WallStSmart

Federal Signal Corporation (FSS)vsLennox International Inc (LII)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Lennox International Inc generates 117% more annual revenue ($5.30B vs $2.45B). LII leads profitability with a 14.9% profit margin vs 11.7%. LII appears more attractively valued with a PEG of 1.25. FSS earns a higher WallStSmart Score of 64/100 (C+).

FSS

Buy

64

out of 100

Grade: C+

Growth: 8.0Profit: 7.5Value: 5.0Quality: 7.5
Piotroski: 3/9Altman Z: 3.26

LII

Buy

60

out of 100

Grade: C+

Growth: 4.0Profit: 8.5Value: 5.7Quality: 6.0
Piotroski: 3/9Altman Z: 4.22

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FSS3 strengths · Avg: 8.7/10
Altman Z-ScoreHealth
3.2610/10

Safe zone — low bankruptcy risk

Revenue GrowthGrowth
18.7%8/10

18.7% revenue growth

EPS GrowthGrowth
20.7%8/10

Earnings expanding 20.7% YoY

LII3 strengths · Avg: 9.3/10
Return on EquityProfitability
64.5%10/10

Every $100 of equity generates 65 in profit

Altman Z-ScoreHealth
4.2210/10

Safe zone — low bankruptcy risk

Operating MarginProfitability
22.9%8/10

Strong operational efficiency at 22.9%

Areas to Watch

FSS3 concerns · Avg: 3.7/10
PEG RatioValuation
1.924/10

Expensive relative to growth rate

P/E RatioValuation
26.9x4/10

Moderate valuation

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

LII4 concerns · Avg: 3.8/10
Price/BookValuation
11.7x4/10

Trading at 11.7x book value

Revenue GrowthGrowth
3.0%4/10

3.0% revenue growth

EPS GrowthGrowth
0.1%4/10

0.1% earnings growth

Debt/EquityHealth
1.613/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : FSS

The strongest argument for FSS centers on Altman Z-Score, Revenue Growth, EPS Growth. Revenue growth of 18.7% demonstrates continued momentum.

Bull Case : LII

The strongest argument for LII centers on Return on Equity, Altman Z-Score, Operating Margin. PEG of 1.25 suggests the stock is reasonably priced for its growth.

Bear Case : FSS

The primary concerns for FSS are PEG Ratio, P/E Ratio, Piotroski F-Score.

Bear Case : LII

The primary concerns for LII are Price/Book, Revenue Growth, EPS Growth. Debt-to-equity of 1.61 is elevated, increasing financial risk.

Key Dynamics to Monitor

FSS profiles as a growth stock while LII is a value play — different risk/reward profiles.

FSS carries more volatility with a beta of 1.23 — expect wider price swings.

FSS is growing revenue faster at 18.7% — sustainability is the question.

FSS generates stronger free cash flow (95M), providing more financial flexibility.

Bottom Line

FSS scores higher overall (64/100 vs 60/100) and 18.7% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Federal Signal Corporation

INDUSTRIALS · FARM & HEAVY CONSTRUCTION MACHINERY · USA

Federal Signal Corporation designs, manufactures, and supplies a suite of integrated products and solutions for municipal, government, industrial, and commercial customers in the United States, Canada, Europe, and internationally. The company is headquartered in Oak Brook, Illinois.

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Lennox International Inc

INDUSTRIALS · BUILDING PRODUCTS & EQUIPMENT · USA

Lennox International Inc. designs, manufactures and markets a range of products for the heating, ventilation, air conditioning and refrigeration markets in the United States, Canada and internationally. The company is headquartered in Richardson, Texas.

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