JOHNSON CONTROLS INTERNATION (JCI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:JCI - IE00BY7QL619 - Common Stock
121.71 USD
-0.35 (-0.29%)
121.74 USD
+0.03 (+0.02%)
We assign a fundamental rating of 4 out of 10 to JCI. JCI was compared to 42 industry peers in the Building Products industry. JCI has an excellent profitability rating, but there are concerns on its financial health. While showing a medium growth rate, JCI is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year JCI was profitable.
In the past year JCI had a positive cash flow from operations.
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
The Return On Assets of JCI (8.67%) is better than 64.29% of its industry peers.
With an excellent Return On Equity value of 25.46%, JCI belongs to the best of the industry, outperforming 80.95% of the companies in the same industry.
JCI's Return On Invested Capital of 9.19% is in line compared to the rest of the industry. JCI outperforms 52.38% of its industry peers.
JCI had an Average Return On Invested Capital over the past 3 years of 8.01%. This is below the industry average of 12.61%.
The 3 year average ROIC (8.01%) for JCI is below the current ROIC(9.19%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.67% | ||
| ROE | 25.46% | ||
| ROIC | 9.19% |
ROA(3y)5.68%
ROA(5y)4.92%
ROE(3y)15.74%
ROE(5y)13.19%
ROIC(3y)8.01%
ROIC(5y)7.72%
1.3 Margins
With a decent Profit Margin value of 13.95%, JCI is doing good in the industry, outperforming 73.81% of the companies in the same industry.
JCI's Profit Margin has improved in the last couple of years.
JCI has a Operating Margin (11.99%) which is in line with its industry peers.
In the last couple of years the Operating Margin of JCI has grown nicely.
With a decent Gross Margin value of 36.41%, JCI is doing good in the industry, outperforming 61.90% of the companies in the same industry.
In the last couple of years the Gross Margin of JCI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.99% | ||
| PM (TTM) | 13.95% | ||
| GM | 36.41% |
OM growth 3Y8.13%
OM growth 5Y8.9%
PM growth 3Y32.06%
PM growth 5Y37.6%
GM growth 3Y3.36%
GM growth 5Y1.86%
2. Health
2.1 Basic Checks
JCI has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, JCI has less shares outstanding
Compared to 5 years ago, JCI has less shares outstanding
JCI has a worse debt/assets ratio than last year.
2.2 Solvency
JCI has an Altman-Z score of 2.63. This is not the best score and indicates that JCI is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.63, JCI is doing worse than 66.67% of the companies in the same industry.
JCI has a debt to FCF ratio of 13.92. This is a negative value and a sign of low solvency as JCI would need 13.92 years to pay back of all of its debts.
The Debt to FCF ratio of JCI (13.92) is worse than 69.05% of its industry peers.
A Debt/Equity ratio of 0.72 indicates that JCI is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.72, JCI is in line with its industry, outperforming 40.48% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 13.92 | ||
| Altman-Z | 2.63 |
ROIC/WACC1.28
WACC7.19%
2.3 Liquidity
JCI has a Current Ratio of 0.93. 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 has a Current ratio of 0.93. This is amonst the worse of the industry: JCI underperforms 92.86% of its industry peers.
JCI has a Quick Ratio of 0.93. 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 has a worse Quick ratio (0.76) than 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.76 |
3. Growth
3.1 Past
JCI shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.62%.
Measured over the past years, JCI shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.87% on average per year.
JCI shows a small growth in Revenue. In the last year, the Revenue has grown by 2.81%.
JCI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.12% yearly.
EPS 1Y (TTM)1.62%
EPS 3Y7.79%
EPS 5Y10.87%
EPS Q2Q%-1.56%
Revenue 1Y (TTM)2.81%
Revenue growth 3Y-2.3%
Revenue growth 5Y1.12%
Sales Q2Q%-12.88%
3.2 Future
JCI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.75% yearly.
JCI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.10% yearly.
