Is Lennox International Stock a Good Investment?
Lennox International Investment Advice | LII |
- Examine Lennox International's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Lennox International's leadership team and their track record. Good management can help Lennox International navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Building Products space and any emerging trends that could impact Lennox International's business and its evolving consumer preferences.
- Compare Lennox International's performance and market position to its competitors. Analyze how Lennox International is positioned in terms of product offerings, innovation, and market share.
- Check if Lennox International pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Lennox International's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Lennox International stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Lennox International is a good investment.
Sell | Buy |
Buy
Market Performance | Good | Details | |
Volatility | Very steady | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Very Small | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Strong | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Lennox International Stock
Researching Lennox International's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 72.0% of the company shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 2.25. Lennox International recorded earning per share (EPS) of 21.06. The entity last dividend was issued on the 30th of September 2024. The firm had 1:20 split on the 7th of April 2005.
To determine if Lennox International is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Lennox International's research are outlined below:
| Lennox International is unlikely to experience financial distress in the next 2 years | |
| Lennox International has a strong financial position based on the latest SEC filings | |
| About 72.0% of the company shares are owned by institutional investors | |
| On 15th of October 2024 Lennox International paid $ 1.15 per share dividend to its current shareholders | |
| Latest headline from gurufocus.com: Disposition of 965 shares by Prakash Bedapudi of Lennox International at 618.0 subject to Rule 16b-3 |
Lennox International Quarterly Long Term Debt |
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Lennox International uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Lennox International. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Lennox International's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 31st of January 2024 Upcoming Quarterly Report | View | |
| 25th of April 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 31st of January 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Lennox International's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Lennox International's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2003-02-05 | 2002-12-31 | 0.09 | 0.08 | -0.01 | 11 | ||
2000-04-25 | 2000-03-31 | 0.09 | 0.1 | 0.01 | 11 | ||
2005-04-27 | 2005-03-31 | 0.14 | 0.12 | -0.02 | 14 | ||
2003-04-22 | 2003-03-31 | 0.07 | 0.04 | -0.03 | 42 | ||
2005-02-09 | 2004-12-31 | 0.25 | 0.29 | 0.04 | 16 | ||
2010-04-27 | 2010-03-31 | 0.01 | 0.06 | 0.05 | 500 | ||
2006-02-21 | 2005-12-31 | 0.41 | 0.46 | 0.05 | 12 | ||
2002-10-22 | 2002-09-30 | 0.41 | 0.46 | 0.05 | 12 |
Know Lennox International's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Lennox International is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Lennox International backward and forwards among themselves. Lennox International's institutional investor refers to the entity that pools money to purchase Lennox International's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | London Company Of Virginia | 2024-06-30 | 379.5 K | Bank Of New York Mellon Corp | 2024-06-30 | 346.1 K | Wells Fargo & Co | 2024-06-30 | 278.5 K | Dimensional Fund Advisors, Inc. | 2024-09-30 | 272.4 K | Alliancebernstein L.p. | 2024-06-30 | 264.9 K | Millennium Management Llc | 2024-06-30 | 250.5 K | Seven Post Investment Office Lp | 2024-09-30 | 247.1 K | Northern Trust Corp | 2024-09-30 | 246.7 K | Impax Asset Management Group Plc | 2024-06-30 | 246.2 K | Blackrock Inc | 2024-06-30 | 3.7 M | Vanguard Group Inc | 2024-09-30 | 3.2 M |
Lennox International's market capitalization trends
The company currently falls under 'Large-Cap' category with a total capitalization of 23.77 B.Market Cap |
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Lennox International's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.23 | 0.24 | |
| Return On Capital Employed | 0.44 | 0.47 | |
| Return On Assets | 0.21 | 0.22 | |
| Return On Equity | 2.07 | 2.17 |
Determining Lennox International's profitability involves analyzing its financial statements and using various financial metrics to determine if Lennox International is a good buy. For example, gross profit margin measures Lennox International's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Lennox International's profitability and make more informed investment decisions.
Evaluate Lennox International's management efficiency
Lennox International has Return on Asset of 0.1937 % which means that on every $100 spent on assets, it made $0.1937 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 1.6501 %, implying that it generated $1.6501 on every 100 dollars invested. Lennox International's management efficiency ratios could be used to measure how well Lennox International manages its routine affairs as well as how well it operates its assets and liabilities. The Lennox International's current Return On Tangible Assets is estimated to increase to 0.24. The Lennox International's current Return On Capital Employed is estimated to increase to 0.47. As of now, Lennox International's Fixed Asset Turnover is decreasing as compared to previous years. The Lennox International's current Return On Assets is estimated to increase to 0.22, while Total Assets are projected to decrease to under 2 B.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 8.04 | 6.96 | |
| Tangible Book Value Per Share | 1.78 | 1.87 | |
| Enterprise Value Over EBITDA | 19.73 | 22.85 | |
| Price Book Value Ratio | 55.69 | 58.47 | |
| Enterprise Value Multiple | 19.73 | 22.85 | |
| Price Fair Value | 55.69 | 58.47 | |
| Enterprise Value | 10.4 B | 10.9 B |
The operational strategies employed by Lennox International management play a crucial role in its market positioning. Assessing these strategies alongside financial data helps us evaluate the stock's investment potential.
