| Snowflake Score | |
|---|---|
| Valuation | 3/6 |
| Future Growth | 2/6 |
| Past Performance | 2/6 |
| Financial Health | 2/6 |
| Dividends | 5/6 |
LII Stock Overview
Lennox International Inc., together with its subsidiaries, designs, manufactures, and markets a range of products for the heating, ventilation, air conditioning, and refrigeration markets in the United States, Canada, and internationally.
Lennox International Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$211.97 |
| 52 Week High | US$354.62 |
| 52 Week Low | US$182.85 |
| Beta | 0.95 |
| 1 Month Change | 2.51% |
| 3 Month Change | -19.17% |
| 1 Year Change | -38.93% |
| 3 Year Change | -26.41% |
| 5 Year Change | 13.83% |
| Change since IPO | 1,030.51% |
Recent News & Updates
Lennox International (NYSE:LII) Has Announced That It Will Be Increasing Its Dividend To US$1.06
Lennox International Inc. ( NYSE:LII ) will increase its dividend on the 15th of July to US$1.06. The announced payment...
Lennox International (NYSE:LII) Will Be Hoping To Turn Its Returns On Capital Around
If we want to find a potential multi-bagger, often there are underlying trends that can provide clues. Ideally, a...
Lennox International (NYSE:LII) Is Increasing Its Dividend To US$1.06
The board of Lennox International Inc. ( NYSE:LII ) has announced that it will be increasing its dividend on the 15th...
Shareholder Returns
| LII | US Building | US Market | |
|---|---|---|---|
| 7D | 4.1% | 0.3% | -2.5% |
| 1Y | -38.9% | -25.5% | -21.2% |
Return vs Industry: LII underperformed the US Building industry which returned -27.2% over the past year.
Return vs Market: LII underperformed the US Market which returned -21.7% over the past year.
Price Volatility
| LII volatility | |
|---|---|
| LII Average Weekly Movement | 5.3% |
| Building Industry Average Movement | 6.5% |
| Market Average Movement | 8.1% |
| 10% most volatile stocks in US Market | 16.9% |
| 10% least volatile stocks in US Market | 3.2% |
Stable Share Price: LII is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: LII's weekly volatility (5%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1895 | 11,000 | Alok Maskara | https://www.lennoxinternational.com |
Lennox International Inc., together with its subsidiaries, designs, manufactures, and markets a range of products for the heating, ventilation, air conditioning, and refrigeration markets in the United States, Canada, and internationally. It operates through three segments: Residential Heating & Cooling, Commercial Heating & Cooling, and Refrigeration. The Residential Heating & Cooling segment provides furnaces, air conditioners, heat pumps, packaged heating and cooling systems, indoor air quality equipment and accessories, comfort control products, and replacement parts and supplies for residential replacement and new construction markets.
Lennox International Fundamentals Summary
| LII fundamental statistics | |
|---|---|
| Market Cap | US$7.61b |
| Earnings (TTM) | US$463.40m |
| Revenue (TTM) | US$4.28b |
16.4x
P/E Ratio1.8x
P/S RatioIs LII overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| LII income statement (TTM) | |
|---|---|
| Revenue | US$4.28b |
| Cost of Revenue | US$3.08b |
| Gross Profit | US$1.20b |
| Other Expenses | US$736.70m |
| Earnings | US$463.40m |
Last Reported Earnings
Mar 31, 2022
Next Earnings Date
Jul 28, 2022
| Earnings per share (EPS) | 12.90 |
| Gross Margin | 28.06% |
| Net Profit Margin | 10.83% |
| Debt/Equity Ratio | -385.2% |
How did LII perform over the long term?
See historical performance and comparisonDividends
2.0%
Current Dividend Yield29%
Payout RatioValuation
Is LII undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
3/6Valuation Score 3/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio
Key Valuation Metric
Which metric is best to use when looking at relative valuation for LII?
Other financial metrics that can be useful for relative valuation.
| What is LII's n/a Ratio? | |
|---|---|
| n/a Ratio | 0x |
| n/a | n/a |
| Market Cap | US$7.61b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 2.2x |
| Enterprise Value/EBITDA | 14.2x |
| PEG Ratio | 1.5x |
Price to Earnings Ratio vs Peers
How does LII's PE Ratio compare to its peers?
| LII PE Ratio vs Peers |
|---|
| Company | PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 13.3x | ||
OC Owens Corning | 6.9x | 0.7% | US$7.5b |
AOS A. O. Smith | 17.2x | 11.2% | US$8.7b |
ALLE Allegion | 18.7x | 11.4% | US$8.7b |
FBHS Fortune Brands Home & Security | 10.4x | 7.5% | US$8.1b |
LII Lennox International | 16.4x | 11.2% | US$7.6b |
Price-To-Earnings vs Peers: LII is expensive based on its Price-To-Earnings Ratio (16.4x) compared to the peer average (13.3x).
