Head to Head Review: Lennox International (NYSE:LII) & JELD-WEN (NYSE:JELD)

Lennox International (NYSE:LII) and JELD-WEN (NYSE:JELD) are both industrials companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, risk, profitability, dividends, valuation, analyst recommendations and institutional ownership.

Valuation and Earnings

This table compares Lennox International and JELD-WEN”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Lennox International	$5.30 billion	2.52	$805.80 million	$22.12	17.51
JELD-WEN	$3.21 billion	0.06	-$621.21 million	($6.04)	-0.36

Lennox International has higher revenue and earnings than JELD-WEN. JELD-WEN is trading at a lower price-to-earnings ratio than Lennox International, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent recommendations for Lennox International and JELD-WEN, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lennox International	2	9	5	0	2.19
JELD-WEN	1	5	0	0	1.83

Lennox International presently has a consensus price target of $540.33, suggesting a potential upside of 39.50%. JELD-WEN has a consensus price target of $2.10, suggesting a potential downside of 3.89%. Given Lennox International’s stronger consensus rating and higher probable upside, equities research analysts clearly believe Lennox International is more favorable than JELD-WEN.

Risk and Volatility

Lennox International has a beta of 1.18, indicating that its stock price is 18% more volatile than the S&P 500. Comparatively, JELD-WEN has a beta of 2.18, indicating that its stock price is 118% more volatile than the S&P 500.

Profitability

This table compares Lennox International and JELD-WEN’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lennox International	14.61%	66.42%	19.16%
JELD-WEN	-16.36%	-246.42%	-5.69%

Institutional and Insider Ownership

67.1% of Lennox International shares are owned by institutional investors. Comparatively, 95.0% of JELD-WEN shares are owned by institutional investors. 9.8% of Lennox International shares are owned by company insiders. Comparatively, 1.9% of JELD-WEN shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

Lennox International beats JELD-WEN on 12 of the 14 factors compared between the two stocks.

About Lennox International

Lennox International Inc., together with its subsidiaries, designs, manufactures, and markets a range of products for the heating, ventilation, air conditioning, and refrigeration markets in the United States, Canada, and internationally. The Home Comfort Solutions segment provides furnaces, air conditioners, heat pumps, packaged heating and cooling systems, indoor air quality equipment, comfort control products, and replacement parts and supplies; residential heating, ventilation, cooling equipment, and air conditioning; and evaporator coils and unit heaters under Lennox, Dave Lennox Signature Collection, Armstrong Air, Ducane, AirEase, Concord, MagicPak, Advanced Distributor Products, Allied, Elite Series, Merit Series, Comfort Sync, Healthy Climate, iComfort, ComfortSense, and Lennox Stores name. The Building Climate Solutions segment offers unitary heating and air conditioning equipment, applied systems, controls, installation and service of commercial heating and cooling equipment, variable refrigerant flow commercial, curb, curb adapters, drop box diffusers, HVAC recycling, and salvage service. This segment also provides condensing units, unit coolers, fluid coolers, air cooled condensers, air handlers, and refrigeration rack systems for preserving food and other perishables; and compressor racks and industrial process chillers under the Lennox, Model L, CORE, Enlight, Xion, Energence, Prodigy, Strategos, Raider, Lennox VRF, Lennox National Account Services, Allied Commercial, Elite, AES Industries, Mechanical, and Reclaim, Heatcraft Worldwide and Chandler Refrigeration, Bohn, MAGNA, Larkin, FriguaBohn, IntelliGen, and Interlink brand name. In addition, the company provides small package units, rooftop units, chillers, air handlers, and fan coils. It sells its products and services through direct sales, distributors, and company-owned parts and supplies stores. The company was founded in 1895 and is headquartered in Richardson, Texas.

About JELD-WEN

JELD-WEN Holding, Inc. designs, manufactures, and sells wood, metal, and composite materials doors, windows, and related building products in North America and Europe. The company offers a line of residential interior and exterior door products, including patio doors, and folding or sliding wall systems; non-residential doors; stile and rail doors; and wood, vinyl, and wood composite windows. It also provides other ancillary products and services, such as trim boards, glasses, hardware and locks, window screens, and molded door skins, as well as miscellaneous installation and other services. The company sells its products under the JELD-WEN, AuraLast, MiraTEC, Extira, LaCANTINA, MMI Door, Karona, ImpactGard, JW, Aurora, IWP, True BLU, ABS, Siteline, National Door, Low-Friction Glider, Hydrolock, VPI, AURALINE, FINISHIELD, MILLENNIUM, TRUFIT, EPICVUE, EVELIN, Swedoor, Dooria, DANA, Mattiovi, Zargag, Alupan, Domoferm, Kellpax, and HSE brands. It serves wholesale distributors and retailers, retail home centers, and building product dealers, as well as homebuilders, contractors, and consumers. JELD-WEN Holding, Inc. was founded in 1960 and is based in Charlotte, North Carolina.