Marc Vandiepenbeeck, Executive Vice President and Chief Financial Officer of Johnson Controls (NYSE:JCI) International plc (NYSE:JCI), recently sold 186 ordinary shares of the company. The transaction, which took place on October 21, 2024, was conducted at a price of $77.47 per share, amounting to a total value of $14,409. Following this sale, Vandiepenbeeck holds 83,330.25 shares in the company. The transaction was executed under a Rule 10b5-1 trading plan, which was adopted on August 8, 2023.
In other recent news, Johnson Controls International has seen several significant developments. The company reported a 3% organic sales growth in the third quarter and a segment margin of 17.9%, along with a 10% increase in its backlog, reaching $12.9 billion. Johnson Controls is also in the process of divesting its ADT alarms segment, a move that aligns with its strategy to focus on primary operations.
Citi and Morgan Stanley (NYSE:MS) have maintained their Neutral and Overweight ratings on Johnson Controls, respectively, while RBC (TSX:RY) Capital upgraded its rating to Sector Perform. These ratings reflect the analysts' assessment of the company's strategic shifts and financial health. Johnson Controls also announced a regular quarterly dividend of $0.37 per share, continuing its long-standing tradition of dividend payments.
Johnson Controls is undergoing a leadership transition with the retirement of CEO George Oliver and the appointment of Patrick Decker, former CEO of Xylem (NYSE:XYL), to its Board of Directors. The company is focusing on becoming a pure-play provider for commercial building solutions, particularly data centers, following the divestiture of its Residential and Light Commercial HVAC and Air Distribution Technologies businesses. These recent developments are part of Johnson Controls' ongoing transformation.
InvestingPro Insights
As Marc Vandiepenbeeck reduces his stake in Johnson Controls International plc (NYSE:JCI), investors might be interested in the company's current financial standing and market position. According to InvestingPro data, JCI boasts a substantial market capitalization of $51.41 billion, reflecting its significant presence in the Building Products industry.
The company's stock has shown impressive performance, with a one-year price total return of 62.67% as of the most recent data. This strong return aligns with one of the InvestingPro Tips, which highlights JCI's high return over the last year. Additionally, the stock is trading near its 52-week high, with the current price at 98.65% of its peak, suggesting investor confidence in the company's prospects.
From a valuation perspective, JCI's P/E ratio stands at 32.26, indicating that the stock is trading at a high earnings multiple. This could be a point of consideration for value-oriented investors. However, it's worth noting that analysts predict the company will remain profitable this year, which may justify the premium valuation to some extent.
For income-focused investors, JCI offers a dividend yield of 1.91%. An InvestingPro Tip reveals that the company has maintained dividend payments for an impressive 54 consecutive years, demonstrating a strong commitment to shareholder returns.
These insights are just a snapshot of the comprehensive analysis available on InvestingPro. The platform offers 10 additional tips for JCI, providing a more in-depth understanding of the company's financial health and market position.
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