Johnson Controls is getting out of hand
 | By Ellen Johnson | Macroaxis Story |
Today I will concentrate on Johnson Controls. I will look into some reasons why it is still possible for the company to generate above average margins and lots of cash flow. What is Johnson Controls Target Price Odds to finish over Current Price? In reference to normal probability distribution, the odds of Johnson Controls to move above current price in 30 days from now is about 15.34%. The Johnson Controls International plc probability density function shows the probability of Johnson Controls Stock to fall within a particular range of prices over 30 days . Considering 30-days investment horizon, Johnson Controls has beta of 0.0069 . This indicates as returns on market go up, Johnson Controls average returns are expected to increase less than the benchmark. However during bear market, the loss on holding Johnson Controls International plc will be expected to be much smaller as well. Additionally, the company has an alpha of 0.3876 implying that it can potentially generate 0.3876% excess return over S&P 500 after adjusting for the inherited market risk (beta).
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Reviewed by Rifka Kats
On a scale of 0 to 100 Johnson Controls holds performance score of 19. The company retains Market Volatility (i.e. Beta) of 0.0069 which attests that as returns on market increase, Johnson Controls returns are expected to increase less than the market. However during bear market, the loss on holding Johnson Controls will be expected to be smaller as well. Although it is vital to follow to Johnson Controls Int current price history, it is good to be conservative about what you can actually do with the information regarding equity current price movements. The philosophy towards determining future performance of any stock is to evaluate the business as a whole together with its past performance including all available fundamental and technical indicators. By evaluating Johnson Controls Int technical indicators you can presently evaluate if the expected return of 0.2843% will be sustainable into the future. Please utilizes Johnson Controls Standard Deviation, Value At Risk, Kurtosis, as well as the relationship between Jensen Alpha and Semi Variance to make a quick decision on weather Johnson Controls International plc current trending patterns will revert. What is the right price you would pay to acquire a share of Johnson Controls? For most investors, it would be the price that gives them a wide margin of safety to have minimal downside risk. In other words, most investors are always looking for undervalued stocks. Even if the future performance is not entirely as expected, the loss of holding it is minimized, and the downside risk is negated. Please read more on our stock advisor page.
What is happening with Johnson Controls International this year
Annual and quarterly reports issued by Johnson Controls International are formal financial statements that are published yearly and quarterly and sent to Johnson stockholders. The reports show and break down the current year's ongoing operations and discuss plans for the upcoming year. Annual reports have been a requirement from the Securities and Exchange Commission (SEC) for businesses owned by the public since 1934.
Companies such as Johnson Controls often view their annual report as an effective marketing tool to disseminate their perspective on company future earnings or innovations. With this in mind, many companies devote large sums of money to making their reports attractive and informative. In such instances, the annual report becomes a forum through which a company can communicate to the general public any number of topics that may or may not be directly related to the actual data published in the reports.
Johnson Controls Gross Profit
Johnson Controls Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Johnson Controls previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Johnson Controls Gross Profit growth over the last 10 years. Please check Johnson Controls' gross profit and other fundamental indicators for more details.
Is Johnson Controls valued properly by the market?
The company has 11.91B in debt with debt to equity (D/E) ratio of 55.6 . This implies that the organisation may be unable to create cash to meet all of its financial commitments. Johnson Controls Int has Current Ratio of 1.01 demonstrating that it may not be capable to disburse its financial commitments when the payables are due. The latest bullish price patterns experienced by current Johnson Controls shareholders may raise some interest from investors. The Stock closed today at a share price of 35.19 on 2874872.000 in trading volume. The company directors and management have been very successful with rebalancing the corporation components at opportune times to take advantage of market volatility in February. The stock standard deviation of daily returns for 30 days (very short) investing horizon is currently 0.9564. The very small Stock volatility is a good signal to investors with longer term investment horizons. Johnson Controls is selling for 35.23. This is 1.23 percent down. Opened at 35.23. Johnson Controls Revenue to Assets is nearly stable at the moment. Johnson Controls Tangible Assets Book Value per Share is increasing over the last 5 years. Additionally, Johnson Controls Consolidated Income is increasing over the last 5 years. To conclude, our analysis show that Johnson Controls Barely shadows market. The entity is undervalued and projects odds of distress below average for the next 2 years. Our overall buy vs hold vs sell advice on the entity is Strong Buy.
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