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AWI vs. LII: A Head-to-Head Stock Comparison

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Here’s a clear look at AWI and LII, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

LII’s market capitalization of 21.44 billion USD is significantly greater than AWI’s 7.28 billion USD, highlighting its more substantial market valuation.

With betas of 1.37 for AWI and 1.15 for LII, both stocks show similar sensitivity to overall market movements.

SymbolAWILII
Company NameArmstrong World Industries, Inc.Lennox International Inc.
CountryUSUS
SectorIndustrialsIndustrials
IndustryConstructionConstruction
CEOVictor D. GrizzleAlok Maskara
Price167.75 USD604.22 USD
Market Cap7.28 billion USD21.44 billion USD
Beta1.371.15
ExchangeNYSENYSE
IPO DateOctober 18, 2006July 29, 1999
ADRNoNo

Historical Performance

This chart compares the performance of AWI and LII by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

AWI vs. LII: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

AWI

37.34%

Construction Industry

Max
40.76%
Q3
26.03%
Median
16.38%
Q1
5.66%
Min
-4.01%

In the upper quartile for the Construction industry, AWI’s Return on Equity of 37.34% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

LII

105.85%

Construction Industry

Max
40.76%
Q3
26.03%
Median
16.38%
Q1
5.66%
Min
-4.01%

LII’s Return on Equity of 105.85% is exceptionally high, placing it well beyond the typical range for the Construction industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

AWI vs. LII: A comparison of their ROE against the Construction industry benchmark.

Return on Invested Capital

AWI

16.82%

Construction Industry

Max
27.38%
Q3
15.45%
Median
9.91%
Q1
5.86%
Min
2.28%

In the upper quartile for the Construction industry, AWI’s Return on Invested Capital of 16.82% signifies a highly effective use of its capital to generate profits when compared to its peers.

LII

32.58%

Construction Industry

Max
27.38%
Q3
15.45%
Median
9.91%
Q1
5.86%
Min
2.28%

LII’s Return on Invested Capital of 32.58% is exceptionally high, placing it well beyond the typical range for the Construction industry. This demonstrates an outstanding ability to deploy capital efficiently and create significant value.

AWI vs. LII: A comparison of their ROIC against the Construction industry benchmark.

Net Profit Margin

AWI

18.25%

Construction Industry

Max
24.94%
Q3
14.61%
Median
10.07%
Q1
2.23%
Min
-9.49%

A Net Profit Margin of 18.25% places AWI in the upper quartile for the Construction industry, signifying strong profitability and more effective cost management than most of its peers.

LII

14.96%

Construction Industry

Max
24.94%
Q3
14.61%
Median
10.07%
Q1
2.23%
Min
-9.49%

A Net Profit Margin of 14.96% places LII in the upper quartile for the Construction industry, signifying strong profitability and more effective cost management than most of its peers.

AWI vs. LII: A comparison of their Net Profit Margin against the Construction industry benchmark.

Operating Profit Margin

AWI

24.04%

Construction Industry

Max
24.04%
Q3
19.17%
Median
13.63%
Q1
7.69%
Min
-7.88%

An Operating Profit Margin of 24.04% places AWI in the upper quartile for the Construction industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

LII

19.07%

Construction Industry

Max
24.04%
Q3
19.17%
Median
13.63%
Q1
7.69%
Min
-7.88%

LII’s Operating Profit Margin of 19.07% is around the midpoint for the Construction industry, indicating that its efficiency in managing core business operations is typical for the sector.

AWI vs. LII: A comparison of their Operating Margin against the Construction industry benchmark.

Profitability at a Glance

SymbolAWILII
Return on Equity (TTM)37.34%105.85%
Return on Assets (TTM)14.78%23.24%
Return on Invested Capital (TTM)16.82%32.58%
Net Profit Margin (TTM)18.25%14.96%
Operating Profit Margin (TTM)24.04%19.07%
Gross Profit Margin (TTM)40.42%32.80%

Financial Strength

Current Ratio

AWI

1.60

Construction Industry

Max
4.22
Q3
2.59
Median
1.84
Q1
1.44
Min
0.96

AWI’s Current Ratio of 1.60 aligns with the median group of the Construction industry, indicating that its short-term liquidity is in line with its sector peers.

LII

1.43

Construction Industry

Max
4.22
Q3
2.59
Median
1.84
Q1
1.44
Min
0.96

LII’s Current Ratio of 1.43 falls into the lower quartile for the Construction industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

AWI vs. LII: A comparison of their Current Ratio against the Construction industry benchmark.

Debt-to-Equity Ratio

AWI

0.75

Construction Industry

Max
1.75
Q3
1.15
Median
0.84
Q1
0.56
Min
0.05

AWI’s Debt-to-Equity Ratio of 0.75 is typical for the Construction industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

LII

1.75

Construction Industry

Max
1.75
Q3
1.15
Median
0.84
Q1
0.56
Min
0.05

LII’s leverage is in the upper quartile of the Construction industry, with a Debt-to-Equity Ratio of 1.75. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

AWI vs. LII: A comparison of their D/E Ratio against the Construction industry benchmark.