Dividend Yield 0.007 | Forward Dividend Yield 0.007 | Forward Dividend Rate 4.6 | Beta 1.078 |
Basic technical analysis of Lennox Stock
As of the 30th of November, Lennox International secures the Downside Deviation of 1.67, risk adjusted performance of 0.1167, and Mean Deviation of 1.24. In connection with fundamental indicators, the technical analysis model lets you check existing technical drivers of Lennox International, as well as the relationship between them.Lennox International's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Lennox International insiders, such as employees or executives, is commonly permitted as long as it does not rely on Lennox International's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Lennox International insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Lennox International's Outstanding Corporate Bonds
Lennox International issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Lennox International uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Lennox bonds can be classified according to their maturity, which is the date when Lennox International has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| US526107AF41 Corp BondUS526107AF41 | View | |
| US526107AE75 Corp BondUS526107AE75 | View | |
| MPLX LP 52 Corp BondUS55336VAL45 | View | |
| Morgan Stanley 3591 Corp BondUS61744YAK47 | View |
Understand Lennox International's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Lennox International's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.1167 | |||
| Market Risk Adjusted Performance | 0.3804 | |||
| Mean Deviation | 1.24 | |||
| Semi Deviation | 1.42 | |||
| Downside Deviation | 1.67 | |||
| Coefficient Of Variation | 686.93 | |||
| Standard Deviation | 1.65 | |||
| Variance | 2.72 | |||
| Information Ratio | 0.0622 | |||
| Jensen Alpha | 0.1509 | |||
| Total Risk Alpha | (0.05) | |||
| Sortino Ratio | 0.0616 | |||
| Treynor Ratio | 0.3704 | |||
| Maximum Drawdown | 7.45 | |||
| Value At Risk | (2.28) | |||
| Potential Upside | 2.89 | |||
| Downside Variance | 2.78 | |||
| Semi Variance | 2.03 | |||
| Expected Short fall | (1.33) | |||
| Skewness | (0.26) | |||
| Kurtosis | 0.6748 |
| Risk Adjusted Performance | 0.1167 | |||
| Market Risk Adjusted Performance | 0.3804 | |||
| Mean Deviation | 1.24 | |||
| Semi Deviation | 1.42 | |||
| Downside Deviation | 1.67 | |||
| Coefficient Of Variation | 686.93 | |||
| Standard Deviation | 1.65 | |||
| Variance | 2.72 | |||
| Information Ratio | 0.0622 | |||
| Jensen Alpha | 0.1509 | |||
| Total Risk Alpha | (0.05) | |||
| Sortino Ratio | 0.0616 | |||
| Treynor Ratio | 0.3704 | |||
| Maximum Drawdown | 7.45 | |||
| Value At Risk | (2.28) | |||
| Potential Upside | 2.89 | |||
| Downside Variance | 2.78 | |||
| Semi Variance | 2.03 | |||
| Expected Short fall | (1.33) | |||
| Skewness | (0.26) | |||
| Kurtosis | 0.6748 |
Consider Lennox International's intraday indicators
Lennox International intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Lennox International stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Lennox International Corporate Filings
F4 | 29th of November 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
8K | 23rd of October 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
F3 | 4th of June 2024 The report used by insiders such as officers, directors, and major shareholders (beneficial owners holding more than 10% of any class of the company's equity securities) to declare their ownership of a company's stock | ViewVerify |
| 30th of May 2024 Other Reports | ViewVerify |
Lennox Stock media impact
Far too much social signal, news, headlines, and media speculation about Lennox International that are available to investors today. That information is available publicly through Lennox media outlets and privately through word of mouth or via Lennox internal channels. However, regardless of the origin, that massive amount of Lennox data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Lennox International news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Lennox International relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Lennox International's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Lennox International alpha.
Lennox International Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Lennox International can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Lennox International Historical Investor Sentiment
Investor biases related to Lennox International's public news can be used to forecast risks associated with an investment in Lennox. The trend in average sentiment can be used to explain how an investor holding Lennox can time the market purely based on public headlines and social activities around Lennox International. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Lennox International's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Lennox International and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Lennox International news discussions. The higher the estimate score, the more favorable the investor's outlook on Lennox International.
Lennox International Corporate Directors
| Kim Rucker | Independent Director | Profile | |
| Shane Wall | Independent Director | Profile | |
| Janet Cooper | Independent Director | Profile | |
| Max Mitchell | Independent Director | Profile |
Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Lennox International. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in gross domestic product. For more detail on how to invest in Lennox Stock please use our How to Invest in Lennox International guide.You can also try the Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.
Is Building Products space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Lennox International. If investors know Lennox will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Lennox International listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.83 | Dividend Share 4.5 | Earnings Share 21.06 | Revenue Per Share 144.796 | Quarterly Revenue Growth 0.096 |
The market value of Lennox International is measured differently than its book value, which is the value of Lennox that is recorded on the company's balance sheet. Investors also form their own opinion of Lennox International's value that differs from its market value or its book value, called intrinsic value, which is Lennox International's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Lennox International's market value can be influenced by many factors that don't directly affect Lennox International's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Lennox International's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Lennox International is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Lennox International's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.