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LII

LII

Industrials · Building Products & Equipment

$530.17+1.14%
Mkt Cap: $18.45BDY: 1.04%

Performance

LII (LII) Stock Analysis 2026

Rule-based · Updated daily · Not financial advice

LII (LII) operates in the Building Products & Equipment space within the Industrials sector. With a market cap of $18.4B, it qualifies as a mid-cap company. Growth is moderate and the business remains profitable, offering a balanced risk/reward profile compared to high-multiple peers.

Bull Case4
  • Forward P/E (19.9×) is lower than trailing P/E (23.6×) — analysts expect earnings to improve
  • Revenue growth of 6% YoY shows solid business momentum
  • Healthy profit margin of 15.1%
  • ROE of 76.8% shows management efficiently converts equity into profit
Bear Case2
  • Earnings fell 8% YoY — profitability is under pressure
  • High debt-to-equity of 161.04× increases financial risk, especially with elevated interest rates

Verdict

Buy / Hold

More positives than negatives. Fundamentals support holding while monitoring key risks.

AI Insight

Powered by Claude

AI-generated analysis for informational purposes only. Not financial advice.

Related Articles

Revenue & Results

Dividends

Current DY

1.04%

5Y Avg Annual

$3.8720

Last Payment

$1.3000

Ex-Date

03/31/2026

Annual dividends paid per share

2011
2019
2026
Ex-DatePaymentAmountEst. DY
Latest03/31/2026
04/15/2026$1.30000.98%
12/31/2025
01/15/2026$1.30000.98%
09/30/2025
10/15/2025$1.30000.98%
06/30/2025
07/15/2025$1.30000.98%
04/30/2025
05/15/2025$1.15000.87%
12/31/2024
01/15/2025$1.15000.87%
09/30/2024
10/15/2024$1.15000.87%
06/28/2024
07/13/2024$1.15000.87%

Magic Number

Shares needed to self-fund your next purchase

$530.17

Price

÷

$1.3000

Last div. (quarterly)

=

408

shares

Own 408 LII shares ($216,309.36) and each quarterly dividend pays for 1 new share — the snowball runs on its own.

Investment target

$216,309.36

New shares / year

+4 shares

If You Had Invested…

Hypothetical return based on historical prices

$

* Dividend reinvestment calculated at ex-date price. For informational purposes only.

Earnings

Next Earnings

Jul 29, 2026

43

days

EPS (TTM)

$22.49

P/E (TTM)

23.6

Fwd P/E

19.9

Earnings History

SEC EDGAR · official filings

SEC filings

SEC Filings

Official EDGAR documents

All filings

Key Statistics

Valuation

Market Cap$18.45B
P/E Ratio23.57
Forward P/E19.86
P/B Ratio
PEG Ratio1.48
EPS (TTM)$22.49

Trading

Open
Day High
Day Low
52W High$689.44
52W Low$434.06
Volume
Avg Volume (3M)438,746
Beta1.19

Dividends

Dividend Yield1.04%
Annual Rate$5.44
Ex-Div Date2026-06-30
Payout Ratio23.10%

Profitability

Profit Margin15.09%
Operating Margin14.32%
ROE76.79%
ROA16.74%
Revenue Growth5.80%
Earnings Growth-7.70%

Balance Sheet

Total Revenue$5.26B
Total Debt$1.95B
Debt / Equity161.04
Current Ratio1.57
Free Cash Flow$187.14M

Fair Value Estimates

Current price: $530.17

Graham Number

√(22.5 × EPS × Book Value)

$132.84

-74.9% downside

Benjamin Graham's intrinsic value formula. Assumes a fair stock trades at no more than 22.5× the product of EPS and book value per share.

Bazin Ceiling Price

Avg. Annual DPS (5Y) ÷ 6%

$71.97

-86.4% downside

Décio Bazin's dividend-based ceiling. The max price you should pay so that dividends alone deliver at least 6% annual yield on your cost basis.

These are simplified estimates. Not financial advice.

Buy & Hold Checklist

Quality criteria for long-term holding

8/10

80% score

Pays dividends

15Y hist.

15+ years of dividend history

Dividend consistency (5Y+)

15 yrs

Uninterrupted dividend payments for at least 5 years

ROE above 10%

76.8%

Return on equity — measures how efficiently capital is used

Positive profit margin

15.1%

Net profit margin must be positive — company earns more than it spends

Revenue growth (annual)

+5.8%

Annual revenue must be growing compared to the prior year

Earnings growth (annual)

-7.7%

Annual earnings must be growing compared to the prior year

Debt/Equity below 2×

161.04×

Low financial leverage reduces risk of distress

Current ratio above 1

1.57×

Short-term assets must cover short-term liabilities

Daily liquidity above $5M

$233M/day

High trading volume ensures easy entry and exit

Dividend yield above 0%

1.04%

Stock must distribute income to shareholders

Related Assets

Industrials

About LII

Lennox International Inc., together with its subsidiaries, designs, manufactures, and markets products for the heating, ventilation, air conditioning, and refrigeration markets in the United States, Canada, and internationally. The Home Comfort Solutions segment provides furnaces, air conditioners, heat pumps, packaged heating and cooling systems, indoor air quality equipment, comfort control products, and replacement parts and supplies; residential heating, ventilation, cooling equipment, and air conditioning; and evaporator coils, air handlers, and unit heaters under Lennox, Dave Lennox Signature Collection, Armstrong Air, Ducane, AirEase, Concord, MagicPak, Advanced Distributor Products, Allied, Elite Series, Supco, Linebacker, Elite series, Merit Series, Comfort Sync, Healthy Climate, Healthy Climate Solutions, iComfort, ComfortSense, and Lennox Stores name. The Building Climate Solutions segment offers unitary heating and air conditioning equipment, controls, installation and service of commercial heating and cooling equipment, variable refrigerant flow commercial, curb, curb adapters, drop box diffusers, HVAC recycling, and salvage service. This segment also provides , condensing units, unit coolers, fluid coolers, air cooled condensers, process chillers, compressorized racks, and replacement parts and supplies under the Lennox, Model L, CORE, Enlight, Xion, Energence, Prodigy, Strategos, Raider, Lennox VRF, Lennox National Account Services, Allied Commercial, Duro Dyne, Dyne-Tite, Durozone, Elite, AES Industries, Mechanical, Heatcraft Worldwide Refrigeration, Bohn, MAGNA, Larkin, Climate Control, Chandler Refrigeration, IntelliGen, and Interlink brand name. In addition, the company provides small package units, rooftop units, chillers, air handlers, and fan coils. It sells its products and services through direct sales, distributors, and company-owned parts and supplies stores. The company was founded in 1895 and is headquartered in Richardson, Texas.

Sector

Industrials

Industry

Building Products & Equipment

Location

Richardson, United States

Employees

5,400