LII Stock Analysis: Lennox International | NYSE
Building Products & Equipment | NYSE, USA | Market Cap: 12.390m USD | 12M Return: -30.8% | US5261071071 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 175M
EPS Trend: 87.4%
Qual. Beats: 0
Rev. Trend: 77.0%
Qual. Beats: 0
Warnings
Tailwinds
No distinct edge detected
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Lennox International Inc. (NYSE: LII) is a U.S.-based manufacturer that designs, produces, and distributes heating, ventilation, air conditioning, and refrigeration (HVACR) equipment across North America and select international markets. The company operates through two reporting segments: Home Comfort Solutions, which serves residential customers with furnaces, air conditioners, heat pumps, indoor air quality systems, and replacement parts under a broad stable of labels including Lennox, Armstrong Air, Ducane, and AirEase; and Building Climate Solutions, which supplies unitary HVAC equipment, controls, installation and service, and commercial refrigeration products under brands such as Lennox, Allied Commercial, Bohn, and Heatcraft Worldwide Refrigeration.
Lennox sells its products and services through a mix of direct sales forces, third-party distributors, and a network of company-owned parts and supplies stores. The multi-brand portfolio is a deliberate strategy to address different price points, distribution channels, and end markets, which is common in the fragmented HVAC industry where competition is shaped by energy-efficiency standards, replacement-cycle demand, and exposure to residential and commercial construction activity. Founded in 1895, Lennox is headquartered in Richardson, Texas, and is classified within the Industrials sector under the Building Products sub-industry.
- Refrigerant phaseout rules lift demand for compliant HVAC systems
- Residential HVAC replacement cycle supports Home Comfort segment revenue
- Heatcraft refrigeration sales grow with commercial food service expansion
| Net Income: 774.5m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.16 > 0.02 and ΔFCF/TA -2.37 > 1.0 |
| NWC/Revenue: 15.45% < 20% (prev 10.81%; Δ 4.64% < -1%) |
| CFO/TA 0.20 > 3% & CFO 894.7m > Net Income 774.5m |
| Net Debt (2.49b) to EBITDA (1.14b): 2.18 < 3 |
| Current Ratio: 1.57 > 1.5 & < 3 |
| Outstanding Shares: last quarter (34.8m) vs 12m ago -1.97% < -2% |
| Gross Margin: 33.10% > 18% (prev 33.13%; Δ -0.03% > 0.5%) |
| Asset Turnover: 129.4% > 50% (prev 148.3%; Δ -18.93% > 0%) |
| Interest Coverage Ratio: 18.13 > 6 (EBIT TTM 1.02b / Interest Expense TTM 56.3m) |
| A: 0.18 (Total Current Assets 2.26b - Total Current Liabilities 1.44b) / Total Assets 4.54b |
| B: 1.14 (Retained Earnings 5.19b / Total Assets 4.54b) |
| C: 0.25 (EBIT TTM 1.02b / Avg Total Assets 4.10b) |
| D: 0.40 (Book Value of Equity 1.30b / Total Liabilities 3.25b) |
| Altman-Z'' = 6.99 = AAA |
| DSRI: 1.08 (Receivables 918.1m/868.2m, Revenue 5.30b/5.42b) |
| GMI: 1.00 (GM 33.13% / 33.10%) |
| AQI: 1.58 (AQ_t 0.21 / AQ_t-1 0.13) |
| SGI: 0.98 (Revenue 5.30b / 5.42b) |
| TATA: -0.03 (NI 774.5m - CFO 894.7m) / TA 4.54b) |
| Beneish M = -2.63 (Cap -4..+1) = A |
As of October 19, 2026, the stock is trading at USD 357.73 with a total of 589,531 shares traded. Over the past week, the price has changed by +0.36%, over one month by +0.00%, over three months by -33.98% and over the past year by -30.79%.
Current recommended Stop Loss: 337.60 (which is 5.6% or 1.8 ATR below the current price).
Lennox International has received a consensus analysts rating of 3.39. Therefore, it is recommended to hold LII.
