Johnson & Johnson (JNJ)
Fair ValueFundamental
57
Price
$263.81
Market Cap
$621.22B
Part 1 · What the company is worth
Overview
Johnson & Johnson, together with its subsidiaries, engages in the research and development, manufacture, and sale of a range of products in the healthcare field worldwide. It operates in two segments, Innovative Medicine and MedTech. The Innovative Medicine segment offers products for various therapeutic areas, such as oncology, immunology, neuroscience, pulmonary hypertension, infectious diseases, and cardiovascular and metabolism distributed through retailers, wholesalers, distributors, hospitals, and healthcare professionals for prescription use. The MedTech segment provides a portfolio of products used in the surgery, orthopedic, cardiovascular, and vision fields distributed through wholesalers, hospitals and retailers, and used in the professional fields by physicians, nurses, hospitals, eye care professionals and clinics. This segment also offers products and enabling technologies that support joint reconstruction, trauma, spine, sports related injuries, and others, as well as open, laparoscopic, and robotic surgical procedures; instrumentation, energy devices, stapling systems, wound closure, biosurgery products, and digital and robotic technologies; breast aesthetics and reconstruction; contact lenses under the ACUVUE brand; intraocular lenses for cataract surgery, and other products used in cataract and refractive procedures under the TECNIS brand. The company was founded in 1886 and is based in New Brunswick, New Jersey.
No editorial profile for this company yet
Direct competitors
Who this company fights with for the same customers
Generated with artificial intelligence on September 19, 2026, shared with all users
Both are large US-based pharmaceutical groups selling branded prescription medicines to the same hospitals, payers and physicians, with directly overlapping oncology, immunology, vaccine and anti-infective franchises.
AbbVie's Skyrizi and Rinvoq compete head-to-head with Johnson & Johnson's Stelara and Tremfya for the same psoriasis, psoriatic arthritis and inflammatory bowel disease patients.
Merck competes for the same oncology prescriptions, above all in solid tumours and multiple myeloma treatment lines, and for the same public and private vaccine budgets.
Abbott competes directly with Biosense Webster in cardiac electrophysiology catheters and mapping, and with the Vision business in eye-care devices.
Stryker fights DePuy Synthes for the same orthopaedic surgeons and hospital contracts in hip and knee implants, trauma and robotic-assisted surgery.
Medtronic is the closest rival to the MedTech segment, selling competing cardiac ablation, surgical stapling and spine systems to the same hospital purchasing departments worldwide.
Balance Sheet & Liquidity
Revenue
$99.33B
Trailing 12 months (through 9/27/2026)
Net Income
$16.09B
Trailing 12 months (through 9/27/2026)
Free Cash Flow
$19.70B
Total Equity
$81.54B
Total Liabilities
$117.67B
Current Ratio
1.02
Interest Coverage
-
Debt/EBITDA
1.31
Earnings Per Share
Revenue & Net Income
Free Cash Flow
Income Breakdown
Historical statement
Margins over time
Debt over time
How heavy the debt is
Growth grid
Growth — Revenue
Fair Value Estimation
Fair Value
$233.01
Current Price
$263.81
Margin of Safety
-13.2%
Fair Value Range
$151.78 - $314.24
Spread across the valuation methods used, not a statistically calibrated confidence interval.
