Oppenheimer cuts Lennox International rating to Perform amid inflation‑driven guidance downgrade
Oppenheimer lowered its rating on Lennox International to Perform from Outperform, citing a trimmed fiscal 2026 outlook because of rising input costs and heightened competition. The broker also noted that the company’s third‑quarter revenue rose 10.2% year‑over‑year to $1.6 billion, beating estimates, while adjusted earnings per share came in at $6.84, missing the $7.36 consensus. The downgrade follows a share price that has slipped 31% over the last twelve months and is now close to its 52‑week low of $325.70.
Why it matters
The rating downgrade signals to investors that near‑term earnings may be weaker than previously expected, which could pressure the stock price. Oppenheimer’s reduced fiscal 2026 guidance reflects inflationary headwinds that may limit margin recovery.
Key facts
- 1Oppenheimer changed its rating on Lennox International to Perform from Outperform. investing.com
- 2The broker said the company lowered its fiscal 2026 guidance because of inflationary and competitive pressures. investing.com
- 3Lennox reported third‑quarter revenue of $1.6 billion, a 10.2% increase year‑over‑year. investing.com
- 4Adjusted earnings per share for the quarter were $6.84, below the forecast of $7.36. investing.com
- 5The stock has declined 31% over the past year and is trading near its 52‑week low of $325.70. investing.com
- 6Analyst price targets for Lennox range from $350 to $548. tradingview.com
Summary written by AlphAI AI Desk from 2 of 2 sources. Not investment advice. Figures are as stated by the linked sources.