Lennox International (NYSE:LII) Share Price Breaks Below Fifty Day Moving Average Following Weak Earnings

Lennox International, Inc. (NYSE:LII)’s stock price crossed below its 50 day moving average during trading on Wednesday following a dissappointing earnings announcement. The stock has a 50 day moving average of $371.01 and traded as low as $325.70. Lennox International shares last traded at $332.5810, with a volume of 2,379,087 shares changing hands.

The construction company reported $6.84 earnings per share for the quarter, missing analysts’ consensus estimates of $7.36 by ($0.52). Lennox International had a return on equity of 66.42% and a net margin of 14.61%. The business had revenue of $1.57 billion during the quarter, compared to analyst estimates of $1.58 billion. During the same quarter in the previous year, the company earned $6.98 EPS. The firm’s revenue was up 10.2% compared to the same quarter last year.

Lennox International Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Thursday, October 15th. Shareholders of record on Wednesday, September 30th were issued a $1.36 dividend. This represents a $5.44 annualized dividend and a yield of 1.6%. The ex-dividend date of this dividend was Wednesday, September 30th. Lennox International’s dividend payout ratio is presently 24.59%.

More Lennox International News

Here are the key news stories impacting Lennox International this week:

• Positive Sentiment: Third-quarter revenue increased 10% year over year to approximately $1.6 billion, indicating continued demand for Lennox’s building and home-comfort products. Lennox Reports 2026 Third Quarter Earnings Results
• Positive Sentiment: Management continues to position the company around energy-efficient solutions, while revenue growth suggests that demand has remained relatively resilient despite a challenging cost environment.
• Neutral Sentiment: Lennox’s earnings call focused on competitive conditions, pricing actions and cost management, with investors likely looking for evidence that margins can recover in coming quarters. Lennox International Q3 2026 Earnings Call Transcript
• Negative Sentiment: Adjusted diluted EPS was $6.84, down 7% from $6.98 a year earlier and below analysts’ expectations. GAAP diluted EPS was $6.41. Lennox Q3 Earnings Lag Estimates
• Negative Sentiment: The company cut its 2026 adjusted EPS outlook to $21.00–$21.50 from $23.00–$24.00, forcing investors to reset earnings expectations. Lennox Slashes FY26 Outlook
• Negative Sentiment: Management cited competitive pressure, inflation, tariff-related costs and lower factory absorption as factors weighing on profitability. In Home Comfort Solutions, pricing intended to defend or regain market share pressured segment margins.
• Negative Sentiment: Total segment profit declined 2% despite the revenue increase, reinforcing concerns that cost inflation and pricing pressure are limiting operating leverage.

Analyst Ratings Changes

Several equities research analysts have commented on LII shares. The Goldman Sachs Group lowered Lennox International from a “buy” rating to a “neutral” rating and lowered their price objective for the stock from $547.00 to $390.00 in a research report on Wednesday, October 14th. Deutsche Bank Aktiengesellschaft lowered shares of Lennox International from a “buy” rating to a “hold” rating and cut their target price for the company from $609.00 to $444.00 in a report on Monday, September 14th. Wells Fargo & Company initiated coverage on shares of Lennox International in a research note on Friday, September 25th. They issued an “equal weight” rating and a $424.00 target price for the company. Morgan Stanley lowered their price target on shares of Lennox International from $375.00 to $350.00 and set an “underweight” rating on the stock in a report on Thursday, October 15th. Finally, Mizuho dropped their price target on shares of Lennox International from $450.00 to $395.00 and set a “neutral” rating on the stock in a research report on Thursday, October 15th. Four research analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, Lennox International presently has a consensus rating of “Hold” and an average target price of $480.00.

Hedge Funds Weigh In On Lennox International

A number of large investors have recently bought and sold shares of LII. BlackRock Inc. acquired a new position in shares of Lennox International during the 2nd quarter worth approximately $1,704,846,000. Beacon Pointe Advisors LLC purchased a new position in shares of Lennox International during the 2nd quarter valued at approximately $239,217,000. Bank of America Corp DE acquired a new stake in Lennox International in the 2nd quarter valued at $196,075,000. Deutsche Bank AG acquired a new stake in Lennox International in the 2nd quarter valued at $159,181,000. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its stake in Lennox International by 3.2% in the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 240,782 shares of the construction company’s stock valued at $137,956,000 after acquiring an additional 7,397 shares during the period. Institutional investors and hedge funds own 67.07% of the company’s stock.

Lennox International Stock Performance

The company has a market cap of $11.49 billion, a PE ratio of 15.04, a price-to-earnings-growth ratio of 1.57 and a beta of 1.16. The firm’s fifty day moving average is $371.01 and its 200 day moving average is $473.93. The company has a current ratio of 1.57, a quick ratio of 0.77 and a debt-to-equity ratio of 0.89.

Lennox International Company Profile

Lennox International Inc is a heating, ventilation, air conditioning and refrigeration company headquartered in Richardson, Texas. Founded in 1895 by Dave Lennox, the company develops and markets products designed to provide climate control and improve indoor air quality in residential and commercial buildings.

Its product portfolio includes air conditioners, heat pumps, furnaces, air handlers, thermostats, indoor air-quality equipment and related controls. Lennox also provides commercial heating and cooling systems, replacement components, installation support and other services through distributors, dealers and contractors.

Lennox primarily serves customers in the United States and Canada, with products and services also marketed in selected international markets.