JOHNSON CONTROLS INTERNATION (JCI)
IE00BY7QL619 - Common Stock
Taking everything into account, JCI scores 4 out of 10 in our fundamental rating. JCI was compared to 43 industry peers in the Building Products industry. While JCI is still in line with the averages on profitability rating, there are concerns on its financial health. JCI is quite expensive at the moment. It does show a decent growth rate. Finally JCI also has an excellent dividend rating.
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.
JCI had positive earnings in each of the past 5 years.
Each year in the past 5 years JCI had a positive operating cash flow.
1.2 Ratios
JCI has a worse Return On Assets (4.79%) than 60.47% of its industry peers.
With a Return On Equity value of 12.61%, JCI perfoms like the industry average, outperforming 44.19% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 6.47%, JCI is doing worse than 62.79% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for JCI is significantly below the industry average of 14.14%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.79% | ||
| ROE | 12.61% | ||
| ROIC | 6.47% |
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
JCI has a Profit Margin (7.85%) which is in line with its industry peers.
JCI's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 10.25%, JCI is doing worse than 60.47% of the companies in the same industry.
In the last couple of years the Operating Margin of JCI has grown nicely.
JCI has a Gross Margin (33.08%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of JCI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.25% | ||
| PM (TTM) | 7.85% | ||
| GM | 33.08% |
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. 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
The debt/assets ratio for JCI has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 1.81 indicates that JCI is not a great score, but indicates only limited risk for bankruptcy at the moment.
JCI's Altman-Z score of 1.81 is on the low side compared to the rest of the industry. JCI is outperformed by 86.05% of its industry peers.
The Debt to FCF ratio of JCI is 5.98, which is a neutral value as it means it would take JCI, 5.98 years of fcf income to pay off all of its debts.
JCI has a worse Debt to FCF ratio (5.98) than 76.74% of its industry peers.
A Debt/Equity ratio of 0.60 indicates that JCI is somewhat dependend on debt financing.
JCI's Debt to Equity ratio of 0.60 is on the low side compared to the rest of the industry. JCI is outperformed by 60.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 5.98 | ||
| Altman-Z | 1.81 |
ROIC/WACC0.95
WACC6.83%
2.3 Liquidity
JCI has a Current Ratio of 0.97. This is a bad value and indicates that JCI is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of JCI (0.97) is worse than 88.37% of its industry peers.
JCI has a Quick Ratio of 0.97. 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 (0.73) than 83.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.97 | ||
| Quick Ratio | 0.73 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 6.37% over the past year.
Measured over the past 5 years, JCI shows a small growth in Earnings Per Share. The EPS has been growing by 4.49% on average per year.
Looking at the last year, JCI shows a small growth in Revenue. The Revenue has grown by 5.15% 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)6.37%
EPS 3Y15.87%
EPS 5Y4.49%
EPS growth Q2Q-23.88%
Revenue 1Y (TTM)5.15%
Revenue growth 3Y6.28%
Revenue growth 5Y2.75%
Revenue growth Q2Q0.43%
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 11.93% on average per year.
JCI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.72% yearly.
EPS Next Y4.13%
EPS Next 2Y9.05%
EPS Next 3Y10.49%
EPS Next 5Y11.93%
Revenue Next Year3.18%
Revenue Next 2Y3.96%
Revenue Next 3Y3.84%
Revenue Next 5Y5.72%
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
The Price/Earnings ratio is 19.09, which indicates a rather expensive current valuation of JCI.
The rest of the industry has a similar Price/Earnings ratio as JCI.
When comparing the Price/Earnings ratio of JCI to the average of the S&P500 Index (24.80), we can say JCI is valued slightly cheaper.
With a Price/Forward Earnings ratio of 15.32, JCI is valued correctly.
Based on the Price/Forward Earnings ratio, JCI is valued a bit cheaper than 65.12% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.27, JCI is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.09 | ||
| Fwd PE | 15.32 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of JCI is on the same level as its industry peers.
67.44% of the companies in the same industry are cheaper than JCI, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.5 | ||
| EV/EBITDA | 13.87 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)4.63
PEG (5Y)4.25
EPS Next 2Y9.05%
EPS Next 3Y10.49%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.27%, JCI has a reasonable but not impressive dividend return.
JCI's Dividend Yield is rather good when compared to the industry average which is at 1.26. JCI pays more dividend than 97.67% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, JCI has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.27% |
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
47.08% of the earnings are spent on dividend by JCI. This is a bit on the high side, but may be sustainable.
The dividend of JCI is growing, but earnings are growing more, so the dividend growth is sustainable.
DP47.08%
EPS Next 2Y9.05%
EPS Next 3Y10.49%
JOHNSON CONTROLS INTERNATION
NYSE:JCI (4/18/2024, 7:04:00 PM)
After market: 63.57 -0.2 (-0.31%)63.77
+0.08 (+0.13%)
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 Cap43.46B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.27% |
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 Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.09 | ||
| Fwd PE | 15.32 | ||
| 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)4.63
PEG (5Y)4.25
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.79% | ||
| ROE | 12.61% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 10.25% | ||
| PM (TTM) | 7.85% | ||
| GM | 33.08% | ||
| 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 Turnover0.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.97 | ||
| Quick Ratio | 0.73 | ||
| 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)
Growth
EPS 1Y (TTM)6.37%
EPS 3Y15.87%
EPS 5Y
EPS growth Q2Q
EPS Next Y4.13%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)5.15%
Revenue growth 3Y6.28%
Revenue growth 5Y
Revenue growth 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