Price to Earnings Ratio vs Industry
How does LII's PE Ratio compare vs other companies in the US Building Industry?
Price-To-Earnings vs Industry: LII is expensive based on its Price-To-Earnings Ratio (16.4x) compared to the US Building industry average (15.5x)
Price to Earnings Ratio vs Fair Ratio
What is LII's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 16.4x |
| Fair PE Ratio | 20.3x |
Price-To-Earnings vs Fair Ratio: LII is good value based on its Price-To-Earnings Ratio (16.4x) compared to the estimated Fair Price-To-Earnings Ratio (20.3x).
Share Price vs Fair Value
What is the Fair Price of LII when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: LII ($211.97) is trading below our estimate of fair value ($410.58)
Significantly Below Fair Value: LII is trading below fair value by more than 20%.
Price to Earnings Growth Ratio
PEG Ratio: LII is poor value based on its PEG Ratio (1.5x)
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Future Growth
How is Lennox International forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?
Future Growth Score
2/6Future Growth Score 2/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
11.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: LII's forecast earnings growth (11.2% per year) is above the savings rate (1.9%).
Earnings vs Market: LII's earnings (11.2% per year) are forecast to grow slower than the US market (13.6% per year).
High Growth Earnings: LII's earnings are forecast to grow, but not significantly.
Revenue vs Market: LII's revenue (3.4% per year) is forecast to grow slower than the US market (8.2% per year).
High Growth Revenue: LII's revenue (3.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: LII's Return on Equity is forecast to be very high in 3 years time (401.7%).
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Past Performance
How has Lennox International performed over the past 5 years?
Past Performance Score
2/6Past Performance Score 2/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
9.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: LII has high quality earnings.
Growing Profit Margin: LII's current net profit margins (10.8%) are lower than last year (11.2%).
Past Earnings Growth Analysis
Earnings Trend: LII's earnings have grown by 9.7% per year over the past 5 years.
Accelerating Growth: LII's earnings growth over the past year (8.1%) is below its 5-year average (9.7% per year).
Earnings vs Industry: LII earnings growth over the past year (8.1%) underperformed the Building industry 27.3%.
Return on Equity
High ROE: LII's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.
Discover strong past performing companies
Financial Health
How is Lennox International's financial position?
Financial Health Score
2/6Financial Health Score 2/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: LII has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.
Long Term Liabilities: LII has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.
Debt to Equity History and Analysis
Debt Level: LII has negative shareholder equity, which is a more serious situation than a high debt level.
Reducing Debt: LII's has negative shareholder equity, so we do not need to check if its debt has reduced over time.
Debt Coverage: LII's debt is well covered by operating cash flow (27.5%).
Interest Coverage: LII's interest payments on its debt are well covered by EBIT (22.8x coverage).
Balance Sheet
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Dividend
What is Lennox International current dividend yield, its reliability and sustainability?
Dividend Score
5/6Dividend Score 5/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage
2.00%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: LII's dividend (2%) is higher than the bottom 25% of dividend payers in the US market (1.61%).
High Dividend: LII's dividend (2%) is low compared to the top 25% of dividend payers in the US market (4.3%).
Stability and Growth of Payments
Stable Dividend: LII's dividends per share have been stable in the past 10 years.
Growing Dividend: LII's dividend payments have increased over the past 10 years.
Earnings Payout to Shareholders
Earnings Coverage: With its reasonably low payout ratio (29.2%), LII's dividend payments are well covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: With its reasonably low cash payout ratio (46.5%), LII's dividend payments are well covered by cash flows.
Discover strong dividend paying companies
Management
How experienced are the management team and are they aligned to shareholders interests?
13.3yrs
Average management tenure
CEO
Alok Maskara (51 yo)
0.083
Tenure
Mr. Alok Maskara has been the Director of Franklin Electric Co., Inc. since 2021. He is Chief Executive Officer of Lennox International Inc since May 09, 2022. Mr. Maskara had been the Chief Executive Offi...
Leadership Team
Experienced Management: LII's management team is seasoned and experienced (13.3 years average tenure).
Board Members
Experienced Board: LII's board of directors are considered experienced (7.8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: LII insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Lennox International Inc.'s employee growth, exchange listings and data sources
Key Information
- Name: Lennox International Inc.
- Ticker: LII
- Exchange: NYSE
- Founded: 1895
- Industry: Building Products
- Sector: Capital Goods
- Implied Market Cap: US$7.612b
- Shares outstanding: 35.91m
- Website: https://www.lennoxinternational.com
Number of Employees
Location
- Lennox International Inc.
- 2140 Lake Park Boulevard
- Richardson
- Texas
- 75080
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/07/01 00:00 |
| End of Day Share Price | 2022/07/01 00:00 |
| Earnings | 2022/03/31 |
| Annual Earnings | 2021/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.