JOHNSON CONTROLS INTERNATION (JCI)

IE00BY7QL619 - Common Stock

69.43  -1.19 (-1.69%)

After market: 69.43 0 (0%)

Fundamental Rating

3

Taking everything into account, JCI scores 3 out of 10 in our fundamental rating. JCI was compared to 40 industry peers in the Building Products industry. Both the profitability and financial health of JCI have multiple concerns. While showing a medium growth rate, JCI is valued expensive at the moment. JCI also has an excellent dividend rating.



3

1. Profitability

1.1 Basic Checks

In the past year JCI was profitable.
JCI had a positive operating cash flow in the past year.
In the past 5 years JCI has always been profitable.
JCI had a positive operating cash flow in each of the past 5 years.

1.2 Ratios

JCI's Return On Assets of 3.90% is on the low side compared to the rest of the industry. JCI is outperformed by 75.00% of its industry peers.
JCI has a Return On Equity (10.83%) which is in line with its industry peers.
The Return On Invested Capital of JCI (4.97%) is worse than 77.50% of its industry peers.
The Average Return On Invested Capital over the past 3 years for JCI is significantly below the industry average of 13.54%.
Industry RankSector Rank
ROA 3.9%
ROE 10.83%
ROIC 4.97%
ROA(3y)3.97%
ROA(5y)5.38%
ROE(3y)9.97%
ROE(5y)12.45%
ROIC(3y)6.58%
ROIC(5y)5.48%

1.3 Margins

The Profit Margin of JCI (6.32%) is worse than 70.00% of its industry peers.
JCI's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 7.52%, JCI is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
In the last couple of years the Operating Margin of JCI has grown nicely.
With a Gross Margin value of 32.84%, JCI perfoms like the industry average, outperforming 47.50% of the companies in the same industry.
In the last couple of years the Gross Margin of JCI has remained more or less at the same level.
Industry RankSector Rank
OM 7.52%
PM (TTM) 6.32%
GM 32.84%
OM growth 3Y10%
OM growth 5Y3.77%
PM growth 3Y34.64%
PM growth 5Y-5.67%
GM growth 3Y0.28%
GM growth 5Y0.43%

2

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), JCI is destroying value.
The number of shares outstanding for JCI has been reduced compared to 1 year ago.
Compared to 5 years ago, JCI has less shares outstanding
Compared to 1 year ago, JCI has an improved debt to assets ratio.

2.2 Solvency

Based on the Altman-Z score of 1.77, we must say that JCI is in the distress zone and has some risk of bankruptcy.
JCI's Altman-Z score of 1.77 is on the low side compared to the rest of the industry. JCI is outperformed by 95.00% of its industry peers.
The Debt to FCF ratio of JCI is 8.61, which is on the high side as it means it would take JCI, 8.61 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of JCI (8.61) is worse than 85.00% of its industry peers.
JCI has a Debt/Equity ratio of 0.61. This is a neutral value indicating JCI is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.61, JCI is not doing good in the industry: 62.50% of the companies in the same industry are doing better.
Industry RankSector Rank
Debt/Equity 0.61
Debt/FCF 8.61
Altman-Z 1.77
ROIC/WACC0.73
WACC6.84%

2.3 Liquidity

JCI has a Current Ratio of 0.87. This is a bad value and indicates that JCI is not financially healthy enough and could expect problems in meeting its short term obligations.
JCI's Current ratio of 0.87 is on the low side compared to the rest of the industry. JCI is outperformed by 92.50% of its industry peers.
JCI has a Quick Ratio of 0.87. This is a bad value and indicates that JCI is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.65, JCI is not doing good in the industry: 92.50% of the companies in the same industry are doing better.
Industry RankSector Rank
Current Ratio 0.87
Quick Ratio 0.65

5

3. Growth

3.1 Past

JCI shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 3.37%.
The Earnings Per Share has been growing slightly by 4.49% on average over the past years.
Looking at the last year, JCI shows a small growth in Revenue. The Revenue has grown by 2.83% in the last year.
JCI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.75% yearly.
EPS 1Y (TTM)3.37%
EPS 3Y15.87%
EPS 5Y4.49%
EPS Q2Q%4%
Revenue 1Y (TTM)2.83%
Revenue growth 3Y6.28%
Revenue growth 5Y2.75%
Sales Q2Q%0.19%

3.2 Future

Based on estimates for the next years, JCI will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.00% on average per year.
Based on estimates for the next years, JCI will show a small growth in Revenue. The Revenue will grow by 5.54% on average per year.
EPS Next Y3.4%
EPS Next 2Y8.57%
EPS Next 3Y9.9%
EPS Next 5Y11%
Revenue Next Year2.56%
Revenue Next 2Y3.7%
Revenue Next 3Y3.61%
Revenue Next 5Y5.54%

3.3 Evolution

The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.

2

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 20.60, JCI is valued on the expensive side.
The rest of the industry has a similar Price/Earnings ratio as JCI.
JCI is valuated rather cheaply when we compare the Price/Earnings ratio to 28.39, which is the current average of the S&P500 Index.
JCI is valuated correctly with a Price/Forward Earnings ratio of 16.83.
JCI's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 19.91. JCI is around the same levels.
Industry RankSector Rank
PE 20.6
Fwd PE 16.83

4.2 Price Multiples

JCI's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. JCI is more expensive than 65.00% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, JCI is valued more expensive than 82.50% of the companies in the same industry.
Industry RankSector Rank
P/FCF 37.57
EV/EBITDA 18.9

4.3 Compensation for Growth

The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates JCI does not grow enough to justify the current Price/Earnings ratio.
PEG (NY)6.05
PEG (5Y)4.59
EPS Next 2Y8.57%
EPS Next 3Y9.9%

7

5. Dividend

5.1 Amount

JCI has a Yearly Dividend Yield of 2.13%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 1.08, JCI pays a better dividend. On top of this JCI pays more dividend than 100.00% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.37, JCI has a dividend comparable with the average S&P500 company.
Industry RankSector Rank
Dividend Yield 2.13%

5.2 History

On average, the dividend of JCI grows each year by 6.83%, which is quite nice.
JCI has paid a dividend for at least 10 years, which is a reliable track record.
JCI has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)6.83%
Div Incr Years3
Div Non Decr Years6

5.3 Sustainability

59.17% of the earnings are spent on dividend by JCI. This is a bit on the high side, but may be sustainable.
JCI's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP59.17%
EPS Next 2Y8.57%
EPS Next 3Y9.9%

JOHNSON CONTROLS INTERNATION

NYSE:JCI (6/14/2024, 7:17:29 PM)

After market: 69.43 0 (0%)

69.43

-1.19 (-1.69%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap46.77B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield 2.13%
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
Industry RankSector Rank
PE 20.6
Fwd PE 16.83
P/S
P/FCF
P/OCF
P/B
P/tB
EV/EBITDA
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)6.05
PEG (5Y)4.59
Profitability
Industry RankSector Rank
ROA 3.9%
ROE 10.83%
ROCE
ROIC
ROICexc
ROICexgc
OM 7.52%
PM (TTM) 6.32%
GM 32.84%
FCFM
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.62
Health
Industry RankSector Rank
Debt/Equity 0.61
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 0.87
Quick Ratio 0.65
Altman-Z
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)3.37%
EPS 3Y15.87%
EPS 5Y
EPS Q2Q%
EPS Next Y3.4%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)2.83%
Revenue growth 3Y6.28%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y