Johnson Controls Inc (JCI): Today's Featured Consumer Goods Laggard

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Johnson Controls ( JCI) pushed the Consumer Goods sector lower today making it today's featured Consumer Goods laggard. The sector as a whole closed the day down 0.4%. By the end of trading, Johnson Controls fell 35 cents (-1.3%) to $25.81 on average volume. Throughout the day, four million shares of Johnson Controls exchanged hands as compared to its average daily volume of 4.9 million shares. The stock ranged in price between $25.70-$26.35 after having opened the day at $26.21 as compared to the previous trading day's close of $26.16. Other companies within the Consumer Goods sector that declined today were: Deckers Outdoor Corporation ( DECK), down 16.9%, Dean Foods Company ( DF), down 10.9%, American Axle & Mfg Holdings ( AXL), down 10.4%, and Goodyear Tire & Rubber ( GT), down 10.4%.
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Johnson Controls, Inc. engages in building efficiency, automotive experience, and power solutions businesses worldwide. Johnson Controls has a market cap of $17.69 billion and is part of the automotive industry. The company has a P/E ratio of 10.3, equal to the average automotive industry P/E ratio and below the S&P 500 P/E ratio of 17.7. Shares are down 17.3% year to date as of the close of trading on Thursday. Currently there are 11 analysts that rate Johnson Controls a buy, no analysts rate it a sell, and 11 rate it a hold.

TheStreet Ratings rates Johnson Controls as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, growth in earnings per share and increase in net income. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself and poor profit margins.

On the positive front, Pilgrims Pride ( PPC), up 16.4%, Furniture Brands International ( FBN), up 11.8%, Elecsys Corporation ( ESYS), up 10.5%, and Entertainment Gaming Asia ( EGT), up 7.6%, were all gainers within the consumer goods sector with Rock-Tenn ( RKT) being today's featured consumer goods sector leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the consumer goods sector could consider iShares Dow Jones US Cons Goods ( IYK) while those bearish on the consumer goods sector could consider ProShares Ultra Sht Consumer Goods ( SZK).

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