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UBS Reiterates “Buy” on Johnson Controls (JCI) on Potential 70% Earnings Upside

Johnson Controls International plc (NYSE:JCI) is one of the 11 best European stocks to invest in. On June 17, 2025, UBS reiterated its “Buy” rating on Johnson Controls and maintained its price target of $116.00. The investment firm cited a potential 70% earnings upside for the company from fiscal year 2025 through fiscal year 2028. UBS’s analysis indicates that this growth will come on the back of structural self-help, margin catch-up, and robust capital returns.

A successful financial advisor giving advice to a satisfied client in an office.

UBS noted that Johnson Controls announced a $9 billion increase in its share repurchase authorization the week before June 17, 2025. Approximately $5 billion is expected to be deployed over the next three to six months.

Another factor that supports UBS’s positive outlook is confidence in Johnson Controls’ new CEO, Joakim Weidemanis. Weidemanis took over the reins in 2024. According to UBS, the CEO has previously achieved a 600 basis point operating margin improvement at Danaher’s Diagnostics business between 2020 and 2024.

Johnson Controls International plc (NYSE:JCI) is a building technology and solutions company headquartered in Ireland. It designs, installs, and services smart, energy-efficient systems for heating, ventilation, air conditioning (HVAC), fire safety, security, and building management. Its leading brands include Johnson Controls and Tyco. The company operates through four segments: Building Solutions North America, EMEA/LA, Asia Pacific, and Global Products.

While we acknowledge the potential of JCI as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 10 Best Value Penny Stocks to Buy According to Analysts and 12 Best Augmented Reality Stocks to Buy According to Analysts.

Disclosure: None.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

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