Using the industry peer median P/E multiple (trailing + forward), Johnson Controls International plc (JCI) has a fair value of $155.48 based on 9 comparable companies in the Construction industry.
USD in millions except Fair Price. Subject company highlighted.
| Mkt Cap ($M) | Trailing P/E | Forward P/E | |
|---|---|---|---|
| Johnson Controls International plcJCI | 86,217 | 50.1x | 27.8x |
| Vertiv Holdings CoVRT | 97,362 | 74.6x | 41.9x |
| Waste Management, Inc.WM | 91,436 | 33.8x | 27.6x |
| Trane Technologies plcTT | 90,804 | 31.5x | 36.7x |
| Quanta Services, Inc.PWR | 82,398 | 81.0x | 42.2x |
| Illinois Tool Works Inc.ITW | 75,379 | 24.9x | 25.0x |
| Emerson Electric Co.EMR | 71,660 | 31.5x | 21.2x |
| Cintas CorporationCTAS | 68,181 | 38.7x | 34.9x |
| TransDigm Group IncorporatedTDG | 65,151 | 36.0x | 29.7x |
| Carrier Global CorporationCARR | 46,168 | 32.5x | 21.2x |
| Industry Median | 33.8x | 29.7x | |
| (*) Profit after tax | 3,291 | 3,100 | |
| Equity Value | 111,354 | 92,041 | |
| (/) Outstanding shares | 654 | 654 | |
| Fair Price | $170 | $141 | |
This P/E relative valuation uses the industry peer median Price-to-Earnings ratio to estimate fair value. Both trailing (last 12 months) and forward (next fiscal year analyst estimates) P/E multiples are computed independently.
The industry median trailing P/E is applied to the company's TTM net income, and the forward P/E to analyst-estimated net income. Each produces an equity value divided by shares outstanding to yield a fair price per share. The selected fair value is the average of the trailing and forward legs.