EPS Next Y23.24%
EPS Next 2Y19.74%
EPS Next 3Y17.93%
EPS Next 5Y15.75%
Revenue Next Year5.75%
Revenue Next 2Y5.64%
Revenue Next 3Y5.48%
Revenue Next 5Y5.1%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 32.28 indicates a quite expensive valuation of JCI.
73.81% of the companies in the same industry are cheaper than JCI, based on the Price/Earnings ratio.
JCI's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 26.84.
A Price/Forward Earnings ratio of 26.19 indicates a quite expensive valuation of JCI.
69.05% of the companies in the same industry are cheaper than JCI, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.40, JCI is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.28 | ||
| Fwd PE | 26.19 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, JCI is valued a bit more expensive than 78.57% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, JCI is valued a bit more expensive than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 104.76 | ||
| EV/EBITDA | 22.58 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
JCI has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as JCI's earnings are expected to grow with 17.93% in the coming years.
PEG (NY)1.39
PEG (5Y)2.97
EPS Next 2Y19.74%
EPS Next 3Y17.93%
5. Dividend
5.1 Amount
JCI has a Yearly Dividend Yield of 1.32%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 0.72, JCI pays a bit more dividend than its industry peers.
JCI's Dividend Yield is slightly below the S&P500 average, which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.32% |
5.2 History
On average, the dividend of JCI grows each year by 7.84%, which is quite nice.
JCI has been paying a dividend for at least 10 years, so it has a reliable track record.
As JCI did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)7.84%
Div Incr Years4
Div Non Decr Years7
5.3 Sustainability
JCI pays out 29.66% of its income as dividend. This is a sustainable payout ratio.
The dividend of JCI is growing, but earnings are growing more, so the dividend growth is sustainable.
DP29.66%
EPS Next 2Y19.74%
EPS Next 3Y17.93%
121.71
-0.35 (-0.29%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners97.28%
Inst Owner Change-4.19%
Ins Owners0.26%
Ins Owner Change0.13%
Market Cap74.38B
Revenue(TTM)23.60B
Net Income(TTM)3.29B
Analysts74.62
Price Target132.39 (8.77%)
Short Float %3.24%
Short Ratio4.39
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.32% |
Yearly Dividend1.53
Dividend Growth(5Y)7.84%
DP29.66%
Div Incr Years4
Div Non Decr Years7
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.28%
Min EPS beat(2)2.66%
Max EPS beat(2)3.91%
EPS beat(4)4
Avg EPS beat(4)4.34%
Min EPS beat(4)2.66%
Max EPS beat(4)7.63%
EPS beat(8)7
Avg EPS beat(8)3.61%
EPS beat(12)8
Avg EPS beat(12)1.98%
EPS beat(16)9
Avg EPS beat(16)1.35%
Revenue beat(2)1
Avg Revenue beat(2)0.32%
Min Revenue beat(2)-0.35%
Max Revenue beat(2)0.99%
Revenue beat(4)2
Avg Revenue beat(4)0.49%
Min Revenue beat(4)-0.35%
Max Revenue beat(4)1.59%
Revenue beat(8)3
Avg Revenue beat(8)-0.13%
Revenue beat(12)4
Avg Revenue beat(12)-0.73%
Revenue beat(16)5
Avg Revenue beat(16)-0.93%
PT rev (1m)2.7%