Estimation Methods
Valuation Metrics
P/E Ratio
40.09
ROE
32.9%
P/B Ratio
7.79
P/FCF
30.84
Gross Margin
67.6%
ROIC
-
Profitability Radar
Value Creation (Economic Moat)
ROIC
-
WACC
7.6%
ROIC − WACC
-
Fundamental Analysis Criteria
Passed (13)
- EPS shows upward trend
- EPS CAGR 6.37%
- Price CAGR 8.22%
- Gross margin 67.6%
- Debt/equity ratio
- Positive free cash flow
- Current ratio
- Debt/EBITDA
- Return on tangible assets
- ROE 25.7%
- Earnings quality (operating cash flow / net income) 1.63
- Share dilution 0.0%
- Piotroski F-Score 5/9
Failed (10)
- P/FCF 30.84
- P/B ratio 7.79
- CapEx intensity
- Low reliance on intangibles
- Price below Graham Number
- DCF valuation (Overvalued)
- Revenue growth 5Y 2.7%
- Earnings surprise, average 0.5%
- PEG ratio 2.56
- Net margin trend 16.2% vs 27.3%
Unavailable (4)
- ROIC –
- Dividend payout –
- Operating margin –
- Interest coverage
Piotroski F-Score
Mixed signals: some areas need attention
Earnings Quality
High quality: earnings backed by cash
Share Dilution
Buying back shares. Shareholder friendly
Institutional Holdings
Governance
Executive Team
| Name | Title | Age |
|---|---|---|
| Mr. Joaquin Duato | CEO & Chairman | 62 |
| Mr. Joseph James Wolk CPA | Executive VP & CFO | 58 |
| Dr. John C. Reed M.D., Ph.D. | Executive Vice President of Innovative Medicine and R&D | 67 |
| Mr. Timothy Schmid | Executive VP & Worldwide Chairman of MedTech | 55 |
| Mr. Robert J. Decker Jr. | Controller & Chief Accounting Officer | 52 |
| Mr. James Swanson | Executive VP & Chief Information Officer | 59 |
| Mr. Ryan Koors | Vice President of Investor Relations | - |
| Mr. Dirk Brinckman | Chief Compliance Officer | - |
| Ms. Elizabeth Forminard J.D. | Executive VP & Chief Legal Officer | 54 |
| Ms. Kristen Blair Mulholland | Executive VP & Chief Human Resources Officer | 58 |
Audit Risk
4
Board Risk
7
Compensation Risk
4
Shareholder Rights Risk
3
Documents
- View document
Annual Report (10-K)
A yearly overview of the business, its financial results, and the risks it faces.
Filed on 2026-02-11
- View document
Quarterly Report (10-Q)
A snapshot of financial performance for the most recent three-month period.
Filed on 2026-10-21
- View document
Current Report (8-K)
An announcement of a major event, such as a leadership change or big news.
Filed on 2026-10-13
via SEC EDGAR
Income History
via SEC EDGAR
Part 2 · The price and its context
This part shows how the price has behaved, not whether the company is worth owning. Inside: technical analysis, potential, historical drawdowns, gamma exposure.
Market Reaction Profile
How much JNJ moves, measured on its daily prices.
More volatile than 23% of the tracked stocks (90-day volatility).
- Volatility 30d
- 26.8%
- Volatility 90d
- 25.9%
- Beta vs S&P 500 (1y)
- -0.23Correlation -0.14
- Max drawdown (12m)
- -11.0%
- ATR (14d, % of price)
- 2.41%
Earnings reactions
How JNJ moved around its past quarterly results.
Next earnings release
No upcoming release on the calendar.
What usually happens
- Over the last 12 releases the stock moved a median of 1.8% the next day, up or down.
- Next-day moves: up 5, down 7 (out of 12).
- Of the 4 releases that beat estimates, the stock fell the next day after 3.
Release history
| Date | When | EPS est. | EPS actual | Surprise | Gap | 1 day | 5 days |
|---|---|---|---|---|---|---|---|
| Oct 13, 2026 | Before the open | 2.53 | 2.59 | +2.5% | -3.5% | -5.7% | -3.5% |
| Jul 15, 2026 | Before the open | 2.87 | 2.90 | +0.9% | -1.5% | -2.7% | -1.3% |
| Apr 14, 2026 | Before the open | 2.69 | 2.70 | +0.3% | -1.2% | +0.9% | -3.1% |
| Jan 21, 2026 | Before the open | 2.46 | 2.46 | -0.1% | -3.3% | -0.1% | +2.9% |
| Oct 14, 2025 | Before the open | 2.78 | 2.80 | +0.5% | +1.1% | 0.0% | +1.5% |
| Jul 16, 2025 | Before the open | n/a | n/a | n/a | +3.3% | +6.2% | +8.2% |
| Apr 15, 2025 | Before the open | n/a | n/a | n/a | +0.9% | -0.5% | +2.2% |
| Jan 22, 2025 | Before the open | n/a | n/a | n/a | -2.8% | -1.9% | +1.5% |
| Oct 15, 2024 | Before the open | n/a | n/a | n/a | -1.0% | +1.5% | +0.8% |
| Jul 17, 2024 | Before the open | n/a | n/a | n/a | +0.4% | +3.7% | +0.9% |
| May 1, 2024 | Before the open | n/a | n/a | n/a | +2.9% | +4.6% | +2.9% |
| Jan 23, 2024 | Before the open | n/a | n/a | n/a | -1.7% | -1.6% | -1.9% |
Release dates from SEC 8-K filings.
