Johnson & Johnson (JNJ)
For informational purposes only. Not financial advice. Analysis by Sedat Aydin, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
Trading at $243.04, Johnson & Johnson (JNJ) is a Healthcare company valued at 586B. The stock scores 53/100, a moderate rating based on 9 quantitative KPIs.
Last analyzed: 2026年2月9日Johnson & Johnson (JNJ) Healthcare & Pipeline Overview
Johnson & Johnson, a diversified healthcare leader with a $578.21B market cap, offers investors stability and growth through its Innovative Medicine and MedTech segments, underpinned by a strong 28.5% profit margin and a commitment to advancing human health.
Investment Thesis
Johnson & Johnson presents a notable research candidate due to its strategic focus on high-growth segments within the healthcare industry. The separation of Kenvue allows JNJ to concentrate on its Innovative Medicine and MedTech businesses, which offer greater potential for revenue expansion and margin improvement. With a robust profit margin of 28.5% and a dividend yield of 2.14%, JNJ provides a blend of stability and income. Key growth catalysts include the development and launch of new pharmaceutical products and the expansion of its MedTech offerings in areas such as electrophysiology and advanced surgery. The company's commitment to innovation and its established global presence position it for sustained growth in the evolving healthcare landscape. JNJ's beta of 0.35 suggests lower volatility compared to the broader market.
Based on FMP financials and quantitative analysis
Key Highlights
- Market Cap of $578.21B reflects Johnson & Johnson's significant presence and stability in the healthcare sector.
- Profit Margin of 28.5% demonstrates strong operational efficiency and pricing power.
- Gross Margin of 72.8% indicates effective cost management in product development and manufacturing.
- Dividend Yield of 2.14% provides a steady income stream for investors.
- Beta of 0.35 suggests lower volatility compared to the broader market, making it a potentially noteworthy option during economic uncertainty.
Competitors & Peers
Strengths
- Diversified revenue streams across pharmaceuticals and medical devices.
- Strong research and development pipeline.
- Global brand recognition and reputation.
- High profit margin of 28.5%.
Weaknesses
- Exposure to patent expirations and generic competition.
- Potential for product liability litigation.
- Dependence on regulatory approvals for new products.
- Ongoing: Integration challenges following the Kenvue spin-off.
Catalysts
- New drug approvals and product launches in the Innovative Medicine segment.
- Expansion of MedTech offerings in high-growth areas such as electrophysiology and advanced surgery.
- Strategic partnerships and acquisitions to enhance product portfolio and market reach.
- Cost-cutting initiatives to improve operational efficiency and profitability.
Risks
- Patent expirations on key pharmaceutical products leading to revenue decline.
- Product liability litigation and associated costs.
- Regulatory setbacks and delays in drug approvals.
- Competition from generic drug manufacturers and biosimilars.
- Economic downturns impacting healthcare spending and demand for medical products.
Growth Opportunities
- Expansion in Oncology: Johnson & Johnson has a significant opportunity to expand its oncology portfolio through the development and acquisition of novel cancer therapies. The global oncology market is projected to reach hundreds of billions of dollars by 2026, driven by the increasing incidence of cancer and advancements in targeted therapies. JNJ can leverage its research and development capabilities and strategic partnerships to capture a larger share of this growing market.
- Advancements in Electrophysiology: The electrophysiology market, focused on treating heart rhythm disorders, presents a significant growth opportunity for Johnson & Johnson's MedTech segment. The market is driven by an aging population and increasing prevalence of atrial fibrillation. JNJ can capitalize on this trend by developing and commercializing innovative electrophysiology products and solutions, strengthening its position in the cardiovascular device market.
- Growth in Emerging Markets: Emerging markets, such as China and India, offer substantial growth potential for Johnson & Johnson. These markets are characterized by rapidly growing populations, increasing healthcare spending, and rising demand for advanced medical technologies. JNJ can expand its presence in these markets through strategic partnerships, product localization, and targeted marketing initiatives.
