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LII Valuation

Lennox International Inc
$
599.530
+7.87(1.330%)1D
  • Overview
  • Forecast
  • Valuation
  • Earnings

LII Relative Valuation

LII's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, LII is overvalued; if below, it's undervalued.
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Historical Valuation

Lennox International Inc (LII) is now in the Fair zone, suggesting that its current forward PE ratio of 23.46 is considered Fairly compared with the five-year average of 22.14. The fair price of Lennox International Inc (LII) is between 498.71 to 670.69 according to relative valuation methord.
Relative Value
Fair Zone
498.71-670.69
Current Price:591.66
Fair
23.46
PE
1Y
3Y
5Y
Trailing
Forward
17.47
EV/EBITDA
Lennox International Inc. (LII) has a current EV/EBITDA of 17.47. The 5-year average EV/EBITDA is 16.79. The thresholds are as follows: Strongly Undervalued below 11.49, Undervalued between 11.49 and 14.14, Fairly Valued between 19.44 and 14.14, Overvalued between 19.44 and 22.10, and Strongly Overvalued above 22.10. The current Forward EV/EBITDA of 17.47 falls within the Historic Trend Line -Fairly Valued range.
19.32
EV/EBIT
Lennox International Inc. (LII) has a current EV/EBIT of 19.32. The 5-year average EV/EBIT is 18.67. The thresholds are as follows: Strongly Undervalued below 12.73, Undervalued between 12.73 and 15.70, Fairly Valued between 21.64 and 15.70, Overvalued between 21.64 and 24.61, and Strongly Overvalued above 24.61. The current Forward EV/EBIT of 19.32 falls within the Historic Trend Line -Fairly Valued range.
3.67
PS
Lennox International Inc. (LII) has a current PS of 3.67. The 5-year average PS is 2.79. The thresholds are as follows: Strongly Undervalued below 1.29, Undervalued between 1.29 and 2.04, Fairly Valued between 3.55 and 2.04, Overvalued between 3.55 and 4.30, and Strongly Overvalued above 4.30. The current Forward PS of 3.67 falls within the Overvalued range.
19.21
P/OCF
Lennox International Inc. (LII) has a current P/OCF of 19.21. The 5-year average P/OCF is 20.79. The thresholds are as follows: Strongly Undervalued below 8.82, Undervalued between 8.82 and 14.81, Fairly Valued between 26.78 and 14.81, Overvalued between 26.78 and 32.77, and Strongly Overvalued above 32.77. The current Forward P/OCF of 19.21 falls within the Historic Trend Line -Fairly Valued range.
22.75
P/FCF
Lennox International Inc. (LII) has a current P/FCF of 22.75. The 5-year average P/FCF is 28.67. The thresholds are as follows: Strongly Undervalued below 10.00, Undervalued between 10.00 and 19.33, Fairly Valued between 38.00 and 19.33, Overvalued between 38.00 and 47.34, and Strongly Overvalued above 47.34. The current Forward P/FCF of 22.75 falls within the Historic Trend Line -Fairly Valued range.
Lennox International Inc (LII) has a current Price-to-Book (P/B) ratio of 23.08. Compared to its 3-year average P/B ratio of 30.93 , the current P/B ratio is approximately -25.38% higher. Relative to its 5-year average P/B ratio of -31.31, the current P/B ratio is about -173.72% higher. Lennox International Inc (LII) has a Forward Free Cash Flow (FCF) yield of approximately 3.27%. Compared to its 3-year average FCF yield of 2.81%, the current FCF yield is approximately 16.52% lower. Relative to its 5-year average FCF yield of 3.54% , the current FCF yield is about -7.61% lower.
23.08
P/B
Median3y
30.93
Median5y
-31.31
3.27
FCF Yield
Median3y
2.81
Median5y
3.54
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Competitors Valuation Multiple

The average P/S ratio for LII's competitors is 3.36, providing a benchmark for relative valuation. Lennox International Inc Corp (LII) exhibits a P/S ratio of 3.67, which is 9.46% above the industry average. Given its robust revenue growth of 3.43%, this premium appears unsustainable.
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Performance Decomposition

1Y
3Y
5Y
Market capitalization of LII increased by 0.25% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 16.95 to 18.50.
The secondary factor is the Revenue Growth, contributed 3.43%to the performance.
Overall, the performance of LII in the past 1 year is driven by Margin Expansion. Which is more sustainable.
3.43%
1.45B → 1.50B
Revenue Growth
+
9.14%
16.95 → 18.50
Margin Expansion
+
-12.32%
28.86 → 25.30
P/E Change
=
0.25%
590.19 → 591.66
Mkt Cap Growth

FAQ

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Is Lennox International Inc (LII) currently overvalued or undervalued?

Lennox International Inc (LII) is now in the Fair zone, suggesting that its current forward PE ratio of 23.46 is considered Fairly compared with the five-year average of 22.14. The fair price of Lennox International Inc (LII) is between 498.71 to 670.69 according to relative valuation methord.
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What is Lennox International Inc (LII) fair value?

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How does LII's valuation metrics compare to the industry average?

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What is the current P/B ratio for Lennox International Inc (LII) as of Aug 18 2025?

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What is the current FCF Yield for Lennox International Inc (LII) as of Aug 18 2025?

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What is the current Forward P/E ratio for Lennox International Inc (LII) as of Aug 18 2025?

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What is the current Forward P/S ratio for Lennox International Inc (LII) as of Aug 18 2025?