Johnson Controls International Plc (JCI) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Lam Research Corp.

Applied Materials, Inc.

Parker-Hannifin Corp.

Xylem, Inc.

Trane Technologies Plc

Dover Corp.

GE Aerospace

Johnson Controls International Plc

Illinois Tool Works Inc.

Carrier Global Corp.

Ingersoll Rand, Inc.

Why is Johnson Controls International Plc ?

Low Debt Company with Strong Long Term Fundamental Strength

Flat results in Jun 25

NET SALES(HY) At USD 11,728 MM has Grown at -15.81%
INTEREST(Q) At USD 130 MM has Grown at inf%
INTEREST COVERAGE RATIO(Q) Lowest at 780

With ROCE of 13.73%, it has a expensive valuation with a 3.20 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 40.51%, its profits have risen by 15.6% ; the PEG ratio of the company is 1.3

Market Beating performance in long term as well as near term

Along with generating 40.51% returns in the last 1 year, the stock has outperformed S&P 500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Johnson Controls International Plc should be less than 10%
Overall Portfolio exposure to Industrial Manufacturing should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Industrial Manufacturing)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Johnson Controls International Plc for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Johnson Controls International Plc

39.95%

2.15

31.10%

S&P 500

25.41%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.65%

EBIT Growth (5y)

11.80%

EBIT to Interest (avg)

7.92

Debt to EBITDA (avg)

2.55

Net Debt to Equity (avg)

0.60

Sales to Capital Employed (avg)

0.99

Tax Ratio

14.46%

Dividend Payout Ratio

55.15%

Pledged Shares

Institutional Holding

96.94%

ROCE (avg)

10.28%

ROE (avg)

13.68%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

6.37

EV to EBIT

29.74

EV to EBITDA

23.48

EV to Capital Employed

4.17

EV to Sales

3.89

PEG Ratio

1.32

Dividend Yield

62.88%

ROCE (Latest)

14.03%

ROE (Latest)

19.43%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

No Trend

OBV

Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

3What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -1.07% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 8.41 times

DIVIDEND PER SHARE(HY)

Highest at USD 3.92

-5What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 1,738 MM

INTEREST(Q)

At USD 64 MM has Grown at 30.61%

CASH AND EQV(HY)

Lowest at USD 1,262 MM

Here's what is working for Johnson Controls International Plc

Inventory Turnover Ratio

Highest at 8.41 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Dividend per share

Highest at USD 3.92

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Raw Material Cost

Fallen by -1.07% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Johnson Controls International Plc

Interest

At USD 64 MM has Grown at 30.61%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Operating Cash Flow

Lowest at USD 1,738 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Cash and Eqv

Lowest at USD 1,262 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents