References in this Annual Report on Form 10-K to “we,” “our,” “us,” “Lennox,” “LII” or the “Company” refer to Lennox International Inc. and its subsidiaries, unless the context requires otherwise. The Company We are a global leader in energy-efficient climate-control solutions. We design, manufacture and market a broad range of products for the heating, ventilation, air conditioning and refrigeration (“HVACR”) markets. We have leveraged our expertise to become an industry leader known for innovation, quality and reliability. Our products and services are sold through multiple distribution channels under various brand names. The Company was founded in 1895, in Marshalltown, Iowa, by Dave Lennox, the owner of a machine repair business for railroads. He designed and patented a riveted steel coal-fired furnace, which led to numerous advancements in heating, cooling and climate control solutions.
| Metric | TTM | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 |
|---|---|---|---|---|---|---|
| Revenue | 5.2B | 5.2B | 5.3B | 5.0B | 4.7B | 4.2B |
| Net Income | 806M | 806M | 811M | 591M | 497M | 464M |
| EPS | $22.79 | $22.79 | $22.66 | $16.58 | $13.88 | $12.39 |
| Free Cash Flow | 639M | 639M | 782M | 486M | 201M | 409M |
| ROIC | 29.0% | 36.7% | 46.2% | 38.9% | 35.7% | 42.8% |
| Gross Margin | 33.4% | 33.4% | 33.3% | 31.1% | 27.2% | 28.3% |
| Debt/Equity | 1.52 | 1.52 | 1.55 | 3.32 | -8.62 | -5.39 |
| Dividends/Share | $4.89 | $5.05 | $4.55 | $4.36 | $4.10 | $3.53 |
| Operating Income | 1.0B | 1.0B | 1.0B | 792M | 656M | 590M |
| Operating Margin | 20.0% | 20.0% | 19.5% | 15.9% | 13.9% | 14.1% |
| ROE | 69.3% | 75.8% | 119.7% | 150.4% | -244.8% | -172.5% |
| Shares Outstanding | 35M | 35M | 36M | 36M | 36M | 37M |
LENNOX INTERNATIONAL INC passes 6 of 9 quality checks, suggesting mixed fundamentals.
LENNOX INTERNATIONAL INC trades at 22.7x trailing earnings, compared to its 15-year median P/E of 23.8x, suggesting it is currently Fair relative to its historical range. On a free-cash-flow basis, the stock trades at 28.2x vs a median of 28.1x. The company's 5-year average ROIC is 40.0% with a gross margin of 30.7%. Total shareholder yield (dividends + buybacks) is 3.6%. At current prices, the estimated annualized return to fair value is +9.8%.
LENNOX INTERNATIONAL INC (LII) has a current P/E ratio of 22.7, compared to its historical median P/E of 23.8. The stock is currently considered Fair based on its historical valuation range.
LENNOX INTERNATIONAL INC (LII) has a 5-year average return on invested capital (ROIC) of 40.0%. This indicates strong capital allocation and a potential competitive advantage.
LENNOX INTERNATIONAL INC (LII) has a market capitalization of $18.3B. It is classified as a large-cap stock.
Yes, LENNOX INTERNATIONAL INC (LII) pays a dividend with a trailing twelve-month yield of 0.94%. The company also returns capital through share buybacks, with a buyback yield of 2.63%.
Based on historical P/E analysis, LENNOX INTERNATIONAL INC (LII) appears fair. The current P/E of 22.7 is 5% below its historical median of 23.8. The estimated fair value CAGR (P/E method) is 15.8%.
LENNOX INTERNATIONAL INC (LII) operates in the Air-Cond & Warm Air Heatg Equip & Comm & Indl Refrig Equip industry, within the Industrials sector.
LENNOX INTERNATIONAL INC (LII) reported annual revenue of $5.2 billion in its most recent fiscal year, based on SEC EDGAR filings.
LENNOX INTERNATIONAL INC (LII) has a net profit margin of 15.5%. This is a healthy margin.
LENNOX INTERNATIONAL INC (LII) generated $639 million in free cash flow in its most recent fiscal year. Positive free cash flow supports dividends, buybacks, and debt reduction.
LENNOX INTERNATIONAL INC (LII) has a debt-to-equity ratio of 1.52. This indicates higher leverage, which may increase financial risk.
LENNOX INTERNATIONAL INC (LII) reported earnings per share (EPS) of $22.79 in its most recent fiscal year.
LENNOX INTERNATIONAL INC (LII) has a return on equity (ROE) of 75.8%. This indicates the company generates strong returns for shareholders.
LENNOX INTERNATIONAL INC (LII) has a 5-year average gross margin of 30.7%. This indicates decent pricing power.
The Ledger Terminal provides 18 years of financial data for LENNOX INTERNATIONAL INC (LII), sourced directly from SEC EDGAR filings. This includes income statements, balance sheets, cash flow statements, and key financial ratios.
LENNOX INTERNATIONAL INC (LII) has a book value per share of $32.90, based on its most recent annual SEC filing.