JOHNSON CONTROLS INTERNATION (JCI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:JCI - IE00BY7QL619 - Common Stock
113.55 USD
+0.56 (+0.5%)
113.55 USD
0 (0%)
JCI gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 41 industry peers in the Building Products industry. JCI has an excellent profitability rating, but there are concerns on its financial health. JCI is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
JCI had positive earnings in the past year.
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 63.41% of its industry peers.
With an excellent Return On Equity value of 25.46%, JCI belongs to the best of the industry, outperforming 80.49% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 9.19%, JCI is in line with its industry, outperforming 53.66% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for JCI is below the industry average of 12.50%.
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
JCI's Profit Margin of 13.95% is fine compared to the rest of the industry. JCI outperforms 73.17% of its industry peers.
JCI's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 11.99%, JCI is in line with its industry, outperforming 48.78% of the companies in the same industry.
JCI's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 36.41%, JCI is in the better half of the industry, outperforming 60.98% 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so JCI is still creating some value.
JCI has less shares outstanding than it did 1 year ago.
The number of shares outstanding for JCI has been reduced compared to 5 years ago.
Compared to 1 year ago, JCI has a worse debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of JCI is 13.92, which is on the high side as it means it would take JCI, 13.92 years of fcf income to pay off all of its debts.
JCI has a Debt to FCF ratio of 13.92. This is in the lower half of the industry: JCI underperforms 68.29% of its industry peers.
JCI has a Debt/Equity ratio of 0.72. This is a neutral value indicating JCI is somewhat dependend on debt financing.
JCI has a Debt to Equity ratio of 0.72. This is comparable to the rest of the industry: JCI outperforms 41.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 13.92 | ||
| Altman-Z | N/A |
ROIC/WACC1.27
WACC7.23%
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 92.68% of its industry peers.
A Quick Ratio of 0.76 indicates that JCI may have some problems paying its short term obligations.
With a Quick ratio value of 0.76, JCI is not doing good in the industry: 82.93% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.76 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 1.62% over the past year.
JCI shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.87% yearly.
The Revenue has been growing slightly by 2.81% in the past year.
Measured over the past years, JCI shows a small growth in Revenue. The Revenue has been growing by 1.12% on average per year.
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
Based on estimates for the next years, JCI will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.43% on average per year.
The Revenue is expected to grow by 6.48% on average over the next years.
EPS Next Y18.69%
EPS Next 2Y17.64%
EPS Next 3Y15.71%
EPS Next 5Y13.43%
Revenue Next Year5.36%
Revenue Next 2Y5.28%
Revenue Next 3Y5.13%
Revenue Next 5Y6.48%
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.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 30.12, the valuation of JCI can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of JCI indicates a slightly more expensive valuation: JCI is more expensive than 70.73% of the companies listed in the same industry.
JCI's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 25.45.
A Price/Forward Earnings ratio of 25.38 indicates a quite expensive valuation of JCI.
Compared to the rest of the industry, the Price/Forward Earnings ratio of JCI indicates a slightly more expensive valuation: JCI is more expensive than 68.29% of the companies listed in the same industry.
JCI's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 34.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.12 | ||
| Fwd PE | 25.38 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, JCI is valued a bit more expensive than the industry average as 78.05% of the companies are valued more cheaply.
Based on the Price/Free Cash Flow ratio, JCI is valued a bit more expensive than 68.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 104.66 | ||
| EV/EBITDA | 22.4 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of JCI may justify a higher PE ratio.
JCI's earnings are expected to grow with 15.71% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.61
PEG (5Y)2.77
EPS Next 2Y17.64%
EPS Next 3Y15.71%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.33%, JCI has a reasonable but not impressive dividend return.
JCI's Dividend Yield is a higher than the industry average which is at 1.35.
With a Dividend Yield of 1.33, JCI pays less dividend than the S&P500 average, which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.33% |
5.2 History
The dividend of JCI is nicely growing with an annual growth rate of 7.12%!
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)7.12%
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.
JCI's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP29.66%
EPS Next 2Y17.64%
EPS Next 3Y15.71%
113.55
+0.56 (+0.5%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryBuilding Products
Earnings (Last)
Earnings (Next)
Inst Owners92.98%
Inst Owner Change-4.35%
Ins Owners0.24%
Ins Owner Change-0.54%
Market Cap74.31B
Revenue(TTM)23.60B
Net Income(TTM)3.29B
Analysts74.07
Price Target116.92 (2.97%)
Short Float %3.1%
Short Ratio4.85
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.33% |
Yearly Dividend1.48
Dividend Growth(5Y)7.12%
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)1.15%
PT rev (3m)2.23%
EPS NQ rev (1m)2.12%
EPS NQ rev (3m)3.8%
EPS NY rev (1m)0.54%
EPS NY rev (3m)3.51%
Revenue NQ rev (1m)-0.68%
Revenue NQ rev (3m)-0.82%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)0.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.12 | ||
| Fwd PE | 25.38 | ||
| P/S | 3.15 | ||
| P/FCF | 104.66 | ||
| P/OCF | 64.95 | ||
| P/B | 5.75 | ||
| P/tB | N/A | ||
| EV/EBITDA | 22.4 |
EPS(TTM)3.77
EY3.32%
EPS(NY)4.47
Fwd EY3.94%
FCF(TTM)1.08
FCFY0.96%
OCF(TTM)1.75
OCFY1.54%
SpS36.06
BVpS19.75
TBVpS-11.18
PEG (NY)1.61
PEG (5Y)2.77
Graham Number40.93
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 | N/A |
F-Score6
WACC7.23%
ROIC/WACC1.27
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 Y18.69%
EPS Next 2Y17.64%
EPS Next 3Y15.71%
EPS Next 5Y13.43%
Revenue 1Y (TTM)2.81%
Revenue growth 3Y-2.3%
Revenue growth 5Y1.12%
Sales Q2Q%-12.88%
Revenue Next Year5.36%
Revenue Next 2Y5.28%
Revenue Next 3Y5.13%
Revenue Next 5Y6.48%
EBIT growth 1Y17.05%
EBIT growth 3Y5.65%
EBIT growth 5Y10.13%
EBIT Next Year39.76%
EBIT Next 3Y18.2%
EBIT Next 5Y13.89%
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 30.12 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%.