PT rev (3m)15.1%
EPS NQ rev (1m)0.08%
EPS NQ rev (3m)3.11%
EPS NY rev (1m)3.84%
EPS NY rev (3m)4.41%
Revenue NQ rev (1m)0.04%
Revenue NQ rev (3m)-0.49%
Revenue NY rev (1m)0.36%
Revenue NY rev (3m)0.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.28 | ||
| Fwd PE | 26.19 | ||
| P/S | 3.15 | ||
| P/FCF | 104.76 | ||
| P/OCF | 65.02 | ||
| P/B | 5.75 | ||
| P/tB | N/A | ||
| EV/EBITDA | 22.58 |
EPS(TTM)3.77
EY3.1%
EPS(NY)4.65
Fwd EY3.82%
FCF(TTM)1.16
FCFY0.95%
OCF(TTM)1.87
OCFY1.54%
SpS38.61
BVpS21.15
TBVpS-11.98
PEG (NY)1.39
PEG (5Y)2.97
Graham Number42.36
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.67% | ||
| ROE | 25.46% | ||
| ROCE | 10.47% | ||
| ROIC | 9.19% | ||
| ROICexc | 9.32% | ||
| ROICexgc | 35.92% | ||
| OM | 11.99% | ||
| PM (TTM) | 13.95% | ||
| GM | 36.41% | ||
| FCFM | 3.01% |
ROA(3y)5.68%
ROA(5y)4.92%
ROE(3y)15.74%
ROE(5y)13.19%
ROIC(3y)8.01%
ROIC(5y)7.72%
ROICexc(3y)8.17%
ROICexc(5y)7.97%
ROICexgc(3y)29.7%
ROICexgc(5y)30.18%
ROCE(3y)9.1%
ROCE(5y)8.72%
ROICexgc growth 3Y8.04%
ROICexgc growth 5Y10.93%
ROICexc growth 3Y8.43%
ROICexc growth 5Y12.67%
OM growth 3Y8.13%
OM growth 5Y8.9%
PM growth 3Y32.06%
PM growth 5Y37.6%
GM growth 3Y3.36%
GM growth 5Y1.86%
F-Score6
Asset Turnover0.62
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 13.92 | ||
| Debt/EBITDA | 2.52 | ||
| Cap/Depr | 50.17% | ||
| Cap/Sales | 1.84% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 30.98% | ||
| Profit Quality | 21.57% | ||
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.76 | ||
| Altman-Z | 2.63 |
F-Score6
WACC7.19%
ROIC/WACC1.28
Cap/Depr(3y)58.09%
Cap/Depr(5y)62.18%
Cap/Sales(3y)2%
Cap/Sales(5y)2.14%
Profit Quality(3y)68.76%
Profit Quality(5y)83.09%
High Growth Momentum
Growth
EPS 1Y (TTM)1.62%
EPS 3Y7.79%
EPS 5Y10.87%
EPS Q2Q%-1.56%
EPS Next Y23.24%
EPS Next 2Y19.74%
EPS Next 3Y17.93%
EPS Next 5Y15.75%
Revenue 1Y (TTM)2.81%
Revenue growth 3Y-2.3%
Revenue growth 5Y1.12%
Sales Q2Q%-12.88%
Revenue Next Year5.75%
Revenue Next 2Y5.64%
Revenue Next 3Y5.48%
Revenue Next 5Y5.1%
EBIT growth 1Y17.05%
EBIT growth 3Y5.65%
EBIT growth 5Y10.13%
EBIT Next Year46.83%
EBIT Next 3Y20.74%
EBIT Next 5Y13.93%
FCF growth 1Y-55.57%
FCF growth 3Y-20.14%
FCF growth 5Y-16.75%
OCF growth 1Y-45.32%
OCF growth 3Y-16.8%
OCF growth 5Y-12.41%
JOHNSON CONTROLS INTERNATION / JCI FAQ
What is the ChartMill fundamental rating of JOHNSON CONTROLS INTERNATION (JCI) stock?
ChartMill assigns a fundamental rating of 4 / 10 to JCI.
What is the valuation status of JOHNSON CONTROLS INTERNATION (JCI) stock?
ChartMill assigns a valuation rating of 2 / 10 to JOHNSON CONTROLS INTERNATION (JCI). This can be considered as Overvalued.
What is the profitability of JCI stock?
JOHNSON CONTROLS INTERNATION (JCI) has a profitability rating of 7 / 10.
What is the valuation of JOHNSON CONTROLS INTERNATION based on its PE and PB ratios?
The Price/Earnings (PE) ratio for JOHNSON CONTROLS INTERNATION (JCI) is 32.28 and the Price/Book (PB) ratio is 5.75.
Can you provide the dividend sustainability for JCI stock?
The dividend rating of JOHNSON CONTROLS INTERNATION (JCI) is 6 / 10 and the dividend payout ratio is 29.66%.