The Analyst Verdict: Lennox Intl In The Eyes Of 9 Experts

Across the recent three months, 9 analysts have shared their insights on Lennox Intl LII, expressing a variety of opinions spanning from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 2 3 3 1 0
Last 30D 1 0 1 0 0
1M Ago 1 0 0 0 0
2M Ago 0 1 0 0 0
3M Ago 0 2 2 1 0

Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $524.44, along with a high estimate of $600.00 and a low estimate of $360.00. This upward trend is evident, with the current average reflecting a 4.82% increase from the previous average price target of $500.33.

price target chart

Interpreting Analyst Ratings: A Closer Look

The perception of Lennox Intl by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Joe Ritchie Goldman Sachs Raises Buy $575.00 $507.00
Joseph O'Dea Wells Fargo Raises Equal-Weight $570.00 $550.00
Gautam Khanna TD Cowen Raises Buy $600.00 $550.00
Joseph O'Dea Wells Fargo Raises Overweight $550.00 $520.00
Tommy Moll Stephens & Co. Maintains Overweight $550.00 $550.00
Stephen Tusa JP Morgan Raises Underweight $360.00 $350.00
Deane Dray RBC Capital Raises Sector Perform $510.00 $481.00
Damian Karas UBS Raises Neutral $485.00 $450.00
Joseph O'Dea Wells Fargo Lowers Overweight $520.00 $545.00

Key Insights:

  • Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Lennox Intl. This information provides a snapshot of how analysts perceive the current state of the company.
  • Rating: Providing a comprehensive analysis, analysts offer qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Lennox Intl compared to the broader market.
  • Price Targets: Analysts navigate through adjustments in price targets, providing estimates for Lennox Intl's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

For valuable insights into Lennox Intl's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.

Stay up to date on Lennox Intl analyst ratings.

Unveiling the Story Behind Lennox Intl

Lennox International manufactures and distributes heating, ventilating, air conditioning, and refrigeration products to replacement (75% of sales) and new construction (25% of sales) markets. In fiscal 2023, residential HVAC was 68% of sales and commercial HVAC and Heatcraft refrigeration was 32% of sales. The company goes to market with multiple brands, but Lennox is the company's flagship HVAC brand. The Texas-based company is focused on North America after the sale of its European HVAC and refrigeration businesses in late 2023.

Lennox Intl's Economic Impact: An Analysis

Market Capitalization: Boasting an elevated market capitalization, the company surpasses industry averages. This signals substantial size and strong market recognition.

Decline in Revenue: Over the 3 months period, Lennox Intl faced challenges, resulting in a decline of approximately -0.22% in revenue growth as of 31 March, 2024. This signifies a reduction in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Industrials sector.

Net Margin: Lennox Intl's net margin is impressive, surpassing industry averages. With a net margin of 11.87%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Lennox Intl's ROE stands out, surpassing industry averages. With an impressive ROE of 38.01%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Lennox Intl's ROA excels beyond industry benchmarks, reaching 4.3%. This signifies efficient management of assets and strong financial health.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 4.49, caution is advised due to increased financial risk.

Analyst Ratings: Simplified

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.

This article was generated by Benzinga's automated content engine and reviewed by an editor.

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