Why LENNOX INTERNATIONAL INC (NYSE:LII) should be investigated by quality investors.

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if LENNOX INTERNATIONAL INC (NYSE:LII) is suited for quality investing. Investors should of course do their own research, but we spotted LENNOX INTERNATIONAL INC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

Why NYSE:LII may be interesting for quality investors.

• LENNOX INTERNATIONAL INC has demonstrated significant revenue growth over the past 5 years, with a 5.11% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
• LENNOX INTERNATIONAL INC demonstrates impressive performance in terms of ROIC excluding cash and goodwill, with a 36.09% ratio. This highlights the company's efficient utilization of capital and its focus on maximizing returns for investors.
• LENNOX INTERNATIONAL INC demonstrates a well-balanced Debt/Free Cash Flow Ratio of 2.6, indicating effective debt management and strong cash flow generation. This ratio suggests the company has a sustainable financial position and the capacity to allocate capital efficiently.
• LENNOX INTERNATIONAL INC demonstrates consistent Profit Quality over the past 5 years, with a strong 86.37%. This indicates the company's ability to generate sustainable and reliable profits, showcasing its long-term profitability and financial stability.
• The 5-year EBIT growth of LENNOX INTERNATIONAL INC has been remarkable, with 10.07% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
• With EBIT 5-year growth outpacing its Revenue 5-year growth, LENNOX INTERNATIONAL INC showcases its effective cost management and enhanced operational performance. This suggests the company's ability to generate higher earnings from its revenue streams.

What else is there to say on the fundamentals of NYSE:LII?

Every day ChartMill assigns a Fundamental Rating to every stock. The score ranges from 0 to 10 and is determined by evaluating multiple fundamental indicators and properties.

Taking everything into account, LII scores 5 out of 10 in our fundamental rating. LII was compared to 40 industry peers in the Building Products industry. While LII has a great profitability rating, there are some minor concerns on its financial health. While showing a medium growth rate, LII is valued expensive at the moment.

For an up to date full fundamental analysis you can check the fundamental report of LII

Our Caviar Cruise screen will find you more ideas suited for quality investing.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.