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GPN vs LII

GPN
Global Payments Inc.
NEUTRAL
Price
$68.33
Market Cap
$18.81B
Sector
Industrials
AI Confidence
85%
LII
Lennox International Inc.
BEARISH
Price
$495.52
Market Cap
$17.25B
Sector
Industrials
AI Confidence
85%

Valuation

P/E Ratio
GPN
15.42
LII
21.74
Forward P/E
GPN
4.22
LII
18.64
P/B Ratio
GPN
0.71
LII
14.82
P/S Ratio
GPN
2.44
LII
3.32
EV/EBITDA
GPN
9.85
LII
16.44

Profitability

Gross Margin
GPN
72.64%
LII
33.39%
Operating Margin
GPN
27.88%
LII
19.75%
Profit Margin
GPN
18.17%
LII
15.51%
ROE
GPN
4.82%
LII
75.83%
ROA
GPN
2.76%
LII
16.92%

Growth

Revenue Growth
GPN
-0.0%
LII
-11.2%
Earnings Growth
GPN
-59.2%
LII
-17.9%

Financial Health

Debt/Equity
GPN
0.93
LII
1.52
Current Ratio
GPN
1.69
LII
1.6
Quick Ratio
GPN
1.22
LII
0.52

Dividends

Dividend Yield
GPN
1.46%
LII
1.05%
Payout Ratio
GPN
22.57%
LII
22.16%

AI Verdict

GPN NEUTRAL

GPN presents a stark contrast between strong deterministic health and deteriorating growth. While the Piotroski F-Score of 7/9 indicates robust financial health and the stock trades significantly below its Graham Number ($98.18) and book value (P/B 0.71), these value metrics are countered by a severe collapse in earnings growth (-59.20% YoY) and a bearish technical trend (0/100). The massive discrepancy between the current P/E (15.42) and Forward P/E (4.22) suggests the market is pricing in a recovery that is not yet evident in the quarterly data. Consequently, the stock appears to be a deep-value play with significant execution risk.

Strengths
Strong Piotroski F-Score (7/9) indicating high financial health
Deep value valuation trading below book value (P/B 0.71)
Excellent gross margins (72.64%) and operating margins (27.88%)
Risks
Severe earnings contraction (-59.20% YoY and -61.60% Q/Q)
Stagnant to declining revenue growth (0% YoY, -23.16% Q/Q)
Long-term price destruction with a 5-year change of -67.2%
LII BEARISH

LII exhibits significant financial deterioration, highlighted by a weak Piotroski F-Score of 3/9 and a massive valuation gap where the current price ($495.52) trades at a severe premium to both its Graham Number ($130.92) and Intrinsic Value ($159.53). While the company maintains high ROE and profitability, these are offset by negative YoY revenue (-11.20%) and earnings growth (-17.90%). The combination of bearish insider sentiment, a failing technical trend, and poor liquidity (Quick Ratio 0.52) suggests a high risk of price correction.

Strengths
Strong Return on Equity (ROE) of 75.83%
Healthy operating margins at 19.75%
Sustainable dividend payout ratio of 22.16%
Risks
Severe overvaluation relative to defensive fair value (Graham Number)
Negative growth trajectory in both revenue and earnings
Weak financial health as indicated by Piotroski F-Score (3/9)

Compare Another Pair

GPN vs LII: Head-to-Head Comparison

This page compares Global Payments Inc. (GPN) and Lennox International Inc. (LII) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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