Update shared on 24 Nov 2025
Fair value Increased 0.30%Narrative Update: Lennox International Analyst Price Target Shift
Analysts have slightly raised their price target for Lennox International, increasing it by approximately $1.73 to $573.86. This change reflects updated expectations for improved revenue growth, although it is offset by a marginally lower profit margin.
What's in the News
- Lennox International is seeking strategic bolt-on acquisitions to enhance distribution capabilities and expand its product portfolio, while maintaining a healthy debt leverage. (Key Developments)
- The company completed a share repurchase of 63,000 shares for $36.95 million between July and September 2025, bringing total buyback progress to over 16 million shares since 2014. (Key Developments)
- Lennox lowered its earnings guidance for 2025 and now expects a revenue decrease of approximately 1% for the full year. (Key Developments)
- The company launched AI-powered support tools for HVAC technicians and homeowners, supporting on-demand troubleshooting. More than 7,000 technicians have registered and provided strong positive feedback since launch. (Key Developments)
- Lennox's commercial cold climate heat pump rooftop unit became the first to pass laboratory validation in the DOE's Commercial Building HVAC Technology Challenge for its category. This marks a significant innovation for high-efficiency HVAC in cold climates. (Key Developments)
Valuation Changes
- Fair Value increased slightly from $572.13 to $573.86.
- Discount Rate decreased marginally from 8.51% to 8.47%.
- Revenue Growth rose modestly from 5.79% to 6.05%.
- Net Profit Margin declined slightly from 16.01% to 15.57%.
- Future P/E increased from 23.81x to 24.34x.
Disclaimer
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