Lennox International Inc. (LII) vs Watsco, Inc. (WSO)

A side-by-side comparison of Lennox International Inc. and Watsco, Inc. across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of August 27, 2026. Differences are shown without an overall score or investment verdict.

Compare

Total returnLII vs WSO

growth of $100 · dividends reinvested · last 10y
LII +177.8% (+10.8%/yr)WSO +178.8% (+10.8%/yr)WSO compounded faster over this window
100200300400500Start $10020182020202220242026$278$279
LII WSO

LII vs WSO: by the numbers

  • LII is the larger company ($13.52B vs $12.89B market cap).
  • LII trades at the lower trailing earnings multiple (17.82 vs 27.03 P/E), one valuation lens rather than an overall verdict.
  • LII converts more revenue to profit (14.61% vs 6.53% net margin).
  • WSO pays the higher dividend yield (4.02% vs 1.34%).

Metrics side by side

Valuation

MetricLIIWSO
P/E ratio17.8227.03
Forward P/E16.6025.92
P/S ratio2.581.64
P/B ratio10.563.98
EV / EBITDA13.3516.72
FCF yield5.39%5.85%

Profitability

MetricLIIWSO
Gross margin33.10%27.87%
Operating margin19.37%9.32%
Net margin14.61%6.53%
ROE59.71%15.89%
ROIC23.32%13.49%

Dividends

MetricLIIWSO
Dividend yield1.34%4.02%
Payout ratio23.58%102.86%

Growth (annualized)

MetricLIIWSO
Revenue CAGR (5Y)5.08%5.11%
EPS CAGR (5Y)19.13%11.75%
FCF CAGR (5Y)1.09%15.78%
Total return CAGR (5Y)4.90%5.33%

Frequently asked

Which has the lower trailing P/E, LII or WSO?
LII has the lower trailing P/E: LII trades at 17.82 and WSO at 27.03. P/E is one valuation measure and does not by itself establish which business is cheaper.
Which has grown faster, LII or WSO?
Over the past five years, WSO grew revenue faster — LII at a 5.08% CAGR versus WSO at 5.11%.
Does LII or WSO pay a bigger dividend?
LII yields 1.34% and WSO yields 4.02% based on trailing dividends and the latest price.
Is LII or WSO more profitable?
LII runs the higher net margin — LII at 14.61% versus WSO at 6.53%.
How have LII and WSO total returns compared?
Over the past 10 years, LII delivered 10.76% and WSO delivered 11.27% annualized total return. Past performance doesn't predict future results.

Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified August 27, 2026.