Seek Returns logo

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

Updated on

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

Company Profile

SymbolLIISARO
Company NameLennox International Inc.StandardAero, Inc.
CountryUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS IndustryBuilding ProductsAerospace & Defense
Market Capitalization20.04 billion USD9.00 billion USD
ExchangeNYSENYSE
Listing DateJuly 29, 1999October 2, 2024
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of LII and SARO 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.

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

Historical Performance at a Glance

SymbolLIISARO
5-Day Price Return-7.00%2.48%
13-Week Price Return-0.71%-4.05%
26-Week Price Return-12.38%1.30%
52-Week Price Return-0.59%--
Month-to-Date Return-6.32%-4.62%
Year-to-Date Return-6.36%9.98%
10-Day Avg. Volume0.40M2.17M
3-Month Avg. Volume0.39M2.29M
3-Month Volatility31.49%23.67%
Beta1.141.24

Profitability

Return on Equity (TTM)

LII

99.44%

Building Products Industry

Max
48.58%
Q3
27.65%
Median
16.01%
Q1
8.81%
Min
-6.66%

LII’s Return on Equity of 99.44% is exceptionally high, placing it well beyond the typical range for the Building Products industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

SARO

6.27%

Aerospace & Defense Industry

Max
43.89%
Q3
22.42%
Median
12.50%
Q1
5.21%
Min
-6.24%

SARO’s Return on Equity of 6.27% is on par with the norm for the Aerospace & Defense industry, indicating its profitability relative to shareholder equity is typical for the sector.

LII vs. SARO: A comparison of their Return on Equity (TTM) against their respective Building Products and Aerospace & Defense industry benchmarks.

Net Profit Margin (TTM)

LII

15.41%

Building Products Industry

Max
26.11%
Q3
15.09%
Median
9.48%
Q1
5.16%
Min
-3.43%

A Net Profit Margin of 15.41% places LII in the upper quartile for the Building Products industry, signifying strong profitability and more effective cost management than most of its peers.

SARO

2.37%

Aerospace & Defense Industry

Max
14.54%
Q3
8.08%
Median
6.17%
Q1
2.49%
Min
-1.63%

Falling into the lower quartile for the Aerospace & Defense industry, SARO’s Net Profit Margin of 2.37% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

LII vs. SARO: A comparison of their Net Profit Margin (TTM) against their respective Building Products and Aerospace & Defense industry benchmarks.

Operating Profit Margin (TTM)

LII

19.52%

Building Products Industry

Max
26.67%
Q3
18.75%
Median
14.89%
Q1
8.70%
Min
-1.00%

An Operating Profit Margin of 19.52% places LII in the upper quartile for the Building Products industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

SARO

7.59%

Aerospace & Defense Industry

Max
16.63%
Q3
10.38%
Median
8.29%
Q1
6.21%
Min
0.95%

SARO’s Operating Profit Margin of 7.59% is around the midpoint for the Aerospace & Defense industry, indicating that its efficiency in managing core business operations is typical for the sector.

LII vs. SARO: A comparison of their Operating Profit Margin (TTM) against their respective Building Products and Aerospace & Defense industry benchmarks.

Profitability at a Glance

SymbolLIISARO
Return on Equity (TTM)99.44%6.27%
Return on Assets (TTM)24.03%2.11%
Net Profit Margin (TTM)15.41%2.37%
Operating Profit Margin (TTM)19.52%7.59%
Gross Profit Margin (TTM)33.13%14.90%

Financial Strength

Current Ratio (MRQ)

LII

1.41

Building Products Industry

Max
2.87
Q3
2.03
Median
1.60
Q1
1.32
Min
0.88

LII’s Current Ratio of 1.41 aligns with the median group of the Building Products industry, indicating that its short-term liquidity is in line with its sector peers.

SARO

2.15

Aerospace & Defense Industry

Max
3.09
Q3
1.98
Median
1.23
Q1
1.03
Min
0.02

SARO’s Current Ratio of 2.15 is in the upper quartile for the Aerospace & Defense industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

LII vs. SARO: A comparison of their Current Ratio (MRQ) against their respective Building Products and Aerospace & Defense industry benchmarks.

Debt-to-Equity Ratio (MRQ)

LII

1.31

Building Products Industry

Max
1.64
Q3
1.02
Median
0.66
Q1
0.32
Min
0.00

LII’s leverage is in the upper quartile of the Building Products industry, with a Debt-to-Equity Ratio of 1.31. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

SARO

0.92

Aerospace & Defense Industry

Max
1.70
Q3
1.04
Median
0.68
Q1
0.41
Min
0.00

SARO’s Debt-to-Equity Ratio of 0.92 is typical for the Aerospace & Defense industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

LII vs. SARO: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Building Products and Aerospace & Defense industry benchmarks.

