What Analysts Are Saying About Lennox Intl Stock

11 analysts have shared their evaluations of Lennox Intl LII during the recent three months, expressing a mix of bullish and bearish perspectives.

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.

Insights from analysts' 12-month price targets are revealed, presenting an average target of $515.91, a high estimate of $600.00, and a low estimate of $360.00. Surpassing the previous average price target of $482.70, the current average has increased by 6.88%.

Deciphering Analyst Ratings: An In-Depth Analysis

In examining recent analyst actions, we gain insights into how financial experts perceive Lennox Intl. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

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: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Lennox Intl compared to the broader market.
• Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of Lennox Intl's stock. This examination reveals shifts in analysts' expectations over time.

Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of Lennox Intl's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.

Stay up to date on Lennox Intl analyst ratings.

Delving into Lennox Intl's Background

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.

Understanding the Numbers: Lennox Intl's Finances

Market Capitalization: Surpassing industry standards, the company's market capitalization asserts its dominance in terms of size, suggesting a robust market position.

Revenue Growth: Lennox Intl's revenue growth over a period of 3 months has faced challenges. As of 31 March, 2024, the company experienced a revenue decline of approximately -0.22%. This indicates a decrease in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Industrials sector.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 11.87%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): Lennox Intl's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 38.01% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): Lennox Intl's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 4.3%, the company showcases efficient use of assets and strong financial health.

Debt Management: Lennox Intl's debt-to-equity ratio stands notably higher than the industry average, reaching 4.49. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.

Understanding the Relevance of Analyst Ratings

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 publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

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