Lennox International Falls After Q3 Profit Miss and Lowered 2026 Outlook

Lennox International (LII) is down 7.3% today. Here is some analysis on what might have caused this price movement.

Analysis: The selloff appears tied to a weaker-than-expected third-quarter profit result and a cut to full-year 2026 earnings guidance. While revenue rose solidly, investors seem focused on margin pressure, higher costs, and management’s acknowledgment that results fell short of expectations.

Details:

Lennox reported third-quarter revenue of about $1.6 billion, up 10% from a year earlier, but adjusted diluted EPS fell 7% to $6.84.

The company reduced its full-year 2026 adjusted EPS guidance to $21.00 to $21.50 from the prior $23.00 to $24.00 range, a meaningful reset for expectations.

Management said competitive pressure, persistent inflation, tariff-related costs, and lower factory absorption weighed on profitability during the quarter.

In the Home Comfort Solutions segment, revenue rose modestly, but segment margin fell sharply as pricing actions to defend and recapture share pressured profits.

Sources:

Lennox Investor Relations, SEC, Yahoo Finance

Disclaimer: This price movement analysis was generated with the help of AI. Please double-check the information provided for mistakes.

$LII Insider Trading Activity

$LII insiders have traded $LII stock on the open market 1 times in the past 6 months. Of those trades, 0 have been purchases and 1 have been sales.

Here’s a breakdown of recent trading of $LII stock by insiders over the last 6 months:

CHRIS KOSEL (VP-Corp Controller and CAO) sold 971 shares for an estimated $529,000

To track insider transactions, check out Quiver Quantitative's insider trading dashboard. You can access data on insider stock transactions through the Quiver Quantitative API insider transaction endpoint.

$LII Hedge Fund Activity

We have seen 315 institutional investors add shares of $LII stock to their portfolio, and 308 decrease their positions in their most recent quarter.

Here are some of the largest recent moves:

MILLENNIUM MANAGEMENT LLC added 500,274 shares (+273.1%) to their portfolio in Q2 2026, for an estimated $286,631,988
CAPITAL INTERNATIONAL INVESTORS removed 380,155 shares (-13.3%) from their portfolio in Q2 2026, for an estimated $217,809,807
CIBC BANCORP USA INC. added 310,163 shares (+3223.8%) to their portfolio in Q2 2026, for an estimated $177,707,890
SIXTH STREET PARTNERS MANAGEMENT COMPANY, L.P. added 276,864 shares (+inf%) to their portfolio in Q2 2026, for an estimated $158,629,228
UBS GROUP AG removed 168,438 shares (-42.7%) from their portfolio in Q2 2026, for an estimated $96,506,552
KAYNE ANDERSON RUDNICK INVESTMENT MANAGEMENT LLC removed 135,312 shares (-15.5%) from their portfolio in Q2 2026, for an estimated $77,527,010
VOYA INVESTMENT MANAGEMENT LLC added 118,756 shares (+1677.8%) to their portfolio in Q2 2026, for an estimated $68,041,250

To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard. You can access data on hedge funds moves and 13F filings through the Quiver Quantitative API 13F endpoint.

This article is not financial advice. See Quiver Quantitative's disclaimers for more information. Note that there may be inaccuracies due to mistakes in ticker-mapping, and other anomalies.