Lennox Reports Q4 Revenue Decline Amid Industry Challenges
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 28 Jan 26
Source: Business Insider
Lennox International Inc. shares fell 3.77% as the stock hit a 20-day low.
The company reported a Q4 revenue decline of 11% to $1.2 billion, missing analyst expectations, primarily due to significant pressures in the home comfort solutions segment, which saw a 21% drop in revenue. Despite an anticipated revenue growth of 6% to 7% for 2026, the ongoing market challenges and a 22% drop in adjusted EPS to $4.45 indicate a cautious outlook for the company.
This disappointing performance reflects broader industry headwinds, suggesting that Lennox may face continued difficulties in regaining market momentum. Investors will be closely monitoring the company's strategies to navigate these challenges and improve profitability.
Analyst Views on LII
Wall Street analysts forecast LII stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for LII is 577.90 USD with a low forecast of 475.00 USD and a high forecast of 680.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
11 Analyst Rating
3 Buy
6 Hold
2 Sell
Hold
Current: 496.110
Low
475.00
Averages
577.90
High
680.00
Current: 496.110
Low
475.00
Averages
577.90
High
680.00
About LII
Lennox International Inc. is focused on climate-control solutions. The Company designs, manufactures and markets a range of products for the heating, ventilation, air conditioning and refrigeration markets. The Company's segments include Home Comfort Solutions and Building Climate Solutions. Its Home Comfort Solutions segment's products and services include furnaces, air conditioners, heat pumps, packaged heating and cooling systems, indoor air quality equipment, replacement parts and supplies. Its brands include Lennox, Ducane, AirEase, Concord, MagicPak, Supco, among others. Its Building Climate Solutions segment's products and services include unitary heating and air conditioning equipment, applied systems, controls, installation and service of commercial heating and cooling equipment. Its brands include Enlight, Xion, Energence, Prodigy, Duro Dyne, among others. It sells its products and services through a combination of direct sales, distributors and Company-owned stores.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
