Simpson Manufacturing (SSD) Competitors

Simpson Manufacturing (NYSE:SSD) and Lennox International (NYSE:LII) are both construction companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, dividends, community ranking, valuation, profitability, risk, earnings, institutional ownership and media sentiment.

Which has more risk and volatility, SSD or LII?

Simpson Manufacturing has a beta of 1.3, suggesting that its share price is 30% more volatile than the S&P 500. Comparatively, Lennox International has a beta of 1.14, suggesting that its share price is 14% more volatile than the S&P 500.

Do analysts rate SSD or LII?

Simpson Manufacturing presently has a consensus price target of $188.50, indicating a potential upside of 20.06%. Lennox International has a consensus price target of $583.71, indicating a potential upside of 5.95%. Given Simpson Manufacturing's stronger consensus rating and higher possible upside, equities analysts clearly believe Simpson Manufacturing is more favorable than Lennox International.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Simpson Manufacturing	0 Sell rating(s)	1 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.50
Lennox International	4 Sell rating(s)	5 Hold rating(s)	5 Buy rating(s)	0 Strong Buy rating(s)	2.07

Do institutionals & insiders believe in SSD or LII?

93.7% of Simpson Manufacturing shares are owned by institutional investors. Comparatively, 67.1% of Lennox International shares are owned by institutional investors. 0.4% of Simpson Manufacturing shares are owned by company insiders. Comparatively, 9.7% of Lennox International shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Does the media refer more to SSD or LII?

In the previous week, Simpson Manufacturing and Simpson Manufacturing both had 2 articles in the media. Simpson Manufacturing's average media sentiment score of 1.70 beat Lennox International's score of 0.22 indicating that Simpson Manufacturing is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Simpson Manufacturing	2 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Very Positive
Lennox International	0 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral

Is SSD or LII more profitable?

Lennox International has a net margin of 15.11% compared to Simpson Manufacturing's net margin of 14.44%. Lennox International's return on equity of 126.79% beat Simpson Manufacturing's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Simpson Manufacturing	14.44%	18.00%	11.58%
Lennox International	15.11%	126.79%	24.89%

Is SSD or LII a better dividend stock?

Simpson Manufacturing pays an annual dividend of $1.16 per share and has a dividend yield of 0.7%. Lennox International pays an annual dividend of $5.20 per share and has a dividend yield of 0.9%. Simpson Manufacturing pays out 15.1% of its earnings in the form of a dividend. Lennox International pays out 23.2% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Simpson Manufacturing has raised its dividend for 11 consecutive years and Lennox International has raised its dividend for 16 consecutive years. Lennox International is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Does the MarketBeat Community favor SSD or LII?

Lennox International received 167 more outperform votes than Simpson Manufacturing when rated by MarketBeat users. However, 57.04% of users gave Simpson Manufacturing an outperform vote while only 46.85% of users gave Lennox International an outperform vote.

Company	Underperform	Outperform
Simpson Manufacturing	Outperform Votes 227 57.04%	Underperform Votes 171 42.96%
Lennox International	Outperform Votes 394 46.85%	Underperform Votes 447 53.15%

Which has stronger earnings and valuation, SSD or LII?

Lennox International has higher revenue and earnings than Simpson Manufacturing. Simpson Manufacturing is trading at a lower price-to-earnings ratio than Lennox International, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Simpson Manufacturing	$2.24B	2.93	$322.22M	$7.68	20.44
Lennox International	$5.37B	3.64	$806.90M	$22.44	24.55

Summary

Lennox International beats Simpson Manufacturing on 13 of the 20 factors compared between the two stocks.