Johnson Controls International (NYSE:JCI) Announces Earnings Results

Johnson Controls International (NYSE:JCI) released its quarterly earnings data on Wednesday. The company reported $1.42 earnings per share for the quarter, beating analysts’ consensus estimates of $1.30 by $0.12, FiscalAI reports. The business had revenue of $6.61 billion during the quarter, compared to analyst estimates of $6.46 billion. Johnson Controls International had a net margin of 14.45% and a return on equity of 19.50%. Johnson Controls International’s revenue was up 9.3% compared to the same quarter last year. During the same period last year, the business earned $1.05 EPS. Johnson Controls International updated its Q4 2026 guidance to 1.550-1.550 EPS and its FY 2026 guidance to 5.050-5.050 EPS.

Here are the key takeaways from Johnson Controls International’s conference call:

• Johnson Controls reported strong Q3 results, with organic revenue up 10%, adjusted EBIT margin expanding 260 basis points to 17%, adjusted EPS rising 35% to $1.42, and backlog increasing 32% to a record $21 billion.
• The company raised fiscal 2026 guidance, now expecting approximately 8% organic revenue growth and adjusted EPS of about $5.05, while maintaining its expectation for roughly 100% free-cash-flow conversion.
• Data-center demand remains a major growth driver: Americas orders rose 37%, Applied HVAC posted high-teens growth, data-center revenue is expected to represent a high-teens percentage of fiscal 2026 sales, and the company expects the mix to reach roughly one-third of revenue over the next three to five years.
• Johnson Controls said its proprietary business system is improving productivity and capacity, including quadrupling computer-room-air-handler capacity without significant capital investment, while new cooling technologies such as absorption chillers and CDUs could expand its value per data-center megawatt.
• Management expects continued pressure in the Middle East, leaving EMEA growth at flat to low single digits in Q4, while security-related service orders have faced competitive volume pressure; the company expects improvement but characterizes the fire and security market as broadly flat.

Johnson Controls International Stock Performance

NYSE:JCI traded up $4.70 during trading hours on Thursday, reaching $144.12. The company had a trading volume of 4,619,278 shares, compared to its average volume of 4,466,544. The firm has a market cap of $87.93 billion, a price-to-earnings ratio of 25.78, a PEG ratio of 1.50 and a beta of 1.31. The company has a current ratio of 1.04, a quick ratio of 0.85 and a debt-to-equity ratio of 0.64. The firm’s 50 day moving average price is $142.29 and its 200-day moving average price is $136.96. Johnson Controls International has a 52 week low of $103.07 and a 52 week high of $151.18.

Johnson Controls International Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, July 10th. Investors of record on Monday, June 15th were issued a $0.40 dividend. The ex-dividend date was Monday, June 15th. This represents a $1.60 annualized dividend and a yield of 1.1%. Johnson Controls International’s dividend payout ratio (DPR) is currently 28.62%.

Johnson Controls International News Summary

Here are the key news stories impacting Johnson Controls International this week:

• Positive Sentiment: Q3 earnings and revenue beat expectations. Johnson Controls reported adjusted EPS of $1.42 versus the $1.30 consensus estimate, while revenue reached $6.61 billion versus expectations of $6.46 billion. Revenue grew 9.3% year over year, and adjusted EPS rose substantially from $1.05 in the prior-year quarter. Johnson Controls earnings report
• Positive Sentiment: Management raised its fiscal 2026 outlook. The company now expects approximately 8% organic sales growth and adjusted EPS of about $5.05, above the roughly $4.90 analyst consensus. Fourth-quarter EPS guidance of $1.55 also exceeds the $1.52 consensus estimate. Johnson Controls reports strong Q3 results
• Positive Sentiment: Data-center demand is becoming a major growth driver. Johnson Controls highlighted strong demand from data centers, which management expects could eventually represent about one-third of the business. Organic orders increased 27% year over year, and backlog rose 32% organically to $21.0 billion, improving revenue visibility. Johnson Controls data-center demand
• Neutral Sentiment: RBC raised its price target to $161 from $154 but maintained a “sector perform” rating. The higher target implies additional upside, although the unchanged rating signals limited conviction that JCI will materially outperform its industry. RBC price target update
• Neutral Sentiment: Analysts continue to rate JCI broadly favorably, with the average recommendation classified as “Moderate Buy.” Unusually high call-option activity also indicates increased near-term investor interest, but options positioning is not a guarantee of sustained gains. Analyst recommendation for Johnson Controls
• Negative Sentiment: Some insider selling and mixed institutional portfolio changes could temper sentiment, although these transactions are secondary to the company’s earnings and guidance momentum. Johnson Controls institutional and insider activity

