Mizuho downgrades Lennox on less catalysts after rally

Mizuho downgraded Lennox (LII) to Neutral from Outperform with a price target of $625, down from $675. The company’s execution under CEO Alok Maskara “has been stellar,” but the largest profit pools have now been achieved or discounted in the stock, the analyst tells investors in a research note. The firm says Lennox’s next wave of profit wins will likely be spread more gradually over the forthcoming years. It cites the stock’s strong multi-year run for the downgrade, adding that while Lennox’s 2026 rebound could be attractive, patience is warranted. The company’s near-term catalyst path it slower, contends Mizuho.