WallStSmart

Lennox International Inc (LII)vsTrane Technologies plc (TT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Trane Technologies plc generates 310% more annual revenue ($21.32B vs $5.20B). LII leads profitability with a 15.5% profit margin vs 13.7%. LII appears more attractively valued with a PEG of 1.34. LII earns a higher WallStSmart Score of 56/100 (C).

LII

Buy

56

out of 100

Grade: C

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

TT

Buy

52

out of 100

Grade: C-

Growth: 5.3Profit: 8.0Value: 7.3Quality: 5.5
Piotroski: 6/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LIISignificantly Overvalued (-259.8%)

Margin of Safety

-259.8%

Fair Value

$154.97

Current Price

$477.21

$322.24 premium

UndervaluedFair: $154.97Overvalued
TTSignificantly Overvalued (-429.3%)

Margin of Safety

-429.3%

Fair Value

$89.28

Current Price

$410.36

$321.08 premium

UndervaluedFair: $89.28Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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

TT3 strengths · Avg: 9.0/10
Return on EquityProfitability
37.0%10/10

Every $100 of equity generates 37 in profit

Market CapQuality
$90.99B9/10

Large-cap with strong market position

Free Cash FlowQuality
$1.06B8/10

Generating 1.1B in free cash flow

Areas to Watch

LII4 concerns · Avg: 2.8/10
Price/BookValuation
14.3x4/10

Trading at 14.3x 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%

TT4 concerns · Avg: 3.5/10
PEG RatioValuation
2.014/10

Expensive relative to growth rate

P/E RatioValuation
31.3x4/10

Premium valuation, high expectations priced in

Price/BookValuation
10.6x4/10

Trading at 10.6x book value

EPS GrowthGrowth
-50.0%2/10

Earnings declined 50.0%

Comparative Analysis Report

WallStSmart Research

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 1.34 suggests the stock is reasonably priced for its growth.

Bull Case : TT

The strongest argument for TT centers on Return on Equity, Market Cap, Free Cash Flow.

Bear Case : LII

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

Bear Case : TT

The primary concerns for TT are PEG Ratio, P/E Ratio, Price/Book.

Key Dynamics to Monitor

LII profiles as a declining stock while TT is a value play — different risk/reward profiles.

TT carries more volatility with a beta of 1.19 — expect wider price swings.

TT is growing revenue faster at 5.6% — sustainability is the question.

TT generates stronger free cash flow (1.1B), providing more financial flexibility.

Bottom Line

LII scores higher overall (56/100 vs 52/100), backed by strong 15.5% 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.

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.

Trane Technologies plc

INDUSTRIALS · BUILDING PRODUCTS & EQUIPMENT · USA

Trane Technologies plc is an American Irish domiciled diversified industrial manufacturing company. It is headquartered near Dublin, Ireland.

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