- Innovation in Orthopaedics: The orthopaedics market, focused on joint replacement and trauma care, is experiencing steady growth driven by an aging population and increasing rates of obesity. Johnson & Johnson can drive growth in this segment by developing and commercializing innovative orthopaedic implants and surgical solutions, leveraging its expertise in materials science and biomechanics.
- Digital Health Integration: Integrating digital health technologies into its existing product portfolio represents a significant growth opportunity for Johnson & Johnson. This includes developing wearable sensors, mobile apps, and data analytics platforms to improve patient outcomes and enhance the efficiency of healthcare delivery. By embracing digital health, JNJ can differentiate its products and services and create new revenue streams.
Opportunities
- Expansion into emerging markets.
- Acquisition of innovative technologies and companies.
- Development of new therapies for unmet medical needs.
- Leveraging digital health technologies to improve patient outcomes.
Threats
- Increasing competition from generic drug manufacturers.
- Changes in healthcare regulations and reimbursement policies.
- Economic downturns impacting healthcare spending.
- Potential: Negative publicity from product recalls or safety concerns.
Competitive Advantages
- Strong brand recognition and reputation built over decades.
- Extensive research and development capabilities.
- Diversified product portfolio across multiple healthcare segments.
- Global distribution network and established relationships with healthcare providers.
About JNJ
Founded in 1886, Johnson & Johnson has evolved into a global healthcare giant, committed to advancing human health. The company strategically separated its Consumer Health business into Kenvue Inc. in 2023, a move designed to sharpen its focus on higher-growth, innovation-driven segments. Johnson & Johnson now operates primarily through two segments: Innovative Medicine and MedTech. The Innovative Medicine segment develops and markets prescription medications for a range of conditions, including rheumatoid arthritis, various cancers, HIV/AIDS, and neurodegenerative disorders. The MedTech segment provides a broad portfolio of medical devices and solutions, including electrophysiology products, neurovascular care, orthopaedics (hips, knees, spine), advanced surgery solutions, and ACUVUE contact lenses. Johnson & Johnson serves a diverse customer base, including hospitals, healthcare professionals, wholesalers, and retailers, across the globe. Headquartered in New Brunswick, New Jersey, the company continues its legacy of healthcare innovation and commitment to patient well-being.
What They Do
- Researches and develops pharmaceutical products.
- Manufactures and sells pharmaceutical products.
- Develops and markets medical devices.
- Offers products for the treatment of various cancers.
- Provides solutions for cardiovascular diseases.
- Offers orthopaedic implants and surgical solutions.
- Manufactures and distributes contact lenses.
Business Model
- Develops and commercializes innovative medicines for various therapeutic areas.
- Manufactures and sells a wide range of medical devices and equipment.
- Generates revenue through direct sales to hospitals, healthcare professionals, and retailers.
- Utilizes a global distribution network to reach customers worldwide.
Industry Context
Johnson & Johnson operates in the dynamic healthcare industry, which is characterized by continuous innovation, evolving regulatory landscapes, and increasing demand for advanced medical solutions. The global pharmaceutical market is projected to reach trillions of dollars by 2026, driven by factors such as aging populations and the rising prevalence of chronic diseases. The medical device market is also experiencing robust growth, fueled by technological advancements and increasing adoption of minimally invasive procedures. JNJ competes with other major players in the pharmaceutical and medical device sectors, including ABBV, AMGN, AZN, GILD, and MRK. The company's diversified portfolio and global reach provide a competitive advantage in this evolving environment.
Key Customers
- Hospitals and healthcare systems.
- Healthcare professionals, including physicians and surgeons.
- Wholesalers and distributors of medical supplies.
- Retail pharmacies and drugstores.
