- Johnson Controls posted better than expected fiscal first quarter results, helped by strength in U.S. residential HVAC.
- Non-resi building activity is likely to be weak in 2021, but Johnson Controls should benefit from retrofit demand driven by indoor air quality and energy efficiency needs.
- Increasing its service attach rate should be good for margins, and programs to reduce SG&A and COGS are likewise welcome for this otherwise lackluster performer on margins.
- Although the absolute return potential isn't exceptional, Johnson Controls still offers some relative value and leverage to attractive market growth opportunities.
For further details see:
Energy Efficiency, Automation, And Service Should Drive Growth At Johnson Controls