WallStSmart

Eaton Corporation PLC (ETN)vsLennox International Inc (LII)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Eaton Corporation PLC generates 442% more annual revenue ($28.52B vs $5.26B). LII leads profitability with a 15.1% profit margin vs 14.0%. LII appears more attractively valued with a PEG of 1.48. LII earns a higher WallStSmart Score of 58/100 (C).

ETN

Buy

51

out of 100

Grade: C-

Growth: 5.3Profit: 7.0Value: 3.7Quality: 5.5
Piotroski: 4/9Altman Z: 2.07

LII

Buy

58

out of 100

Grade: C

Growth: 4.0Profit: 8.5Value: 5.7Quality: 6.0
Piotroski: 3/9Altman Z: 4.22

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ETN3 strengths · Avg: 8.7/10
Market CapQuality
$162.16B9/10

Large-cap with strong market position

Return on EquityProfitability
20.2%9/10

Every $100 of equity generates 20 in profit

Revenue GrowthGrowth
16.8%8/10

16.8% revenue growth

LII2 strengths · Avg: 10.0/10
Return on EquityProfitability
64.5%10/10

Every $100 of equity generates 65 in profit

Altman Z-ScoreHealth
4.2210/10

Safe zone — low bankruptcy risk

Areas to Watch

ETN4 concerns · Avg: 2.3/10
Debt/EquityHealth
1.103/10

Elevated debt levels

PEG RatioValuation
3.022/10

Expensive relative to growth rate

P/E RatioValuation
40.9x2/10

Premium valuation, high expectations priced in

EPS GrowthGrowth
-9.4%2/10

Earnings declined 9.4%

LII4 concerns · Avg: 3.0/10
Price/BookValuation
14.6x4/10

Trading at 14.6x book value

Debt/EquityHealth
1.613/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

EPS GrowthGrowth
-7.7%2/10

Earnings declined 7.7%

Comparative Analysis Report

WallStSmart Research

Bull Case : ETN

The strongest argument for ETN centers on Market Cap, Return on Equity, 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 15.1% and operating margin at 14.3%. PEG of 1.48 suggests the stock is reasonably priced for its growth.

Bear Case : ETN

The primary concerns for ETN are Debt/Equity, PEG Ratio, P/E Ratio. A P/E of 40.9x leaves little room for execution misses.

Bear Case : LII

The primary concerns for LII are Price/Book, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.61 is elevated, increasing financial risk.

Key Dynamics to Monitor

ETN profiles as a growth stock while LII is a mature play — different risk/reward profiles.

ETN carries more volatility with a beta of 1.24 — expect wider price swings.

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

ETN generates stronger free cash flow (314M), providing more financial flexibility.

Bottom Line

LII scores higher overall (58/100 vs 51/100), backed by strong 15.1% margins. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

Eaton Corporation PLC

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Eaton Corporation plc is an American Irish-domiciled multinational power management company with 2020 sales of 17.86 billion USD, founded in the United States with corporate headquarters in Dublin, Ireland, and operational headquarters in Beachwood, Ohio.

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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