Lennox International, Inc. (NYSE:LII) Receives Consensus Recommendation of "Hold" from Analysts

Key Points

• Lennox International, Inc. has received a consensus rating of "Hold" from 13 research firms, with four analysts recommending sell, five recommending hold, and four recommending buy.
• The company's last quarterly earnings exceeded expectations, reporting $7.82 earnings per share against an estimate of $6.90, indicating a year-over-year revenue increase of 3.4%.
• Lennox International is initiating a $1.00 billion stock buyback program, which allows the company to reacquire up to 5% of its outstanding shares, signaling that its board believes the shares are undervalued.

Lennox International, Inc. (NYSE:LII - Get Free Report) has received a consensus rating of "Hold" from the thirteen research firms that are presently covering the firm, MarketBeat reports. Four research analysts have rated the stock with a sell rating, five have issued a hold rating and four have assigned a buy rating to the company. The average 1 year price target among brokerages that have updated their coverage on the stock in the last year is $635.3333.

LII has been the subject of a number of recent research reports. The Goldman Sachs Group lifted their target price on Lennox International from $619.00 to $691.00 and gave the company a "buy" rating in a report on Tuesday, July 8th. JPMorgan Chase & Co. lifted their price target on Lennox International from $455.00 to $549.00 and gave the stock an "underweight" rating in a report on Friday, May 16th. Oppenheimer lifted their price target on Lennox International from $650.00 to $730.00 and gave the stock an "outperform" rating in a report on Thursday, July 24th. UBS Group lifted their price target on Lennox International from $570.00 to $676.00 and gave the stock a "neutral" rating in a report on Monday, July 28th. Finally, Robert W. Baird lifted their price target on Lennox International from $600.00 to $668.00 and gave the stock a "neutral" rating in a report on Thursday, July 17th.

Lennox International Price Performance

LII stock opened at $557.56 on Tuesday. The business has a fifty day moving average of $598.72 and a two-hundred day moving average of $579.67. The company has a quick ratio of 0.71, a current ratio of 1.41 and a debt-to-equity ratio of 0.93. The stock has a market cap of $19.58 billion, a price-to-earnings ratio of 23.84, a price-to-earnings-growth ratio of 1.79 and a beta of 1.11. Lennox International has a 52-week low of $500.10 and a 52-week high of $689.44.

Lennox International (NYSE:LII - Get Free Report) last issued its quarterly earnings data on Wednesday, July 23rd. The construction company reported $7.82 earnings per share for the quarter, beating analysts' consensus estimates of $6.90 by $0.92. Lennox International had a return on equity of 99.81% and a net margin of 15.41%.The business had revenue of $1.50 billion during the quarter, compared to analysts' expectations of $1.48 billion. During the same period in the previous year, the firm posted $6.83 earnings per share. The company's revenue was up 3.4% on a year-over-year basis. Lennox International has set its FY 2025 guidance at 23.250-24.250 EPS. As a group, research analysts anticipate that Lennox International will post 22.94 earnings per share for the current year.

Lennox International announced that its board has approved a share buyback program on Thursday, May 22nd that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits the construction company to reacquire up to 5% of its stock through open market purchases. Stock buyback programs are usually a sign that the company's board believes its shares are undervalued.

Insider Transactions at Lennox International

In other news, EVP Daniel M. Sessa sold 2,782 shares of Lennox International stock in a transaction dated Wednesday, July 23rd. The stock was sold at an average price of $670.04, for a total transaction of $1,864,051.28. Following the sale, the executive vice president owned 31,574 shares in the company, valued at approximately $21,155,842.96. The trade was a 8.10% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CAO Chris Kosel sold 300 shares of the business's stock in a transaction dated Friday, August 22nd. The shares were sold at an average price of $591.86, for a total value of $177,558.00. Following the completion of the transaction, the chief accounting officer owned 1,282 shares in the company, valued at $758,764.52. This trade represents a 18.96% decrease in their position. The disclosure for this sale can be found here. 10.40% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Lennox International

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. AdvisorShares Investments LLC purchased a new stake in shares of Lennox International during the 2nd quarter worth approximately $25,000. City Holding Co. purchased a new stake in shares of Lennox International during the 1st quarter worth approximately $35,000. Sentry Investment Management LLC purchased a new stake in shares of Lennox International during the 1st quarter worth approximately $43,000. Thurston Springer Miller Herd & Titak Inc. boosted its stake in shares of Lennox International by 175.9% during the 2nd quarter. Thurston Springer Miller Herd & Titak Inc. now owns 80 shares of the construction company's stock worth $46,000 after acquiring an additional 51 shares in the last quarter. Finally, Whittier Trust Co. boosted its stake in shares of Lennox International by 125.0% during the 2nd quarter. Whittier Trust Co. now owns 81 shares of the construction company's stock worth $46,000 after acquiring an additional 45 shares in the last quarter. Institutional investors and hedge funds own 67.07% of the company's stock.

Lennox International Company Profile

Lennox International Inc, together with its subsidiaries, designs, manufactures, and markets a range of 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 and unit heaters under Lennox, Dave Lennox Signature Collection, Armstrong Air, Ducane, AirEase, Concord, MagicPak, Advanced Distributor Products, Allied, Elite Series, Merit Series, Comfort Sync, Healthy Climate, iComfort, ComfortSense, and Lennox Stores name.

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