Financials
Chart & Info
Johnson & Johnson (JNJ) stock price: $243.04 (-1.08, -0.44%)
Latest News
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Trump Administration Prepares 100% Tariffs On Drugmakers Without Pricing Deals: Report
benzinga · 2026年4月2日
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Johnson & Johnson's DARZALEX® (daratumumab) becomes the first oncology injectable approved for administration by patients or caregivers
globenewswire.com · 2026年3月27日
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Assessing Johnson & Johnson (JNJ) Valuation After Recent Gains And Kenvue Spin Off
Yahoo! Finance: JNJ News · 2026年3月26日
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MeiraGTx Highlights Late-Stage Gene Therapy Pipeline at RBC Ophthalmology Conference
Yahoo! Finance: JNJ News · 2026年3月26日
Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for JNJ.
Price Targets
Consensus target: $235.83
MoonshotScore
What does this score mean?
The MoonshotScore rates JNJ's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
Competitors & Peers
Latest News
Trump Administration Prepares 100% Tariffs On Drugmakers Without Pricing Deals: Report
Johnson & Johnson's DARZALEX® (daratumumab) becomes the first oncology injectable approved for administration by patients or caregivers
Assessing Johnson & Johnson (JNJ) Valuation After Recent Gains And Kenvue Spin Off
MeiraGTx Highlights Late-Stage Gene Therapy Pipeline at RBC Ophthalmology Conference
Latest Johnson & Johnson Analysis
JNJ Healthcare Stock FAQ
What are the key factors to evaluate for JNJ?
Johnson & Johnson (JNJ) currently holds an AI score of 53/100, indicating moderate score. The stock trades at a P/E of 22.0x, near the S&P 500 average (~20-25x). Analysts target $235.83 (-3% from $243.04). Key strength: Diversified revenue streams across pharmaceuticals and medical devices. Primary risk to monitor: Patent expirations on key pharmaceutical products leading to revenue decline. This is not financial advice.
How frequently does JNJ data refresh on this page?
JNJ prices update in real time during U.S. market hours (9:30 AM-4:00 PM ET, weekdays). Fundamentals refresh after quarterly or annual filings. Analyst ratings and AI insights update daily. News is aggregated continuously from financial sources.
What has driven JNJ's recent stock price performance?
Recent price movement in Johnson & Johnson (JNJ) can be influenced by earnings results, analyst revisions, sector rotation, and broader market sentiment. The current analyst target of $235.83 implies 3% downside from here. Notable catalyst: Diversified revenue streams across pharmaceuticals and medical devices. Check the News and Technical Analysis tabs for the latest drivers. Past performance does not predict future results.
Should investors consider JNJ overvalued or undervalued right now?
Determining whether Johnson & Johnson (JNJ) is overvalued or undervalued requires examining multiple metrics. Its P/E ratio is 22.0. Analysts target $235.83 (-3% from current price), suggesting analysts see the stock near fair value. Compare valuation ratios (P/E, P/S, EV/EBITDA) against sector peers for a comprehensive view.
What research should beginners do before buying JNJ?
Before investing in Johnson & Johnson (JNJ), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) what Wall Street analysts recommend and their price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Why might investors consider adding JNJ to a portfolio?
Potential reasons to consider Johnson & Johnson (JNJ) depend on individual investment goals and risk tolerance. A key strength identified by analysis: Diversified revenue streams across pharmaceuticals and medical devices. Additionally: Strong research and development pipeline. Always weigh potential rewards against risks and diversify across holdings. This is not financial advice.
Can I buy fractional shares of JNJ?
Yes, most major brokerages offer fractional shares of Johnson & Johnson (JNJ) with no minimum purchase requirement. This means you can invest any dollar amount regardless of the share price. Check your brokerage platform for specific terms, fees, and fractional share availability.
How can I track JNJ's earnings and financial reports?
Johnson & Johnson (JNJ) reports quarterly earnings approximately 4-6 weeks after each fiscal quarter ends. You can track earnings dates, revenue and EPS estimates, and actual results on this page's Financials tab. Earnings surprises (beats or misses) often cause significant short-term price moves. Setting up alerts through your brokerage for JNJ earnings announcements is recommended.
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- Financial data is based on the most recent available information. Stock data pending update.