, allowing them to acquire essential household goods.
What do analysts say about AAN stock?
Analyst coverage of The Aaron's Company, Inc. (AAN) is limited, but key valuation metrics and growth considerations are typically focused on revenue growth, profitability, and market share within the lease-to-own industry. The company's P/E ratio of 110.0 suggests a premium valuation, while its dividend yield of 4.96% may attract income-focused investors.
What are the main risks for AAN?
The Aaron's Company, Inc. faces several risks, including increased competition from traditional retailers and online marketplaces, economic downturns affecting consumer spending, and changes in regulations impacting the lease-to-own industry. Fluctuations in interest rates and credit availability can also impact the company's ability to offer affordable payment options to customers.
What are the key factors to evaluate for AAN?
The Aaron's Company, Inc. (AAN) holds an AI score of 44/100 (low). P/E: 110.0x vs the S&P 500's ~20-25x. Not financial advice.
How frequently does AAN data refresh on this page?
AAN's price was last updated on Jul 20, 2026 and refreshes on page view during U.S. market hours — it is not a real-time exchange feed. Fundamentals update after quarterly filings; the MoonshotScore recalculates nightly; news aggregates continuously.
What has driven AAN's recent stock price performance?
The Aaron's Company, Inc. (AAN) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Established brand presence in the lease-to-own market. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider AAN overvalued or undervalued right now?
The Aaron's Company, Inc. (AAN) trades at 110.0x earnings. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
How do I research AAN before investing?
Before investing in The Aaron's Company, Inc. (AAN), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) analyst consensus ratings and price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- Information is based on available data as of 2026-05-10.
- Financial data is based on the most recent filings.
- Analyst opinions may vary.