Updated 10/24/2026
Historical statistics for educational purposes only. They are not forecasts and not investment advice.
Price reaction to the news
Latest news on JNJ and what the price did next.
- 10/13/2026NegativeJ&J Medtech Sales Disappoint, Considers Orthopedic Spinoff
Published while the US market was open: the move of that day cannot be split into before and after the news, so no figure is shown.
- 8/2/2026PositiveThis Surgical Robot Could Transform the Operating Room
- +1 day
- -2.2%
- +3 days
- -2.6%
- 4/14/2026PositiveInside J&J’s Next Blockbuster Drug
Published while the US market was open: the move of that day cannot be split into before and after the news, so no figure is shown.
- 3/6/2026PositiveHeadline no longer in the latest news feed
- +1 day
- +1.6%
- +3 days
- +2.3%
- 2/27/2026PositiveHeadline no longer in the latest news feed
- +1 day
- +2.5%
- +3 days
- +2.6%
Return of the stock minus return of SPY over the same days. A news item close to a price move did not necessarily cause it. Historical data for educational purposes only, not investment advice.
Latest News
Recent headlines for JNJ.
- 11d agoNEGATIVEJ&J Medtech Sales Disappoint, Considers Orthopedic Spinoff
Johnson & Johnson's medical technology division reported a 2.5% sales increase, falling short of market expectations. The company is reportedly considering a significant strategic move by spinning off its orthopedics business. This development suggests potential underperformance in a key segment and a strategic pivot to address it. Investors will be watching closely to see how the potential spinoff impacts the company's overall valuation and future growth trajectory, especially given the missed sales targets.
- 16d agoNEUTRALJ&J CEO Joaquin Duato on Obesity, Cancer and AI | The David Rubenstein Show
Johnson & Johnson CEO Joaquin Duato has stated the company will not pursue the obesity market, instead prioritizing its core growth pillar in oncology and addressing challenges like dementia. Duato also indicated that artificial intelligence is expected to significantly accelerate drug discovery and development processes. This strategic focus on oncology and leveraging AI for R&D, while sidestepping the competitive obesity drug market, suggests a continued emphasis on innovation and high-impact therapeutic areas for the healthcare giant.
- 8/2/2026POSITIVEThis Surgical Robot Could Transform the Operating Room
Johnson & Johnson has secured FDA approval for its Ottava surgical robot, marking a significant milestone after years of development and substantial investment. This breakthrough positions J&J to potentially disrupt the established surgical robotics market, currently dominated by early entrants. Investors will be watching closely to see if Ottava can gain market share and challenge competitors, potentially driving future revenue growth for the healthcare giant.
- 7/31/2026NEUTRALWall Street Week | Warsh’s Waiting Game, EU Merger Rules, Robotic Surgeons
Johnson & Johnson is entering the robotic surgery market, a sector experiencing rapid growth. Despite entering the race years after competitors, the company is banking on a distinct strategy to achieve success. This move signifies J&J's strategic diversification into a high-potential medical technology field, aiming to capture market share against established players. Investors will be watching to see if their unique approach can overcome the initial disadvantage and establish a strong foothold in this competitive landscape.
- 6/17/2026NEUTRALJ&J Has No Plans to Enter Obesity Drugs Market, CEO Says
Johnson & Johnson's CEO, Joaquin Duato, has stated the company has no immediate plans to enter the lucrative obesity drug market. This strategic decision shifts focus towards core areas like oncology, differentiating J&J from competitors actively pursuing weight-loss medications. While rivals Eli Lilly and Novo Nordisk have seen success with their obesity drugs, J&J's stance suggests a preference for its established therapeutic areas. Investors will monitor if this focus yields competitive advantages or if J&J misses out on a significant growth opportunity.
- 4/14/2026POSITIVEInside J&J’s Next Blockbuster Drug
Johnson & Johnson's CFO, Joseph Wolk, indicated that the company's new psoriasis pill is on track to become a major revenue driver, having already reached 1,500 patients within days of launch. This positive development, coupled with a robust internal pipeline that allows J&J to bypass large, risky acquisitions, supports the company's decision to raise its financial guidance. Investors can anticipate continued long-term double-digit growth, driven by innovative pharmaceutical products and strategic pipeline management.