Investors Purchase High Volume of Johnson Controls International Call Options (NYSE:JCI)

Key Points

• Investors have shown increased interest in Johnson Controls International, purchasing 19,207 call options, marking a 1,963% increase compared to the usual daily volume.
• Analysts have mixed ratings for JCI, with Royal Bank of Canada raising its target price to $114 while Oppenheimer downgraded its rating to "market perform"; the average target price is currently $108.28.
• The company has announced a quarterly dividend increase to $0.40 per share, reflecting a commitment to returning value to shareholders as it continues its $9 billion share buyback plan.

Johnson Controls International plc (NYSE:JCI - Get Free Report) saw some unusual options trading on Wednesday. Stock traders bought 19,207 call options on the stock. This is an increase of 1,963% compared to the typical daily volume of 931 call options.

Analyst Upgrades and Downgrades

Several analysts have recently weighed in on the company. Royal Bank Of Canada raised their target price on Johnson Controls International from $112.00 to $114.00 and gave the company a "sector perform" rating in a research note on Wednesday, July 30th. Oppenheimer downgraded Johnson Controls International from an "outperform" rating to a "market perform" rating in a research note on Friday, June 20th. Zacks Research upgraded Johnson Controls International to a "hold" rating in a research note on Monday, August 11th. The Goldman Sachs Group lifted their price target on Johnson Controls International from $119.00 to $124.00 and gave the stock a "buy" rating in a research note on Monday, September 15th. Finally, Wolfe Research lifted their price target on Johnson Controls International from $132.00 to $133.00 and gave the stock an "outperform" rating in a research note on Friday, September 12th. Nine research analysts have rated the stock with a Buy rating and ten have given a Hold rating to the company. Based on data from MarketBeat.com, the company has an average rating of "Hold" and a consensus target price of $108.28.

Insider Activity

In other Johnson Controls International news, VP Daniel C. Mcconeghy sold 5,917 shares of the firm's stock in a transaction dated Wednesday, September 3rd. The stock was sold at an average price of $105.73, for a total value of $625,604.41. Following the transaction, the vice president directly owned 25,005 shares of the company's stock, valued at $2,643,778.65. This trade represents a 19.14% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, VP Nathan D. Manning sold 1,422 shares of the firm's stock in a transaction dated Tuesday, September 2nd. The shares were sold at an average price of $105.06, for a total value of $149,395.32. Following the completion of the transaction, the vice president directly owned 139,459 shares in the company, valued at $14,651,562.54. This trade represents a 1.01% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 8,761 shares of company stock worth $922,447 over the last three months. 0.54% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Johnson Controls International

Hedge funds have recently made changes to their positions in the business. Gilbert & Cook Inc. raised its holdings in Johnson Controls International by 1.5% during the second quarter. Gilbert & Cook Inc. now owns 6,769 shares of the company's stock worth $715,000 after purchasing an additional 97 shares in the last quarter. Nwam LLC raised its holdings in Johnson Controls International by 1.1% during the second quarter. Nwam LLC now owns 9,141 shares of the company's stock worth $951,000 after purchasing an additional 97 shares in the last quarter. Grove Bank & Trust raised its holdings in Johnson Controls International by 3.5% during the second quarter. Grove Bank & Trust now owns 3,117 shares of the company's stock worth $329,000 after purchasing an additional 106 shares in the last quarter. Keudell Morrison Wealth Management raised its holdings in Johnson Controls International by 4.1% during the second quarter. Keudell Morrison Wealth Management now owns 2,697 shares of the company's stock worth $285,000 after purchasing an additional 107 shares in the last quarter. Finally, REAP Financial Group LLC raised its holdings in Johnson Controls International by 18.1% during the second quarter. REAP Financial Group LLC now owns 739 shares of the company's stock worth $78,000 after purchasing an additional 113 shares in the last quarter. Institutional investors own 90.05% of the company's stock.

Johnson Controls International Stock Performance

Shares of NYSE JCI opened at $108.92 on Thursday. The company has a quick ratio of 0.81, a current ratio of 0.96 and a debt-to-equity ratio of 0.50. The firm's 50-day moving average price is $106.87 and its two-hundred day moving average price is $97.93. Johnson Controls International has a 52-week low of $68.03 and a 52-week high of $112.63. The stock has a market capitalization of $71.28 billion, a P/E ratio of 32.32, a P/E/G ratio of 1.96 and a beta of 1.33.

Johnson Controls International (NYSE:JCI - Get Free Report) last issued its earnings results on Tuesday, July 29th. The company reported $1.05 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.99 by $0.06. Johnson Controls International had a net margin of 9.53% and a return on equity of 14.71%. The firm had revenue of $6.05 billion for the quarter, compared to analysts' expectations of $5.99 billion. Johnson Controls International has set its FY 2025 guidance at 3.650-3.680 EPS. Q4 2025 guidance at 1.140-1.170 EPS. As a group, sell-side analysts forecast that Johnson Controls International will post 3.64 earnings per share for the current year.

Johnson Controls International Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, October 17th. Shareholders of record on Monday, September 22nd will be issued a $0.40 dividend. This is an increase from Johnson Controls International's previous quarterly dividend of $0.37. This represents a $1.60 dividend on an annualized basis and a yield of 1.5%. The ex-dividend date of this dividend is Monday, September 22nd. Johnson Controls International's dividend payout ratio is 47.48%.

Johnson Controls International announced that its board has authorized a share buyback plan on Friday, June 13th that allows the company to buyback $9.00 billion in outstanding shares. This buyback authorization allows the company to reacquire up to 13.4% of its shares through open market purchases. Shares buyback plans are usually an indication that the company's management believes its stock is undervalued.

About Johnson Controls International

Johnson Controls International plc, together with its subsidiaries, engages in engineering, manufacturing, commissioning, and retrofitting building products and systems in the United States, Europe, the Asia Pacific, and internationally. It operates in four segments: Building Solutions North America, Building Solutions EMEA/LA, Building Solutions Asia Pacific, and Global Products.

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