Lennox International, Inc.
) hit a 52-week high of $80.69 on Nov 11, and eventually closed
at $80.13. Shares of this building products manufacturer have
been on a rise since it announced improved year-over-year results
for the third quarter of 2013, on Oct 21.
Year-to-date, share prices have recorded a healthy return of
48.6%. The company's long-term estimated earnings per share
growth rate is 21.4%. Average volume of shares traded over the
last three months came in at 425.2K.
In third-quarter 2013, adjusted earnings per share for the
company was $1.30, beating the Zacks Consensus Estimate of $1.26
by 3.2%. Results also surpassed the year-ago earnings by 34.0%.
Lennox announced 8.0% year-over-year increase in revenues to
$868.0 million in the reported quarter. The year-over-year rise
was mainly the result of better volumes and price/mix.
Lennox experienced a year-over-year hike in revenues for two
out of three segments. The Residential Heating & Cooling
segment's sales increased 12% year over year on the back of
better volume and price mix. The Commercial Heating & Cooling
segment recorded sales improvement of 9% compared with the year
-ago quarter, driven by better volumes. However, lower volumes
reduced the Refrigeration segment's sales by 4% year over
Based on the results, management reiterated its revenue growth
guidance in the range of 6%-8% for 2013. Adjusted earnings per
share for the year are estimated in the range of $3.50-$3.75
against $3.45-$3.75 projected earlier.
Lennox also renewed tax rate guidance to the band of
34%-35% for the full year. Capital expenditures guidance for the
year was maintained at $60.0 million including stock repurchase
plans presently worth $125.0 million.
Other Stocks to Consider
Lennox currently carries a Zacks Rank #3 (Hold). Other stocks
worth a watch in the industry include
Comfort Systems USA Inc.
CaesarStone Sdot-Yam Ltd.
Quanex Building Products Corp.
). While Comfort Systems and CaesarStone Sdot-Yam carry a Zacks
Rank #1 (Strong Buy), Quanex Building Products holds a Zacks Rank
CAESAR STONE SD (CSTE): Free Stock Analysis
COMFORT SYSTEMS (FIX): Free Stock Analysis
LENNOX INTL INC (LII): Free Stock Analysis
QUANEX BLDG PRD (NX): Free Stock Analysis
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