Johnson Controls, the Industrials sector company, was revisited by a Wall Street analyst yesterday. Analyst Christopher Snyder from Morgan Stanley maintained a Buy rating on the stock and has a $125.00 price target.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Christopher Snyder has given his Buy rating due to a combination of factors that highlight Johnson Controls’ promising outlook. The company’s valuation has significantly improved compared to its peers, which is seen as justified given the anticipated positive revisions in earnings per share (EPS). This optimism is supported by the company’s strong performance in generating high single-digit organic sales and orders, along with a record backlog of $15 billion.
Moreover, the new management’s productivity initiatives and the existing cost reduction program are expected to enhance margins further. These factors, combined with a reasonable forecast for deceleration in organic growth, suggest potential upside in the company’s financial performance. As a result, Snyder believes that Johnson Controls is well-positioned for continued equity appreciation, making it a compelling investment opportunity.
In another report released on August 8, Wolfe Research also maintained a Buy rating on the stock with a $132.00 price target.
Based on the recent corporate insider activity of 120 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of JCI in relation to earlier this year.