Compare Stocks › LII vs MS
Lennox International Inc. (LII) vs Morgan Stanley (MS)
LII
Lennox International Inc.
$526.33
VS
MS
Morgan Stanley
$190.17
Rewards
LII
- ★Lennox International Inc. has maintained ROIC above 15% for 4 consecutive years, indicating a durable competitive advantage.
- ★Lennox International Inc. scores 74/100 on the Economic Moat Score (Wide Moat), with reinvestment efficiency as the strongest competitive dimension.
- ★Free cash flow has grown at a 47.0% CAGR over the past 4 years, demonstrating strong earnings power growth.
MS
- ★Gross margin of 87.4% indicates strong pricing power — typical of businesses with significant intellectual property or brand strength.
- ★Morgan Stanley scores 80/100 on the Economic Moat Score (Wide Moat), with revenue predictability as the strongest competitive dimension.
- ★Each dollar of retained earnings has created $3.11 of earning power — management is an exceptional capital allocator.
Risks
LII
- ⚠Beneish M-Score of -1.37 flags financial patterns consistent with potential earnings manipulation — warrants further investigation.
- ⚠13 insider sales with no purchases over the past 12 months — a persistent pattern of insider selling.
MS
- ⚠High leverage (4.56x debt/equity) combined with thin interest coverage (-1.0x) poses financial risk.
- ⚠Altman Z-Score of 0.29 places the company in the distress zone — financial patterns resemble those of companies that experienced bankruptcy.
- ⚠Insiders have sold $17.7M worth of stock in the past 3 months — significant insider liquidation.
Key Valuation Metrics
Learn more →LII
MS
Valuation
$638.80M
Free Cash Flow
N/A
3.49%
FCF Yield
N/A
23.36
Trailing P/E
17.21
19.77
Forward P/E
15.02
Quality & Moat
18.77%
ROIC
3.75%
66.38%
ROE
14.42%
33.19%
Gross Margin
87.39%
1.52
PEG Ratio
0.54
Balance Sheet Safety
1.61
Debt / Equity
4.56
N/A
Interest Coverage
N/A
1.65
Net Debt / EBITDA
N/A
0.99%
Dividend Yield
2.10%
LII: 3Ties: 1MS: 5
LIIMS
Historical Fundamentals
Learn more →LII
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.
MS
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.
$1 Retained Earnings Test
Learn more →LII
$4.89
created per $1 retained over 3 years
Exceptional Value Creator
Σ Retained
$1.72B
Δ Market Cap
+$8.41B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
MS
$6.65
created per $1 retained over 3 years
Exceptional Value Creator
Σ Retained
$20.84B
Δ Market Cap
+$138.59B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
Discounted Cash Flow (DCF) Analysis
Learn more →LII
4.5% Overvalued
Price is 4.5% above estimated fair value
Current Price: $526.33
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
Fair Value: $503.50
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
MS
31.0% Margin of Safety
Price is 31.0% below estimated fair value
Current Price: $190.17
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
Fair Value: $275.48
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
Reverse DCF — Market-Implied Growth
Learn more →LII
What growth rate is the market pricing in at $526?
+10.8%
Market-Implied Owner Earnings Growth
Standard FCF implies +13.9%
The market implies +10.8% Owner Earnings growth, below historical trends — potential opportunity.
Standard FCF implies a more demanding +13.9%, reflecting heavy growth investment expected to generate future returns.
MS
Requires positive FCF to compute implied growth rate.
Economic Moat Score
Learn more →LII
74/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None
Wide moat driven primarily by reinvestment efficiency. Margin Stability is the area most vulnerable to competitive pressure.
Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
MS
80/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None
Wide moat driven primarily by revenue predictability. Margin Stability is the area most vulnerable to competitive pressure.
Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
Forensic Accounting
Learn more →LII
-1.37
Likely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone
M-Score Trend
Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
MS
-2.09
Possible Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone
M-Score Trend
Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
Ownership Breakdown
Learn more →LII
Insiders 9.6%Institutions 79.0%Retail & Other 11.4%
No. of Institutional Holders937
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
MS
Insiders 24.3%Institutions 63.0%Retail & Other 12.8%
No. of Institutional Holders3,167
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.
Insider Buying Activity
Learn more →LII
0
Buys (3M)
0
Buys (12M)
No open market insider purchases found.
Open market purchases · includes direct & indirect ownership · excludes option exercises
MS
0
Buys (3M)
1
Buys (12M)
Total value (12M): $5,630
PETERSON DOUGLAS L
Director
$5,630
@ $156.39 · 2025-10-17
Open market purchases · includes direct & indirect ownership · excludes option exercises
Open market purchases · includes direct & indirect ownership · excludes option exercises.
Insider Selling Activity
Learn more →LII
3
Sells (3M)
13
Sells (12M)
Total value (12M): $24.75M
WALL SHANE D.
Director
$54,001
@ $540.01 · 2026-02-25
TESKE TODD J
Director
$373,415
@ $533.45 · 2026-02-04
KOSEL CHRIS A
Officer
$136,271
@ $536.50 · 2026-02-04
TESKE TODD J
Director
$295,110
@ $491.85 · 2025-11-11
KOSEL CHRIS A
Officer
$177,558
@ $591.86 · 2025-08-22
QUINTOS KAREN H.
Director
$657,665
@ $607.82 · 2025-08-20
QUINTOS KAREN H.
Director
$222,394
@ $609.30 · 2025-08-20
SESSA DANIEL M
Officer
$1.86M
@ $670.04 · 2025-07-23
NORRIS JOHN W III
Director
$14.88M
@ $666.20 · 2025-07-23
NORRIS JOHN W III
Director
$1.96M
@ $613.72 · 2025-07-10
NORRIS JOHN W III
Director
$1.93M
@ $606.00 · 2025-07-03
NORRIS JOHN W III
Director
$1.91M
@ $600.00 · 2025-07-01
KOSEL CHRIS A
Officer
$289,140
@ $568.06 · 2025-05-07
KOSEL CHRIS A
Officer
$124,975
@ $644.20 · 2025-02-21
TORRES JOHN D
Officer
$1.04M
@ $582.55 · 2025-02-04
BUCK SHERRY L
Director
$330,370
@ $660.74 · 2024-11-27
TESKE TODD J
Director
$337,760
@ $675.52 · 2024-11-25
KOSEL CHRIS A
Officer
$125,098
@ $625.49 · 2024-11-13
NASSAB JOSEPH
Officer
$398,091
@ $619.12 · 2024-11-05
BEDAPUDI PRAKASH
Chief Technology Officer
$596,370
@ $618.00 · 2024-11-05
WALL SHANE D.
Director
$199,215
@ $612.97 · 2024-10-28
TORRES JOHN D
Officer
$360,789
@ $620.98 · 2024-10-25
BEDAPUDI PRAKASH
Chief Technology Officer
$3.14M
@ $584.00 · 2024-08-28
BUCK SHERRY L
Director
$291,735
@ $583.47 · 2024-08-23
NORRIS JOHN W III
Director
$976,412
@ $574.36 · 2024-08-20
QUINTOS KAREN H.
Director
$1.02M
@ $574.87 · 2024-08-20
TESKE TODD J
Director
$1.15M
@ $574.05 · 2024-08-19
BEDARD GARY S
Officer
$685,351
@ $576.41 · 2024-08-19
WALL SHANE D.
