Lennox International Inc. (NYSE:LII) is highlighted as one of the most profitable manufacturing stocks to buy now. Barclays reiterated its “Overweight” rating on Lennox International but reduced its 12-month price target to $700, citing mixed Q3/2025 results. Adjusted EPS beat expectations at $6.98, while revenue dipped 4.8% year-over-year to $1.43 billion. Despite this, Barclays sees structural strength in Lennox and believes the HVAC specialist is a good investment opportunity.

Barclays noted that Lennox’s cycle may hit bottom in early 2026, indicating investors are attracted to the company’s structural strength over immediate growth prospects. The firm views Lennox as a “buy on beat-up” scenario at current levels due to margin resilience and anticipation of macro softness. Lennox International Inc. designs, manufactures, and markets HVAC equipment for residential and commercial markets in the U.S., Canada, and internationally.

While Lennox International Inc. shows potential as an investment, some believe there are AI stocks with greater upside potential and lower downside risk. Investors seeking an undervalued AI stock that could benefit from Trump-era tariffs and onshoring trends can explore further in a free report on the best short-term AI stock.

Read more at Yahoo Finance: Barclays Trims Target on Lennox, But Still Sees Structural Strength