- StrongBuy: 4
- Buy: 1
- Hold: 12
- Sell: 0
- StrongSell: 1
| Analysts Target Price | 449.3 | 25.6% |
P/E Trailing = 15.8069
P/E Forward = 14.1643
P/S = 2.3368
P/B = 9.9201
P/EG = 0.9442
Revenue TTM = 5.30b USD
EBIT TTM = 1.02b USD
EBITDA TTM = 1.14b USD
Long Term Debt = 1.09b USD (from longTermDebt, last quarter)
Short Term Debt = 519.3m USD (from shortTermDebt, last quarter)
Debt = 2.54b USD (from shortLongTermDebtTotal, last quarter) + Leases 518.1m
Net Debt = 2.49b USD (calculated: Debt 2.54b - CCE 52.1m)
Enterprise Value = 14.9b USD (12.4b + Debt 2.54b - CCE 52.1m)
Interest Coverage Ratio = 18.13 (Ebit TTM 1.02b / Interest Expense TTM 56.3m)
EV/FCF = 20.14x (Enterprise Value 14.9b / FCF TTM 738.7m)
FCF Yield = 4.96% (FCF TTM 738.7m / Enterprise Value 14.9b)
FCF Margin = 13.93% (FCF TTM 738.7m / Revenue TTM 5.30b)
Net Margin = 14.61% (Net Income TTM 774.5m / Revenue TTM 5.30b)
Gross Margin = 33.10% ((Revenue TTM 5.30b - Cost of Revenue TTM 3.55b) / Revenue TTM)
Gross Margin QoQ = 34.91% (prev 30.95%)
Tobins Q-Ratio = 3.27 (Enterprise Value 14.9b / Total Assets 4.54b)
Interest Expense / Debt = 2.21% (Interest Expense 56.3m / Debt 2.54b)
Taxrate = 19.66% (189.5m / 964.0m)
NOPAT = 820.3m (EBIT 1.02b * (1 - 19.66%))
Current Ratio = 1.57 (Total Current Assets 2.26b / Total Current Liabilities 1.44b)
Debt / Equity = 1.96 (Debt 2.54b / totalStockholderEquity, last quarter 1.30b)
Debt / EBITDA = 2.18 (Net Debt 2.49b / EBITDA 1.14b)
Debt / FCF = 3.37 (Net Debt 2.49b / FCF TTM 738.7m)
Total Stockholder Equity = 1.19b (last 4 quarters mean from totalStockholderEquity)
RoA = 18.90% (Net Income 774.5m / Total Assets 4.54b)
RoE = 65.30% (Net Income TTM 774.5m / Total Stockholder Equity 1.19b)
RoCE = 44.77% (EBIT 1.02b / Capital Employed (Equity 1.19b + L.T.Debt 1.09b))
RoIC = 22.96% (NOPAT 820.3m / Invested Capital 3.57b)
WACC = 8.42% (E(12.4b)/V(14.9b) * Re(9.78%) + D(2.54b)/V(14.9b) * Rd(2.21%) * (1-Tc(0.20)))
Discount Rate = 9.78% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -92.84 | Cagr: -1.25%
[DCF] Terminal Value 76.28% ; FCFF base≈715.3m ; Y1≈769.4m ; Y5≈935.4m
[DCF] Fair Price = 338.3 (EV 14.2b - Net Debt 2.49b = Equity 11.7b / Shares 34.6m; r=8.42% [WACC]; 5y FCF grow 8.62% → 2.50% )
EPS Correlation: 87.38 | EPS CAGR: 11.75% | SUE: 0.17 | # QB: 0
Revenue Correlation: 77.03 | Revenue CAGR: 2.94% | SUE: -0.28 | # QB: 0
EPS current Quarter (2026-09-30): EPS=7.35 | Chg30d=-1.65% | Revisions=+0% | Analysts=17
EPS current Year (2026-12-31): EPS=23.45 | Chg30d=-0.66% | Revisions=+0% | GrowthEPS=+1.2% | GrowthRev=+7.6%
EPS next Year (2027-12-31): EPS=25.80 | Chg30d=-1.35% | Revisions=-57% | GrowthEPS=+10.0% | GrowthRev=+6.0%
[Analyst] Revisions Ratio: -27% (up=4, down=8)