Needham & Company Downgrades Johnson Controls (JCI) to Hold after Soft Outlook
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Price: $36.69 -2.13%
Rating Summary:
9 Buy, 9 Hold, 0 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 12 | Down: 19 | New: 22
Rating Summary:
9 Buy, 9 Hold, 0 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 12 | Down: 19 | New: 22
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Needham & Company downgraded Johnson Controls (NYSE: JCI) from Buy to Hold following Q4 results.
"In our view, Johnson Controls is well positioned to benefit from the growing global need to become more energy efficient. The Power Solutions business should deliver solid performance as demand for more fuel-efficient autos increases. However, Europe macro uncertainty is creating too many near-term headwinds for the company to power through over the next two quarters, in our opinion, and this view is the basis for our downgrade to Hold (from Buy). We could, however, become more positive on the shares once some of these obstacles have been overcome and we believe there is better financial visibility."
The firm is revising fscal 2013 estimates to reflect management's preliminary outlook for modest sales and earnings growth. For FY13, their sales forecast is $42.5B with operating EPS of $2.60 (from $45.1B and $2.95 per share).
For an analyst ratings summary and ratings history on Johnson Controls click here. For more ratings news on Johnson Controls click here.
Shares of Johnson Controls closed at $25.75 yesterday, with a 52 week range of $23.37-$35.95.
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"In our view, Johnson Controls is well positioned to benefit from the growing global need to become more energy efficient. The Power Solutions business should deliver solid performance as demand for more fuel-efficient autos increases. However, Europe macro uncertainty is creating too many near-term headwinds for the company to power through over the next two quarters, in our opinion, and this view is the basis for our downgrade to Hold (from Buy). We could, however, become more positive on the shares once some of these obstacles have been overcome and we believe there is better financial visibility."
The firm is revising fscal 2013 estimates to reflect management's preliminary outlook for modest sales and earnings growth. For FY13, their sales forecast is $42.5B with operating EPS of $2.60 (from $45.1B and $2.95 per share).
For an analyst ratings summary and ratings history on Johnson Controls click here. For more ratings news on Johnson Controls click here.
Shares of Johnson Controls closed at $25.75 yesterday, with a 52 week range of $23.37-$35.95.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
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