Director
$201,831
@ $576.66 · 2024-08-19
BEDAPUDI PRAKASH
Chief Technology Officer
$1.98M
@ $578.00 · 2024-08-19
NASSAB JOSEPH
Officer
$664,195
@ $570.12 · 2024-08-16
TORRES JOHN D
Officer
$4.12M
@ $571.21 · 2024-08-16
SESSA DANIEL M
Officer
$7.68M
@ $570.97 · 2024-08-16
KOSEL CHRIS A
Officer
$1.00M
@ $573.79 · 2024-07-26
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
MS
4
Sells (3M)
17
Sells (12M)
Total value (12M): $74.11M
GROSSMAN ERIC F
Officer
$2.12M
@ $190.75 · 2026-04-20
SIMKOWITZ DANIEL A
President
$2.78M
@ $189.24 · 2026-04-17
CRAWLEY MANDELL L.
Officer
$3.04M
@ $188.22 · 2026-04-16
SAPERSTEIN ANDREW MICHAEL
President
$9.74M
@ $188.59 · 2026-04-16
SIMKOWITZ DANIEL A
President
$6.02M
@ $182.61 · 2026-01-30
CRAWLEY MANDELL L.
Officer
$1.44M
@ $183.45 · 2026-01-20
YESHAYA SHARON
Chief Financial Officer
$2.94M
@ $185.77 · 2026-01-20
SMITH CHARLES AUBREY III
Officer
$1.55M
@ $182.08 · 2026-01-20
PIZZI MICHAEL A
Officer
$3.69M
@ $184.55 · 2026-01-20
SAPERSTEIN ANDREW MICHAEL
President
$5.57M
@ $183.62 · 2026-01-20
GROSSMAN ERIC F
Officer
$3.97M
@ $184.00 · 2026-01-20
PICK EDWARD N.
Chief Executive Officer
$16.43M
@ $164.34 · 2025-10-31
SMITH CHARLES AUBREY III
Officer
$2.81M
@ $140.30 · 2025-07-17
PIZZI MICHAEL A
Officer
$2.53M
@ $140.62 · 2025-07-17
GROSSMAN ERIC F
Officer
$1.69M
@ $141.12 · 2025-07-17
SIMKOWITZ DANIEL A
President
$4.09M
@ $141.13 · 2025-07-17
SIMKOWITZ DANIEL A
President
$3.70M
@ $127.37 · 2025-05-12
SAPERSTEIN ANDREW MICHAEL
President
$4.80M
@ $120.00 · 2025-05-02
HERZ ROBERT H
Director
$95,459
@ $119.32 · 2025-05-02
GROSSMAN ERIC F
Officer
$1.12M
@ $111.65 · 2025-04-15
CRAWLEY MANDELL L.
Officer
$1.15M
@ $138.06 · 2025-01-22
PIZZI MICHAEL A
Officer
$2.52M
@ $136.92 · 2025-01-21
SAPERSTEIN ANDREW MICHAEL
President
$4.20M
@ $136.43 · 2025-01-21
GROSSMAN ERIC F
Officer
$1.78M
@ $136.20 · 2025-01-21
SIMKOWITZ DANIEL A
President
$5.00M
@ $136.61 · 2025-01-21
AKRAM RAJA
Chief Financial Officer
$2.38M
@ $136.01 · 2025-01-21
CRAWLEY MANDELL L.
Officer
$368,375
@ $105.25 · 2024-07-26
AKRAM RAJA
Officer
$797,764
@ $106.37 · 2024-07-18
HERZ ROBERT H
Director
$106,621
@ $106.62 · 2024-07-17
SIMKOWITZ DANIEL A
President
$4.26M
@ $106.54 · 2024-07-17
CRAWLEY MANDELL L.
Officer
$692,663
@ $99.61 · 2024-05-14
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.
🎭 Mr. Market's Mood
Learn more →LII
😐Neutral(45/100)
"Market is pricing this stock without strong emotion in either direction"
Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
MS
😏Greed(71/100)
"Market is optimistic — be cautious and ensure you have a margin of safety"
Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
⚖️ Buffett Signal
Learn more →LII
⚪Awaiting DCF Data
The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.
DCF Margin of Safety: N/AMr. Market's Mood: Neutral (45)
MS
⚪Awaiting DCF Data
The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.
DCF Margin of Safety: N/AMr. Market's Mood: Greed (71)