J.P. Morgan Maintains JCI Target Of $46

J.P. Morgan is leaving its Dec-2011 price target of $46 on Johnson Controls, Inc.

unchanged, “which we base on an unchanged 14x P/E applied to our F2012 EPS of $3.25.” “FQ1 results confirmed an ongoing recovery in BE revenue and margin and a softer than anticipated rate of improvement in European Auto margins,” J.P. Morgan writes. “Our estimates for 2011-2014 are unchanged as upwardly revised production estimates (made by JPM one month ago) and accretion from recent acquisitions are offset by a more moderate recovery ramp on European Auto margins. “Fundamentally, we continue to like JCI largely because of multi-year earnings ramp as all three divisions see simultaneous revenue and margin improvement.” Johnson Controls closed Thursday at $38.80.