Johnson Controls Falls as Valuation Concerns Likely Spur Pullback

Johnson Controls International plc (JCI) is down 3.5% today. Here is some analysis on what might have caused this price movement.

Analysis: The drop appears more likely to be a valuation-driven pullback than a reaction to a new deterioration in the business. Johnson Controls posted strong fiscal third-quarter results in late July and raised its full-year outlook, but a recent analyst downgrade argued the shares had already outperformed and largely closed the valuation gap with peers. This could be because investors are taking profits after the stock’s strong run.

Details:

In its fiscal third quarter release, Johnson Controls reported 9% sales growth, 10% organic sales growth, adjusted EPS of $1.42, and a 32% organic increase in backlog to $21.0 billion.

The company also highlighted 27% organic order growth and said demand remained strong in data centers and other mission-critical environments, especially in Applied HVAC.

A recent analyst downgrade shifted the stock to Hold from Buy, with the note pointing to valuation after the shares outperformed since April and narrowed their valuation gap versus peers.

Johnson Controls also launched a new absorption chiller reference design guide in late July, reinforcing that its strategic narrative remains tied to AI and data-center cooling, which suggests today’s weakness may reflect sentiment and positioning more than a new operating setback.

Sources:

Johnson Controls, TipRanks, Johnson Controls Investor Relations

Disclaimer: This price movement analysis was generated with the help of AI. Please double-check the information provided for mistakes.

$JCI Insider Trading Activity

$JCI insiders have traded $JCI stock on the open market 5 times in the past 6 months. Of those trades, 0 have been purchases and 5 have been sales.

Here’s a breakdown of recent trading of $JCI stock by insiders over the last 6 months:

LEI ZHANG SCHLITZ (VP & Pres, GP & Solutions) has made 0 purchases and 2 sales selling 23,417 shares for an estimated $3,584,357.
TODD M GRABOWSKI (VP and President, Americas) has made 0 purchases and 2 sales selling 6,074 shares for an estimated $885,027.
DANIEL C MCCONEGHY (VP Chief Accounting & Tax Ofcr) sold 3,600 shares for an estimated $513,216

To track insider transactions, check out Quiver Quantitative's insider trading dashboard. You can access data on insider stock transactions through the Quiver Quantitative API insider transaction endpoint.

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$JCI Hedge Fund Activity

We have seen 792 institutional investors add shares of $JCI stock to their portfolio, and 711 decrease their positions in their most recent quarter.

Here are some of the largest recent moves:

FRANKLIN RESOURCES INC removed 7,239,293 shares (-44.8%) from their portfolio in Q2 2026, for an estimated $1,057,733,100
UBS AM, A DISTINCT BUSINESS UNIT OF UBS ASSET MANAGEMENT AMERICAS LLC removed 6,936,254 shares (-88.3%) from their portfolio in Q2 2026, for an estimated $1,013,456,071
FISHER ASSET MANAGEMENT, LLC removed 6,757,218 shares (-38.6%) from their portfolio in Q2 2026, for an estimated $987,297,121
SIXTH STREET PARTNERS MANAGEMENT COMPANY, L.P. added 3,847,275 shares (+inf%) to their portfolio in Q2 2026, for an estimated $562,125,350
JPMORGAN CHASE & CO added 3,692,473 shares (+inf%) to their portfolio in Q2 2026, for an estimated $539,507,230
BLACKROCK, INC. added 3,102,966 shares (+6.0%) to their portfolio in Q2 2026, for an estimated $453,374,362
WINSLOW CAPITAL MANAGEMENT, LLC added 2,946,071 shares (+inf%) to their portfolio in Q2 2026, for an estimated $430,450,433

To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard. You can access data on hedge funds moves and 13F filings through the Quiver Quantitative API 13F endpoint.

$JCI Price Targets

Multiple analysts have issued price targets for $JCI recently. We have seen 9 analysts offer price targets for $JCI in the last 6 months, with a median target of $155.0.

Here are some recent targets:

Chris Snyder from Morgan Stanley set a target price of $175.0 on 06/09/2026
Deane Dray from RBC Capital set a target price of $154.0 on 06/02/2026
Amit Mehrotra from UBS set a target price of $180.0 on 06/02/2026
Brett Linzey from Mizuho set a target price of $140.0 on 05/07/2026
Joe O'Dea from Wells Fargo set a target price of $160.0 on 05/07/2026
Julian Mitchell from Barclays set a target price of $144.0 on 05/07/2026
Andrew Kaplowitz from Citigroup set a target price of $155.0 on 05/07/2026

This article is not financial advice. See Quiver Quantitative's disclaimers for more information. Note that there may be inaccuracies due to mistakes in ticker-mapping, and other anomalies.