Interest Coverage Ratio (TTM)

LII

26.81

Building Products Industry

Max
72.12
Q3
34.39
Median
15.31
Q1
6.06
Min
0.85

LII’s Interest Coverage Ratio of 26.81 is positioned comfortably within the norm for the Building Products industry, indicating a standard and healthy capacity to cover its interest payments.

SARO

1.29

Aerospace & Defense Industry

Max
36.57
Q3
19.90
Median
7.04
Q1
2.40
Min
-7.63

In the lower quartile for the Aerospace & Defense industry, SARO’s Interest Coverage Ratio of 1.29 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.

LII vs. SARO: A comparison of their Interest Coverage Ratio (TTM) against their respective Building Products and Aerospace & Defense industry benchmarks.

Financial Strength at a Glance

SymbolLIISARO
Current Ratio (MRQ)1.412.15
Quick Ratio (MRQ)0.711.45
Debt-to-Equity Ratio (MRQ)1.310.92
Interest Coverage Ratio (TTM)26.811.29

Growth

Revenue Growth

LII vs. SARO: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

LII vs. SARO: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

LII

0.77%

Building Products Industry

Max
2.56%
Q3
1.94%
Median
1.04%
Q1
0.66%
Min
0.00%

LII’s Dividend Yield of 0.77% is consistent with its peers in the Building Products industry, providing a dividend return that is standard for its sector.

SARO

0.00%

Aerospace & Defense Industry

Max
2.03%
Q3
1.22%
Median
0.43%
Q1
0.00%
Min
0.00%

SARO currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

LII vs. SARO: A comparison of their Dividend Yield (TTM) against their respective Building Products and Aerospace & Defense industry benchmarks.

Dividend Payout Ratio (TTM)

LII

19.61%

Building Products Industry

Max
157.36%
Q3
77.74%
Median
29.49%
Q1
16.25%
Min
0.00%

LII’s Dividend Payout Ratio of 19.61% is within the typical range for the Building Products industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

SARO

0.00%

Aerospace & Defense Industry

Max
83.87%
Q3
49.90%
Median
16.48%
Q1
0.00%
Min
0.00%

SARO has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

LII vs. SARO: A comparison of their Dividend Payout Ratio (TTM) against their respective Building Products and Aerospace & Defense industry benchmarks.

Dividend at a Glance

SymbolLIISARO
Dividend Yield (TTM)0.77%0.00%
Dividend Payout Ratio (TTM)19.61%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

LII

25.59

Building Products Industry

Max
66.79
Q3
37.37
Median
21.86
Q1
17.57
Min
9.70

LII’s P/E Ratio of 25.59 is within the middle range for the Building Products industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

SARO

66.98

Aerospace & Defense Industry

Max
65.97
Q3
54.11
Median
34.53
Q1
23.66
Min
0.00

At 66.98, SARO’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Aerospace & Defense industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

LII vs. SARO: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Building Products and Aerospace & Defense industry benchmarks.

Price-to-Sales Ratio (TTM)

LII

3.94

Building Products Industry

Max
6.40
Q3
3.25
Median
1.65
Q1
1.11
Min
0.34

LII’s P/S Ratio of 3.94 is in the upper echelon for the Building Products 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.

SARO

1.59

Aerospace & Defense Industry

Max
8.07
Q3
4.49
Median
2.42
Q1
1.39
Min
0.00

SARO’s P/S Ratio of 1.59 aligns with the market consensus for the Aerospace & Defense industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

LII vs. SARO: A comparison of their Price-to-Sales Ratio (TTM) against their respective Building Products and Aerospace & Defense industry benchmarks.

Price-to-Book Ratio (MRQ)

LII

22.59

Building Products Industry

Max
13.31
Q3
6.85
Median
3.20
Q1
1.71
Min
0.73

At 22.59, LII’s P/B Ratio is at an extreme premium to the Building Products 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.

SARO

4.21

Aerospace & Defense Industry

Max
13.67
Q3
7.92
Median
4.65
Q1
2.68
Min
0.82

SARO’s P/B Ratio of 4.21 is within the conventional range for the Aerospace & Defense industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

LII vs. SARO: A comparison of their Price-to-Book Ratio (MRQ) against their respective Building Products and Aerospace & Defense industry benchmarks.

Valuation at a Glance

SymbolLIISARO
Price-to-Earnings Ratio (TTM)25.5966.98
Price-to-Sales Ratio (TTM)3.941.59
Price-to-Book Ratio (MRQ)22.594.21
Price-to-Free Cash Flow Ratio (TTM)28.81--