Lennox International Inc. — Intrinsic Value & Fair Price

LII

NYSEIndustrialsIndustrial - MachineryCIK 0001069202lennox.comAbout LII

Last close · Oct 16, 2026357.73−0.77 (−0.21%)

Market cap$12.4B

Model value · DCF · Perpetuity growth · 5y

326.19

Lennox International closed at $357.73 — overvalued by 10% vs model.

217.53the model's range641.74

DCF · Perpetuity growth · 5y leads for mature & stable — positive operating income and three years of positive free cash flow. From a five-year discounted cash flow.

Other models

99.94 – 602.05

Wall St. target

409.50 13% below

Above model, 1y

5 of 20 days

Price and model value

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What the marks mean

Daily close

Valuation models

price $357.73 · as of Oct 17, 2026

DCF · Perpetuity growth · 5yused217.53 – 641.74326.1910% overvalued DCF · Perpetuity growth · 10y226.24 – 615.10327.499% overvalued DCF · EBITDA exit · 5y411.88 – 710.81549.5635% undervalued DCF · EBITDA exit · 10y357.17 – 669.54492.0727% undervalued P/E · peers360.89 – 843.22602.0541% undervalued P/E · own history470.75 – 646.07555.9036% undervalued PEG—196.0482% overvalued EV/EBITDA · peers307.50 – 618.87463.1823% undervalued EV/Revenue · peers292.43 – 448.13370.283% undervalued Earnings power value80.42 – 127.1599.94258% overvalued Dividend discount71.33 – 158.64101.28253% overvalued Wall St. consensus target—409.5013% below Cost of capital (WACC)—9.12%—

DCF · Perpetuity growth · 5y leads for mature & stable — positive operating income and three years of positive free cash flow. How we value a stock walks through every input.

engine pkg:0.1.0

Dividends

Quarterly · as of Oct 16, 2026

Yield, trailing 12 months

1.49%

Past 2 years

low 0.66%high 1.53%

Dividends per share, a year at a time

Dividends / free cash flow, FY2025: 27.1%
Raised: 16 years in a row
Growth, 5 yrs: 9.5% a year
Last change: +4.6% · Jun 2026

Every payment, with ex-dates · latest $1.36, paid Oct 15, 2026

Research on LII

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How it is valued

Valued asMature & Stable

Low/slowing growth (~2% recent)Moderate margins (16% net margin)Pays dividendsModerately volatile earningsStrong FCF yield (5.2%)

What growth the price implies: the reverse DCF

Key figures

FY2025

P/E

15.7×

EV / EBITDA

12.3×

FCF yield

5.1%

Dividend yield, TTM

1.49%

Beta

1.16

Cost of capital (WACC)

9.12%

On the lists: #11 Near 52-week lows · #45 Worst performing this year

Full financials

Superinvestors

13F · Q2 2026

Viking GlobalViking Global Investors LP$911.5M BridgewaterBridgewater Associates, LP$36.2M

All 2 holders

Analyst actions

third-party, quoted

10-15Mizuho Securities · target395.00

10-14Goldman Sachs · “Neutral” from “Buy”downgrade

10-14Goldman Sachs · target390.00

09-24Wells Fargo · target424.00

Ratings, targets and estimates

Recent

filings, insider trades and key news

09-188-K · 5.02Departure/Election of Directors or Officers 08-06Form 4 · GNORRIS JOHN W III · 8,988 sh@ 0.00 07-2910-QQuarterly report 07-298-K · 2.02Results of Operations (Earnings)05-288-K · 5.02Departure/Election of Directors or Officers 05-28Form 4 · GNORRIS JOHN W III · 990 sh@ 0.00

46 filings · 40 insider transactions

Comparable companies

by business, not by industry label

CARRCarrier Global TTTrane Technologies AOSA. O. Smith JCIJohnson Controls

1 more company lists LII as a comparable

MASMasco

The weekly

One email a week across every stock we cover: 13F filings, insider trades, earnings and new research. It covers the whole market, not just LII. No account.

About Lennox International

Lennox International Inc. is a global manufacturer and distributor specializing in heating, ventilation, air conditioning (HVAC), and refrigeration solutions. The company operates across three divisions: Residential Heating & Cooling, Commercial Heating & Cooling, and Refrigeration. Its Residential Heating & Cooling division supplies homeowners with systems like furnaces, air conditioners, and heat pumps, along with indoor air quality products, comfort controls, and replacement components, catering to both new construction and existing residential upgrades. The Commercial Heating & Cooling division serves the light commercial sector, providing unitary HVAC equipment, advanced applied systems, control technologies, and comprehensive installation and maintenance services, including variable refrigerant flow solutions. Lastly, the Refrigeration division delivers essential components such as condensing units, unit coolers, and industrial chillers. These are crucial for food preservation in retail, hospitality, and logistics (e.g., supermarkets, restaurants, warehouses), as well as for specialized cooling needs in data centers, machine tooling, and other industrial applications. The company distributes its offerings through direct sales, a network of distributors, and its proprietary parts and supplies retail locations. Established in 1895, Lennox International Inc. maintains its headquarters in Richardson, Texas.

CEO: Alok Maskara
Headquarters: Richardson, TX
Employees: 5,400
IPO: 1999-07-29

Full company profile

Model estimates for research reference only, not investment advice. Every model rests on assumptions that may not match what happens; the formulas are in how we value a stock.