Zacks Investment Research Upgrades Johnson Controls International (JCI) to Buy
Johnson Controls International (NYSE:JCI) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research note issued on Monday, Zacks.com reports. The brokerage presently has a $44.00 price objective on the stock. Zacks Investment Research‘s price target points to a potential upside of 11.42% from the company’s current price.
According to Zacks, “In second-quarter 2019, Johnson Controls’ earnings surpassed the Zacks Consensus Estimate. Also, it improved year over year. The reported quarter witnessed solid organic revenue growth. The company actively takes part in acquisitions and mergers to provide customers with world-class technologies through strong complementary brands and channels. Strong cash flow helps the company to pay regular quarterly dividends and engage in share repurchase programs. Over the past three months, shares of Johnson Controls have outperformed the industry it belongs to.”
A number of other analysts have also recently weighed in on JCI. ValuEngine raised shares of Johnson Controls International from a “sell” rating to a “hold” rating in a research note on Friday, February 8th. Cowen restated a “hold” rating and issued a $32.00 price target (down from $38.00) on shares of Johnson Controls International in a research report on Friday, February 15th. Wells Fargo & Co upgraded shares of Johnson Controls International from a “market perform” rating to an “outperform” rating and set a $42.00 price target on the stock in a research report on Monday, March 18th. TheStreet upgraded shares of Johnson Controls International from a “c+” rating to a “b-” rating in a research report on Thursday, May 9th. Finally, Credit Suisse Group began coverage on shares of Johnson Controls International in a research report on Monday, May 13th. They issued a “neutral” rating and a $42.00 price target on the stock. Two investment analysts have rated the stock with a sell rating, eight have issued a hold rating and five have issued a buy rating to the stock. The company currently has a consensus rating of “Hold” and an average target price of $39.45.
Johnson Controls International (NYSE:JCI) last posted its earnings results on Wednesday, May 1st. The company reported $0.32 earnings per share for the quarter, beating the Zacks’ consensus estimate of $0.30 by $0.02. The business had revenue of $5.78 billion for the quarter, compared to analysts’ expectations of $5.79 billion. Johnson Controls International had a net margin of 8.52% and a return on equity of 9.85%. The firm’s revenue for the quarter was up 2.6% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.54 earnings per share. As a group, research analysts anticipate that Johnson Controls International will post 1.93 earnings per share for the current fiscal year.
Johnson Controls International declared that its Board of Directors has initiated a share buyback program on Thursday, March 7th that authorizes the company to buyback $8.50 billion in outstanding shares. This buyback authorization authorizes the company to repurchase up to 26% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s management believes its shares are undervalued.
In other news, VP Robert M. Vanhimbergen sold 3,907 shares of the company’s stock in a transaction that occurred on Thursday, May 9th. The shares were sold at an average price of $39.33, for a total transaction of $153,662.31. Following the transaction, the vice president now directly owns 26,094 shares in the company, valued at $1,026,277.02. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Rodney M. Rushing sold 29,728 shares of the company’s stock in a transaction that occurred on Wednesday, May 1st. The stock was sold at an average price of $39.03, for a total transaction of $1,160,283.84. The disclosure for this sale can be found here. Insiders have sold 175,384 shares of company stock worth $6,861,650 over the last quarter. 0.50% of the stock is owned by company insiders.
Several hedge funds have recently made changes to their positions in JCI. Norges Bank acquired a new position in shares of Johnson Controls International during the fourth quarter worth approximately $188,299,000. Oregon Public Employees Retirement Fund lifted its position in shares of Johnson Controls International by 6,114.8% during the fourth quarter. Oregon Public Employees Retirement Fund now owns 6,325,442 shares of the company’s stock worth $213,000 after purchasing an additional 6,223,662 shares in the last quarter. BlackRock Inc. lifted its position in shares of Johnson Controls International by 4.3% during the fourth quarter. BlackRock Inc. now owns 62,579,756 shares of the company’s stock worth $1,855,489,000 after purchasing an additional 2,602,524 shares in the last quarter. Millennium Management LLC lifted its position in shares of Johnson Controls International by 948.2% during the fourth quarter. Millennium Management LLC now owns 1,725,672 shares of the company’s stock worth $51,166,000 after purchasing an additional 1,561,043 shares in the last quarter. Finally, D. E. Shaw & Co. Inc. lifted its position in shares of Johnson Controls International by 394.8% during the fourth quarter. D. E. Shaw & Co. Inc. now owns 1,762,803 shares of the company’s stock worth $52,267,000 after purchasing an additional 1,406,522 shares in the last quarter. Institutional investors own 91.94% of the company’s stock.
Johnson Controls International Company Profile
Johnson Controls International plc operates as a diversified technology and multi industrial company worldwide. The company operates through Building Technologies & Solutions and Power Solutions segments. The company designs, sells, installs, and services heating, ventilating, and air conditioning systems, controls systems, integrated electronic security systems, and integrated fire detection and suppression systems for commercial, industrial, retail, small business, institutional, and governmental customers; and energy efficiency solutions and technical services, including inspection, scheduled maintenance, and repair and replacement of mechanical and control systems, to non-residential building and industrial applications.
Further Reading: How Do You Calculate Return on Equity (ROE)?
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for Johnson Controls International Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Johnson Controls International and related companies with MarketBeat.com's FREE daily email newsletter.