Interest Coverage Ratio

AWI

9.19

Construction Industry

Max
30.91
Q3
15.60
Median
7.16
Q1
2.73
Min
-4.26

AWI’s Interest Coverage Ratio of 9.19 is positioned comfortably within the norm for the Construction industry, indicating a standard and healthy capacity to cover its interest payments.

LII

30.91

Construction Industry

Max
30.91
Q3
15.60
Median
7.16
Q1
2.73
Min
-4.26

LII’s Interest Coverage Ratio of 30.91 is in the upper quartile for the Construction industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

AWI vs. LII: A comparison of their Interest Coverage against the Construction industry benchmark.

Financial Strength at a Glance

SymbolAWILII
Current Ratio (TTM)1.601.43
Quick Ratio (TTM)1.100.74
Debt-to-Equity Ratio (TTM)0.751.75
Debt-to-Asset Ratio (TTM)0.320.43
Net Debt-to-EBITDA Ratio (TTM)1.061.19
Interest Coverage Ratio (TTM)9.1930.91

Growth

The following charts compare key year-over-year (YoY) growth metrics for AWI and LII. These metrics are based on the companies’ annual financial reports.

Revenue Growth

AWI vs. LII: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

AWI vs. LII: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

AWI vs. LII: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

AWI

0.72%

Construction Industry

Max
2.43%
Q3
1.20%
Median
0.59%
Q1
0.00%
Min
0.00%

AWI’s Dividend Yield of 0.72% is consistent with its peers in the Construction industry, providing a dividend return that is standard for its sector.

LII

0.79%

Construction Industry

Max
2.43%
Q3
1.20%
Median
0.59%
Q1
0.00%
Min
0.00%

LII’s Dividend Yield of 0.79% is consistent with its peers in the Construction industry, providing a dividend return that is standard for its sector.

AWI vs. LII: A comparison of their Dividend Yield against the Construction industry benchmark.

Dividend Payout Ratio

AWI

18.86%

Construction Industry

Max
84.31%
Q3
28.17%
Median
11.69%
Q1
0.00%
Min
0.00%

AWI’s Dividend Payout Ratio of 18.86% is within the typical range for the Construction industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

LII

20.19%

Construction Industry

Max
84.31%
Q3
28.17%
Median
11.69%
Q1
0.00%
Min
0.00%

LII’s Dividend Payout Ratio of 20.19% is within the typical range for the Construction industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

AWI vs. LII: A comparison of their Payout Ratio against the Construction industry benchmark.

Dividend at a Glance

SymbolAWILII
Dividend Yield (TTM)0.72%0.79%
Dividend Payout Ratio (TTM)18.86%20.19%

Valuation

Price-to-Earnings Ratio

AWI

26.58

Construction Industry

Max
52.50
Q3
32.30
Median
22.66
Q1
14.68
Min
9.62

AWI’s P/E Ratio of 26.58 is within the middle range for the Construction industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

LII

26.72

Construction Industry

Max
52.50
Q3
32.30
Median
22.66
Q1
14.68
Min
9.62

LII’s P/E Ratio of 26.72 is within the middle range for the Construction industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

AWI vs. LII: A comparison of their P/E Ratio against the Construction industry benchmark.

Forward P/E to Growth Ratio

AWI

1.87

Construction Industry

Max
4.11
Q3
2.42
Median
1.60
Q1
1.15
Min
0.27

The Forward PEG Ratio is often not a primary valuation metric in the Construction industry.

LII

2.69

Construction Industry

Max
4.11
Q3
2.42
Median
1.60
Q1
1.15
Min
0.27

The Forward PEG Ratio is often not a primary valuation metric in the Construction industry.

AWI vs. LII: A comparison of their Forward PEG Ratio against the Construction industry benchmark.

Price-to-Sales Ratio

AWI

4.85

Construction Industry

Max
5.26
Q3
3.38
Median
1.63
Q1
0.99
Min
0.09

AWI’s P/S Ratio of 4.85 is in the upper echelon for the Construction industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

LII

4.00

Construction Industry

Max
5.26
Q3
3.38
Median
1.63
Q1
0.99
Min
0.09

LII’s P/S Ratio of 4.00 is in the upper echelon for the Construction industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

AWI vs. LII: A comparison of their P/S Ratio against the Construction industry benchmark.

Price-to-Book Ratio

AWI

9.18

Construction Industry

Max
12.88
Q3
6.91
Median
3.04
Q1
1.93
Min
0.71

AWI’s P/B Ratio of 9.18 is in the upper tier for the Construction industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

LII

25.16

Construction Industry

Max
12.88
Q3
6.91
Median
3.04
Q1
1.93
Min
0.71

At 25.16, LII’s P/B Ratio is at an extreme premium to the Construction industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

AWI vs. LII: A comparison of their P/B Ratio against the Construction industry benchmark.

Valuation at a Glance

SymbolAWILII
Price-to-Earnings Ratio (P/E, TTM)26.5826.72
Forward PEG Ratio (TTM)1.872.69
Price-to-Sales Ratio (P/S, TTM)4.854.00
Price-to-Book Ratio (P/B, TTM)9.1825.16
Price-to-Free Cash Flow Ratio (P/FCF, TTM)37.5127.73
EV-to-EBITDA (TTM)16.1921.29
EV-to-Sales (TTM)5.194.23