Wall Street Analyst Weigh In

Several equities research analysts recently weighed in on the stock. JPMorgan Chase & Co. raised their price target on shares of Johnson Controls International from $158.00 to $162.00 in a research report on Thursday, May 7th. Weiss Ratings reaffirmed a “buy (b)” rating on shares of Johnson Controls International in a research report on Tuesday, June 9th. Barclays upped their price objective on Johnson Controls International from $136.00 to $144.00 and gave the company an “equal weight” rating in a research report on Thursday, May 7th. Wolfe Research reiterated an “outperform” rating and set a $171.00 target price on shares of Johnson Controls International in a research note on Wednesday, June 3rd. Finally, Royal Bank Of Canada lifted their target price on Johnson Controls International from $154.00 to $161.00 and gave the stock a “sector perform” rating in a report on Thursday. Two research analysts have rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, nine have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, Johnson Controls International currently has an average rating of “Moderate Buy” and a consensus price target of $153.30.

Insiders Place Their Bets

In related news, VP Lei Zhang Schlitz sold 88,809 shares of Johnson Controls International stock in a transaction on Friday, May 8th. The stock was sold at an average price of $140.99, for a total value of $12,521,180.91. Following the completion of the sale, the vice president owned 57,059 shares of the company’s stock, valued at $8,044,748.41. The trade was a 60.88% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, VP Todd M. Grabowski sold 1,800 shares of the stock in a transaction dated Tuesday, June 9th. The shares were sold at an average price of $146.20, for a total value of $263,160.00. Following the completion of the transaction, the vice president directly owned 26,215 shares in the company, valued at approximately $3,832,633. This represents a 6.43% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 0.29% of the company’s stock.

Institutional Trading of Johnson Controls International

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in JCI. Mcguire Capital Advisors Inc. bought a new stake in shares of Johnson Controls International during the 4th quarter valued at $27,000. Kemnay Advisory Services Inc. purchased a new position in Johnson Controls International during the fourth quarter valued at $47,000. Transamerica Financial Advisors LLC grew its holdings in Johnson Controls International by 99.0% during the fourth quarter. Transamerica Financial Advisors LLC now owns 418 shares of the company’s stock valued at $50,000 after purchasing an additional 208 shares during the period. Strive Financial Group LLC purchased a new stake in Johnson Controls International in the fourth quarter worth about $60,000. Finally, Acadian Asset Management LLC bought a new position in shares of Johnson Controls International in the first quarter worth about $55,000. 90.05% of the stock is owned by hedge funds and other institutional investors.

Johnson Controls International Company Profile

Johnson Controls International plc is a global diversified technology and multi?industrial company that develops products, services and solutions for buildings and energy storage. The company’s core focus is on improving building efficiency, safety and sustainability through a combination of HVAC equipment, building controls and automation, fire and security systems, and related services. Johnson Controls traces its roots to 1885, when inventor Warren S. Johnson developed an electric room thermostat; over its long history the company has expanded from controls into a broad set of building?related technologies and, through corporate transactions, into a global provider of integrated building solutions.

Johnson Controls’ product and service portfolio includes heating, ventilation and air?conditioning equipment, chillers, air handlers and related mechanical systems, together with building automation and control platforms that monitor and manage energy use, indoor environmental quality and security.