CARR vs. LII

Last updated Jun 3, 2026

CARR (Carrier Global Corporation) and LII (Lennox International Inc.) are both stocks. Both are in the Industrials sector — CARR in Building Products & Equipment, LII in Specialty Industrial Machinery. Over the past 5 years, CARR returned 9.33%/yr vs 9.92%/yr for LII. A 0.67 correlation means they provide meaningful diversification when combined.

Performance

CARR vs. LII - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Carrier Global Corporation (CARR) and Lennox International Inc. (LII). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, CARR achieves a 26.69% return, which is significantly higher than LII's 6.65% return.

CARR

• 1D: 2.01%
• 1M: -1.42%
• YTD: 26.69%
• 6M: 24.38%
• 1Y: -3.89%
• 3Y*: 16.91%
• 5Y*: 9.33%
• 10Y*: —

LII

• 1D: 3.95%
• 1M: -1.89%
• YTD: 6.65%
• 6M: 6.56%
• 1Y: -5.44%
• 3Y*: 21.27%
• 5Y*: 9.92%
• 10Y*: 15.48%

*Multi-year figures are annualized to reflect compound growth (CAGR)

CARR vs. LII - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020
CARR Carrier Global Corporation	26.69%	-21.57%	20.26%	41.47%	-22.68%	45.31%	124.99%
LII Lennox International Inc.	6.65%	-19.54%	37.27%	89.55%	-24.94%	19.71%	61.72%

Correlation

The correlation between CARR and LII is 0.71, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.71
Correlation (3Y) Calculated over the trailing 3-year period	0.72
Correlation (5Y) Calculated over the trailing 5-year period	0.73
Correlation (All Time) Calculated using the full available price history since Apr 6, 2020	0.67

The correlation between CARR and LII has been stable across timeframes, ranging from 0.67 to 0.73 - a consistent structural relationship.

Fundamentals

Market Cap CARR : $55.98B LII : $18.07B
EPS CARR : $1.55 LII : $22.20
PE Ratio CARR : 42.98 LII : 23.26
PEG Ratio CARR : 0.63 LII : 1.41
PS Ratio CARR : 2.59 LII : 3.46
PB Ratio CARR : 4.06 LII : 14.89
Total Revenue (TTM) CARR : $21.87B LII : $5.26B
Gross Profit (TTM) CARR : $5.43B LII : $1.74B
EBITDA (TTM) CARR : $3.15B LII : $1.10B

Return for Risk

CARR vs. LII — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

CARR

CARR Risk / Return Rank: 34
CARR Sharpe Ratio Rank: 35
CARR Sortino Ratio Rank: 32
CARR Omega Ratio Rank: 32
CARR Calmar Ratio Rank: 35
CARR Martin Ratio Rank: 37

LII

LII Risk / Return Rank: 32
LII Sharpe Ratio Rank: 34
LII Sortino Ratio Rank: 30
LII Omega Ratio Rank: 30
LII Calmar Ratio Rank: 33
LII Martin Ratio Rank: 34

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

CARR vs. LII - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Carrier Global Corporation (CARR) and Lennox International Inc. (LII). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	CARR	LII	Difference
Sharpe ratio Return per unit of total volatility	-0.11	-0.16	+0.04
Sortino ratio Return per unit of downside risk	0.08	0.02	+0.06
Omega ratio Gain probability vs. loss probability	1.01	1.00	+0.01
Calmar ratio Return relative to maximum drawdown	-0.14	-0.22	+0.09
Martin ratio Return relative to average drawdown	-0.21	-0.37	+0.16
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

CARR vs. LII - Sharpe Ratio Comparison

The current CARR Sharpe Ratio is -0.11, which is comparable to the LII Sharpe Ratio of -0.16. The chart below compares the historical Sharpe Ratios of CARR and LII, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	CARR	LII	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-0.11	-0.16	+0.04
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.30	0.31	-0.02
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	—	0.53	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.80	0.43	+0.36

Drawdowns

CARR vs. LII - Drawdown Comparison

The maximum CARR drawdown since its inception was -40.82%, smaller than the maximum LII drawdown of -62.76%. Use the drawdown chart below to compare losses from any high point for CARR and LII.

Drawdown Indicators

	CARR	LII	Difference
Max Drawdown Largest peak-to-trough decline	-40.82%	-62.76%	+21.94%
Max Drawdown (1Y) Largest decline over 1 year	-37.38%	-33.77%	-3.61%
Max Drawdown (3Y) Largest decline over 3 years	-37.91%	-34.71%	-3.20%
Max Drawdown (5Y) Largest decline over 5 years	-40.82%	-46.88%	+6.06%
Max Drawdown (10Y) Largest decline over 10 years	—	-46.88%	—
Current Drawdown Current decline from peak	-17.47%	-22.78%	+5.31%
Average Drawdown Average peak-to-trough decline	-14.21%	-14.50%	+0.29%
Ulcer Index Depth and duration of drawdowns from previous peaks	23.97%	20.54%	+3.43%

Volatility

CARR vs. LII - Volatility Comparison

Carrier Global Corporation (CARR) has a higher volatility of 11.22% compared to Lennox International Inc. (LII) at 10.42%. This indicates that CARR's price experiences larger fluctuations and is considered to be riskier than LII based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	CARR	LII	Difference
Volatility (1M) Calculated over the trailing 1-month period	11.22%	10.42%	+0.80%
Volatility (6M) Calculated over the trailing 6-month period	26.65%	26.00%	+0.65%
Volatility (1Y) Calculated over the trailing 1-year period	34.34%	34.88%	-0.54%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	31.70%	32.04%	-0.34%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	33.51%	29.27%	+4.24%

Dividends

CARR vs. LII - Dividend Comparison

CARR's dividend yield for the trailing twelve months is around 1.74%, more than LII's 1.01% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
CARR Carrier Global Corporation	1.74%	1.70%	1.16%	1.30%	1.54%	0.94%	0.74%	0.00%	0.00%	0.00%	0.00%	0.00%
LII Lennox International Inc.	1.01%	1.04%	0.75%	0.97%	1.71%	1.09%	1.12%	1.21%	1.11%	0.94%	1.08%	1.10%

Financials

CARR vs. LII - Profitability Comparison

The chart below illustrates the profitability comparison between Carrier Global Corporation and Lennox International Inc. over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

CARR - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Carrier Global Corporation reported a gross profit of 1.24B and revenue of 5.34B. Therefore, the gross margin over that period was 23.3%.

LII - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Lennox International Inc. reported a gross profit of 351.30M and revenue of 1.14B. Therefore, the gross margin over that period was 31.0%.

CARR - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Carrier Global Corporation reported an operating income of 259.00M and revenue of 5.34B, resulting in an operating margin of 4.9%.

LII - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Lennox International Inc. reported an operating income of 163.50M and revenue of 1.14B, resulting in an operating margin of 14.4%.

CARR - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Carrier Global Corporation reported a net income of 238.00M and revenue of 5.34B, resulting in a net margin of 4.5%.

LII - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Lennox International Inc. reported a net income of 117.20M and revenue of 1.14B, resulting in a net margin of 10.3%.

Frequently Asked Questions

Can I hold both CARR and LII in my portfolio?

CARR and LII have a correlation of 0.71, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, CARR or LII?

CARR has higher volatility (11.22%) compared to LII (10.42%). In terms of maximum drawdown, CARR dropped -40.82% vs LII's -62.76%.

Which has better risk-adjusted returns?

CARR currently has the higher Sharpe Ratio (-0.11 vs -0.16), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.