Automotive interiors maker Johnson Controls, Inc. (JCI) on Thursday posted disappointing third quarter earnings results and lowered its fourth quarter outlook, sending its shares sharply lower in premarket trading.
The Milwaukee-based company reported fiscal third quarter net income of $417 million, or 61 cents per share, compared with $367 million, or 52 cents per share, in the year-ago period. Excluding special items, adjusted profit was 64 cents per share.
Revenue rose 2% from last year to $10.58 billion.
On average, Wall Street analysts expected a better profit of 66 cents per share, on higher revenue of $10.81 billion.
Looking ahead, JCI said it now expects fourth quarter earnings to grow between 0% and 5% from the prior year period, down from a previous outlook for a double-digit earnings gain. The company cited weaker global demand and lower euro values for the tepid outlook.
Johnson Controls shares fell $1.82, or -6.4%, in premarket trading Thursday.
The Bottom Line
Shares of Johnson Controls (JCI) have a 2.54% dividend yield, based on last night’s closing stock price of $28.32. The stock has technical support in the $24-$25 price area. If the shares can firm up, we see overhead resistance around the $30-$31 price levels.
Johnson Controls, Inc. (JCI) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.3 out of 5 stars.