Johnson Controls International plc (JCI) vs Lennox International, Inc. (LII)

Johnson Controls International plc and Lennox International, Inc. are both Building Products & Equipment companies. Johnson Controls International plc is the larger, with a market value of $88.1B against $12.7B — 6.9× the size. Lennox International, Inc. trades at the lower P/E: 16.8× against 26.0×. Johnson Controls International plc grew revenue faster over the last twelve months: 6.81% against −2.11%. Lennox International, Inc. has the higher net margin (14.9% vs 14.3%) and the higher return on invested capital (27.0% vs 8.35%). Both pay a dividend; Johnson Controls International plc yields more (2.65% vs 0.96%). Across the 23 metrics below, Lennox International, Inc. leads on 16 and Johnson Controls International plc on 7.

Valuation

Metric JCI LII Building Products & Equipment median
P/E 26.03 16.83 24.54
P/S 3.65 2.45 2.00
P/B 6.76 10.00 3.02
Price to free cash flow 28.50 17.51 18.49
EV/EBITDA 26.62 12.09 12.63
EV/Sales 4.01 2.66 2.14
Earnings yield 3.84% 5.94% 2.74%
Free cash flow yield 3.51% 5.71% 3.58%

Profitability

Metric JCI LII Building Products & Equipment median
Gross margin 36.65% 33.33% 29.19%
Operating margin 11.95% 19.67% 6.84%
Net margin 14.32% 14.87% 4.05%
Free cash flow margin 12.82% 13.97% 8.72%
Return on equity 23.42% 71.76% 9.28%
Return on assets 8.71% 19.24% 2.88%
Return on invested capital 8.35% 27.00% 5.16%

Growth

Metric JCI LII Building Products & Equipment median
Revenue growth (TTM) 6.81% (2.11%) 3.11%
EPS growth (last fiscal year) 99.60% 1.11% —
Revenue growth, 5-year CAGR 1.12% 7.41% 5.37%
Net income growth, 5-year CAGR 39.14% 17.73% 0.00%

Health

Metric JCI LII Building Products & Equipment median
Debt to equity 0.70 0.90 0.43
Current ratio 1.00 1.57 1.82
Net debt to EBITDA 3.02 0.98 0.98

Dividend

Metric JCI LII Building Products & Equipment median
Dividend yield 2.65% 0.96% 1.20%
Payout ratio 0.48 0.28 0.04

Size

Metric JCI LII Building Products & Equipment median
Market cap 88.05b 12.71b 1.18b

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