JPMorgan Boosts Johnson Controls Target to $158 After Q1 EPS Jump
JPMorgan raised Johnson Controls’ price target to $158 from $138 and maintained an Overweight rating after Q1 adjusted EPS of $0.89 on $5.79B revenue. The company boosted full-year adjusted EPS guidance to $4.70 from $4.55 and set Q2 outlook at $1.11, topping consensus on AI-driven data center cooling demand.
1. Analyst Upgrade and Target Increase
JPMorgan maintained an Overweight rating on Johnson Controls and raised its price target to $158 from $138 following improved performance under the new CEO.
2. Strong Q1 Results
For the fiscal quarter ended December 31, Johnson Controls reported adjusted EPS of $0.89, up from $0.64 a year earlier, on revenue of $5.79 billion, marking a 6.6% year-over-year increase.
3. Raised Full-Year and Q2 Guidance
The company raised its full-year adjusted EPS guidance to $4.70 from $4.55 and set second-quarter adjusted EPS outlook at $1.11, both exceeding consensus forecasts of $4.61 and $1.05.
4. AI Data Center Cooling Demand
Johnson Controls continues to benefit from rising AI-driven data center expansion, with growing demand for energy-efficient thermal management and cooling equipment underpinning its upgraded forecasts.