Lennox International (LII)
NYSEIndustrialsIndustrial - MachinerySnapshot 2026-09-04
$390.53+1.15%
Close 2026-09-04 · 1-day change
NYSEIndustrialsIndustrial - MachinerySnapshot 2026-09-04
QuarterlyIQ Insights · LII
How strong the business is — where it ranks within its sector on capital efficiency and cash generation, and how well management has been executing.
How this business ranks within industrials on a research-validated quality screen. As of 2026-09-04.
The screen ranks LII against its sector on four durable signals: share dilution, return on capital, free-cash-flow yield, and FCF margin. Historically the highest-quality names tended toward better typical outcomes and fewer bad years over multi-year holds (strongest at three years, modest at one), and that pattern showed up even before the price moved. It characterizes business quality, not price direction.
Each leg is a sector-relative percentile (higher is better); 4 of 4 legs were available for this name. The composite is built from these four; the raw value follows each percentile for context.
A forward quality tilt, not a price prediction, and context for your own research rather than a recommendation. Not investment advice.
How management runs the business: capital, margins, balance sheet, and how reliably they guide and deliver.
Each factor is a parallel diagnostic with a clear read of what it shows and how names like it have historically fared. Never aggregated into a single score.
Operating income rose in 1 of the last 3 quarter-over-quarter moves. Historically, Industrials names rated neutral grew net income 51% of the time over the next year (vs 60% for the rest of the cohort, n=9249).
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
A guidance track record builds as the company issues and delivers on guidance.
Priorities management has stated in recent disclosures, with status and evidence drawn from earnings calls, filings, and press releases.
Reaffirm revenue growth guidance at approximately 8% for full year 2026, including benefits from completed acquisitions.
Stated as a priority in 3 of last 3 quarters. Revenue was $5.2 billion in 2025 with guidance reaffirmed at approximately 8% growth for 2026, including 4-5% from acquisitions. The trajectory is delivering as revenue grew 3% in 2026-Q2 and 6% in 2026-Q1, consistent with management's guidance.
“For full year 2026, we are reaffirming revenue growth guidance at approximately 8% growth, including an updated 5% benefit from completed acquisitions.”
“For full year 2026, we are updating revenue growth guidance to approximately 8%, including 4% benefit from completed acquisitions.”
“For full year 2026, revenue is anticipated to increase by approximately 6% to 7%, with growth from completed acquisitions contributing approximately 4%.”
Maintain full year adjusted earnings per share guidance for 2026 in the range of $23.00 to $25.00, updated from prior ranges.
EPS guidance for 2026 has been maintained or slightly updated in 3 of last 3 quarters, with the range narrowing from $23.50-$25.00 to $23.00-$24.00. Actual GAAP diluted EPS was $7.72 in 2026-Q2 and $3.35 in 2026-Q1, reflecting ongoing execution consistent with guidance.
“Updating full year EPS guidance range to $23.00 - $24.00.”
Maintain disciplined capital expenditure guidance at approximately $250 million for full year 2026.
Capital expenditure guidance of approximately $250 million for 2026 was stated in 2 of last 2 quarters. Actual net capital expenditures were $35 million in 2026-Q2 and $55 million in 2026-Q1, indicating disciplined spending consistent with guidance.
“Capital expenditures are projected to be approximately $250 million.”
Focus on growth via acquisitions, portfolio expansion, innovation, and operational excellence to drive long-term shareholder value.
Management stated this strategic growth priority in 2 of last 2 quarters, highlighting acquisitions and innovation. Revenue growth and segment profit improvements in Building Climate Solutions and contributions from acquisitions support progress, indicating delivery consistent with stated strategy.
“We remain focused on executing our growth strategy through innovation, operational excellence, and disciplined capital allocation.”
Over the trailing year it converted 0.52x of net income into operating cash flow. Historically, Industrials names rated fragile grew net income 48% of the time over the next year (vs 59% for the rest of the cohort, n=4997).
Most sensitive to the broad stock market and long-term interest rates.
Not enough signal to read sensitivity to the US dollar, real (inflation-adjusted) rates, Fed net liquidity (low R² over the window).
8 material management or governance events in the past 24 months, led by executive changes. Historically, Industrials names rated stable grew net income 55% of the time over the next year (vs 58% for the rest of the cohort, n=2546).
Not investment advice. As of 2026-09-04.
“Earnings per share is still expected to be within the range of $23.50 to $25.00.”
“Adjusted earnings per share is expected to be within the range of $23.50 to $25.00.”
“Capital expenditures are projected to be approximately $250 million.”
“We remain confident in our strategy to deliver long-term shareholder value through differentiated growth and bolt-on M&A opportunities.”