Earnings Preview: Johnson Controls' EPS, Revenue Expected to Rise

Johnson Controls JCI unveils its next round of earnings this Thursday, October 27, 2011. Here's Benzinga's essential guide to Johnson Controls' fourth quarter earnings report.

Earnings and Revenue:

Analysts are looking ahead to a positive EPS of 76 cents/share and revenues of $10.58 billion. Johnson Controls' latest numbers will no doubt be compared with the company's year-ago quarter, when it reported a profit of 60 cents/share on revenues of $9.04 billion. We'll know on Thursday whether Johnson Controls has managed the estimated 26.7% increase in EPS and 17% rise in revenues on a year-over-year basis.

Here's how the company's reported EPS has stacked up against analyst estimates in the past:

QuarterQ3Q2Q1Q4
EPS Estimate$0.53$0.55$0.54$0.57
EPS Actual$0.56$0.56$0.55$0.60

Stock Performance:

As of October 21, 2011, Johnson Controls' current share price was $32.69. Since January 1st, shares of Johnson Controls have declined 13.2%. For a full 12 months, the return has declined by 7.6%. Given that these returns are generally negative, long-term shareholders are probably a little upset going into this earnings release.
  • Long-term shareholders are already wary of 12-month losses prior to the announcement

Average Stock Rating:

The average rating by analysts for Johnson Controls is a Moderate Buy. The strength of this rating has declined slightly over the past three months.

Competitors:

Wondering how Johnson Controls compares to rivals in the same sector? Here are a few of the company's peers.
  • Commercial Vehicle Group CVGI: Moderate Buy with a $0.20 recent quarter EPS
  • Gentex GNTX: Hold with a $0.30 recent quarter EPS
  • Honeywell International HON: Moderate Buy with a $1.10 recent quarter EPS
  • Lear LEA: Moderate Buy with a $1.54 recent quarter EPS

The auto/trucking company's industry has seen price/earnings growth of 1.2% during the current fiscal year.

Finally, a description of the company's main areas of operation: Johnson Controls is a technology and industrial company focused on building efficiency, automotive experience and power solutions.

Take Action:

Now that you have reviewed all the numbers, be ready to move if the upcoming Johnson Controls earnings report has any surprises. Also, come back to Benzinga after the announcement for a full recap and a guide to your next steps.

  • To see up-to-date news on Johnson Controls, click here
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  • To see other company earnings recaps, click here
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