WallStSmart

AAON Inc (AAON)vsLennox International Inc (LII)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Lennox International Inc generates 260% more annual revenue ($5.20B vs $1.44B). LII leads profitability with a 15.5% profit margin vs 7.5%. LII appears more attractively valued with a PEG of 1.37. LII earns a higher WallStSmart Score of 56/100 (C).

AAON

Hold

40

out of 100

Grade: D

Growth: 6.0Profit: 5.0Value: 2.0Quality: 8.0
Piotroski: 1/9Altman Z: 4.27

LII

Buy

56

out of 100

Grade: C

Growth: 2.7Profit: 9.0Value: 7.3Quality: 6.3
Piotroski: 3/9Altman Z: 4.22
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AAONSignificantly Overvalued (-1071.3%)

Margin of Safety

-1071.3%

Fair Value

$8.77

Current Price

$87.83

$79.06 premium

UndervaluedFair: $8.77Overvalued
LIISignificantly Overvalued (-259.6%)

Margin of Safety

-259.6%

Fair Value

$155.04

Current Price

$481.68

$326.64 premium

UndervaluedFair: $155.04Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AAON2 strengths · Avg: 9.0/10
Altman Z-ScoreHealth
4.2710/10

Safe zone — low bankruptcy risk

Revenue GrowthGrowth
16.8%8/10

16.8% revenue growth

LII2 strengths · Avg: 10.0/10
Return on EquityProfitability
75.8%10/10

Every $100 of equity generates 76 in profit

Altman Z-ScoreHealth
4.2210/10

Safe zone — low bankruptcy risk

Areas to Watch

AAON4 concerns · Avg: 3.3/10
Price/BookValuation
8.0x4/10

Trading at 8.0x book value

Profit MarginProfitability
7.5%3/10

7.5% margin — thin

Operating MarginProfitability
4.0%3/10

Operating margin of 4.0%

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

LII4 concerns · Avg: 2.8/10
Price/BookValuation
14.4x4/10

Trading at 14.4x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-11.2%2/10

Revenue declined 11.2%

EPS GrowthGrowth
-17.9%2/10

Earnings declined 17.9%

Comparative Analysis Report

WallStSmart Research

Bull Case : AAON

The strongest argument for AAON centers on Altman Z-Score, Revenue Growth. Revenue growth of 16.8% demonstrates continued momentum.

Bull Case : LII

The strongest argument for LII centers on Return on Equity, Altman Z-Score. Profitability is solid with margins at 15.5% and operating margin at 19.8%. PEG of 1.37 suggests the stock is reasonably priced for its growth.

Bear Case : AAON

The primary concerns for AAON are Price/Book, Profit Margin, Operating Margin. A P/E of 65.1x leaves little room for execution misses.

Bear Case : LII

The primary concerns for LII are Price/Book, Piotroski F-Score, Revenue Growth.

Key Dynamics to Monitor

AAON profiles as a growth stock while LII is a declining play — different risk/reward profiles.

LII carries more volatility with a beta of 1.14 — expect wider price swings.

AAON is growing revenue faster at 16.8% — sustainability is the question.

LII generates stronger free cash flow (377M), providing more financial flexibility.

Bottom Line

LII scores higher overall (56/100 vs 40/100), backed by strong 15.5% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

AAON Inc

INDUSTRIALS · BUILDING PRODUCTS & EQUIPMENT · USA

AAON, Inc. engages in the engineering, manufacturing, marketing and sales of heating and air conditioning equipment in the United States and Canada. The company is headquartered in Tulsa, Oklahoma.

Lennox International Inc

INDUSTRIALS · BUILDING PRODUCTS & EQUIPMENT · USA

Lennox International Inc. 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 company is headquartered in Richardson, Texas.

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