Movement Alert|Lennox Falls 18.23% in Regular Trading, Full-Year Earnings Guidance Cut Well Below Expectations

Market Focus22:07

On July 29, Lennox declined 18.23% in regular trading, trading at $444.89/share, with turnover of $222 million. The sharp sell-off was driven by the company's Q2 earnings release and a significant downward revision to full-year profit guidance.

Lennox reported Q2 adjusted EPS of $7.72, marginally beating the consensus estimate of $7.68, while revenue of $1.545 billion missed the $1.564 billion estimate. More critically, the company slashed its full-year EPS outlook to $23.00-$24.00, down from previous guidance of $23.50-$25.00, and well below the FactSet consensus of $24.47. The Home Comfort Solutions segment saw sales decline 7.3% year-over-year, pressured by a challenging residential market environment.

Multiple analysts maintain a Hold rating on Lennox with a mean price target of approximately $573.75, representing significant upside from the current level. Baird recently raised its target to $596 and Goldman Sachs set a $625 target, though both maintain neutral-to-hold stances reflecting caution on near-term fundamentals.

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