Lennox International (LII) heads into its next earnings release with expectations for a return to revenue growth after a year ago decline, and a mixed history on recent revenue and EPS guidance.
The share price tells you investors have already been reassessing Lennox International. The stock is down 32.8% over the past 90 days and 26.7% year to date on a share price basis, while the 5 year total shareholder return of 28.2% still points to a much stronger longer run.
Spot potential rebound stories alongside Lennox International by scanning our hand picked list of 29 high quality undervalued stocks featuring companies that show solid fundamentals but have compressed expectations.Lennox International has dropped hard, yet sits at a sizeable implied discount to both its own estimated worth and analyst targets. Does that reset leave the balance of risk and reward tilted toward buyers or sellers now?
Most Popular Narrative: 19.6% Undervalued
The most followed valuation story on Lennox International pegs fair value at $455, compared with a last close of $365.64, which frames today’s share price as implying a sizeable gap to that estimate.
Strategic partnerships with Samsung for mini splits and VRF systems and with Ariston for heat pump water heaters remain central to Lennox International’s push into higher efficiency, electrified HVAC and water heating, which is aimed at supporting future revenue growth and mix driven earnings from 2026 and 2027 onward.
See why 7 investors see Lennox International as 20% undervalued.
Result: Fair Value of $455 (UNDERVALUED)
Still, the bull case for Lennox International can be knocked off course if residential demand remains weak, and factory under absorption and legal investigations keep weighing on sentiment.
Find out about the key risks to this Lennox International narrative.
Next Steps
That mix of concern and optimism around Lennox International is exactly why the data matters most right now, so move quickly, review the full set of risks and potential upsides, and then weigh the 5 key rewards and 1 important warning sign.
Looking for more Lennox International style ideas?
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- Target value opportunities that combine quality with compressed expectations by scanning the 29 high quality undervalued stocks.
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