What 5 Analyst Ratings Have To Say About Lennox Intl

5 analysts have expressed a variety of opinions on Lennox Intl LII over the past quarter, offering a diverse set of opinions from bullish to bearish.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

In the assessment of 12-month price targets, analysts unveil insights for Lennox Intl, presenting an average target of $494.8, a high estimate of $550.00, and a low estimate of $450.00. This upward trend is apparent, with the current average reflecting a 20.19% increase from the previous average price target of $411.67.

Deciphering Analyst Ratings: An In-Depth Analysis

A clear picture of Lennox Intl's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Lennox Intl. This insight gives a snapshot of analysts' perspectives on the current state of the company.
• Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey 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.

To gain a panoramic view of Lennox Intl's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious 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 2022, residential HVAC was 68% of sales, commercial HVAC was 19%, and refrigeration accounted for the remaining 13% of sales. The company goes to market with multiple brands, but Lennox is the company's flagship HVAC brand. The Texas-based company will be 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 Analysis: The company's market capitalization surpasses industry averages, showcasing a dominant size relative to peers and suggesting a strong market position.

Revenue Growth: Lennox Intl displayed positive results in 3 months. As of 30 September, 2023, the company achieved a solid revenue growth rate of approximately 9.75%. This indicates a notable increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Industrials sector.

Net Margin: Lennox Intl's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of 9.54%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Lennox Intl's ROE stands out, surpassing industry averages. With an impressive ROE of 117.42%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 4.44%, the company showcases effective utilization of assets.

Debt Management: With a high debt-to-equity ratio of 10.7, Lennox Intl faces challenges in effectively managing its debt levels, indicating potential financial strain.

The Significance of Analyst Ratings Explained

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

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