JOHNSON & JOHNSON (1JNJ.MI) Stock Fundamental Analysis
Europe • Euronext Milan • BIT:1JNJ • US4781601046
200.65 EUR
-1.45 (-0.72%)
Last: Feb 9, 2026, 07:00 PM
Overall 1JNJ gets a fundamental rating of 5 out of 10. We evaluated 1JNJ against 55 industry peers in the Pharmaceuticals industry. 1JNJ scores excellent on profitability, but there are some minor concerns on its financial health. 1JNJ is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year 1JNJ was profitable.
- 1JNJ had a positive operating cash flow in the past year.
- In the past 5 years 1JNJ has always been profitable.
- 1JNJ had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- The Return On Assets of 1JNJ (13.03%) is better than 81.82% of its industry peers.
- With a decent Return On Equity value of 31.69%, 1JNJ is doing good in the industry, outperforming 72.73% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 14.16%, 1JNJ is in the better half of the industry, outperforming 65.45% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.03% | ||
| ROE | 31.69% | ||
| ROIC | 14.16% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- With an excellent Profit Margin value of 27.26%, 1JNJ belongs to the best of the industry, outperforming 85.45% of the companies in the same industry.
- In the last couple of years the Profit Margin of 1JNJ has grown nicely.
- Looking at the Operating Margin, with a value of 27.00%, 1JNJ is in the better half of the industry, outperforming 67.27% of the companies in the same industry.
- In the last couple of years the Operating Margin of 1JNJ has grown nicely.
- Looking at the Gross Margin, with a value of 68.14%, 1JNJ is in line with its industry, outperforming 43.64% of the companies in the same industry.
- In the last couple of years the Gross Margin of 1JNJ has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27% | ||
| PM (TTM) | 27.26% | ||
| GM | 68.14% |
OM growth 3Y6.15%
OM growth 5Y6.99%
PM growth 3Y8.26%
PM growth 5Y9.82%
GM growth 3Y-0.67%
GM growth 5Y0.65%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so 1JNJ is still creating some value.
- 1JNJ has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
- An Altman-Z score of 5.18 indicates that 1JNJ is not in any danger for bankruptcy at the moment.
- 1JNJ has a better Altman-Z score (5.18) than 74.55% of its industry peers.
- 1JNJ has a debt to FCF ratio of 2.34. This is a good value and a sign of high solvency as 1JNJ would need 2.34 years to pay back of all of its debts.
- With an excellent Debt to FCF ratio value of 2.34, 1JNJ belongs to the best of the industry, outperforming 83.64% of the companies in the same industry.
- 1JNJ has a Debt/Equity ratio of 0.55. This is a neutral value indicating 1JNJ is somewhat dependend on debt financing.
- 1JNJ has a Debt to Equity ratio of 0.55. This is comparable to the rest of the industry: 1JNJ outperforms 58.18% of its industry peers.
- Although 1JNJ does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 2.34 | ||
| Altman-Z | 5.18 |
ROIC/WACC1.44
WACC9.8%
2.3 Liquidity
- 1JNJ has a Current Ratio of 1.07. This is a normal value and indicates that 1JNJ is financially healthy and should not expect problems in meeting its short term obligations.
- 1JNJ's Current ratio of 1.07 is on the low side compared to the rest of the industry. 1JNJ is outperformed by 70.91% of its industry peers.
- A Quick Ratio of 0.80 indicates that 1JNJ may have some problems paying its short term obligations.
- The Quick ratio of 1JNJ (0.80) is worse than 65.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.07 | ||
| Quick Ratio | 0.8 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 8.11% over the past year.
- The Earnings Per Share has been growing slightly by 6.11% on average over the past years.
- The Revenue has been growing slightly by 6.05% in the past year.
- 1JNJ shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.67% yearly.
EPS 1Y (TTM)8.11%
EPS 3Y2.06%
EPS 5Y6.11%
EPS Q2Q%20.59%
Revenue 1Y (TTM)6.05%
Revenue growth 3Y5.6%
Revenue growth 5Y2.67%
Sales Q2Q%9.08%
3.2 Future
- Based on estimates for the next years, 1JNJ will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.17% on average per year.
- 1JNJ is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.37% yearly.
EPS Next Y7.88%
EPS Next 2Y8.2%
EPS Next 3Y8.39%
EPS Next 5Y8.17%
Revenue Next Year7.21%
Revenue Next 2Y6.4%
Revenue Next 3Y6.15%
Revenue Next 5Y5.37%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 22.10, which indicates a rather expensive current valuation of 1JNJ.
- Compared to the rest of the industry, the Price/Earnings ratio of 1JNJ is on the same level as its industry peers.
- Compared to an average S&P500 Price/Earnings ratio of 28.03, 1JNJ is valued a bit cheaper.
- With a Price/Forward Earnings ratio of 20.48, 1JNJ is valued on the expensive side.
- 1JNJ's Price/Forward Earnings ratio is in line with the industry average.
- The average S&P500 Price/Forward Earnings ratio is at 27.97. 1JNJ is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.1 | ||
| Fwd PE | 20.48 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1JNJ indicates a slightly more expensive valuation: 1JNJ is more expensive than 60.00% of the companies listed in the same industry.
- 1JNJ's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.34 | ||
| EV/EBITDA | 18.21 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- 1JNJ has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.81
PEG (5Y)3.62
EPS Next 2Y8.2%
EPS Next 3Y8.39%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 2.19%, 1JNJ has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 1.94, 1JNJ has a dividend in line with its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.80, 1JNJ pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.19% |
5.2 History
- The dividend of 1JNJ is nicely growing with an annual growth rate of 9.24%!
Dividend Growth(5Y)9.24%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 48.70% of the earnings are spent on dividend by 1JNJ. This is a bit on the high side, but may be sustainable.
- The dividend of 1JNJ is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP48.7%
EPS Next 2Y8.2%
EPS Next 3Y8.39%
BIT:1JNJ (2/9/2026, 7:00:00 PM)
200.65
-1.45 (-0.72%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)01-21 2026-01-21/bmo
Earnings (Next)04-14 2026-04-14
Inst Owners75.09%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap483.43B
Revenue(TTM)94.19B
Net Income(TTM)25.12B
Analysts75
Price Target197.26 (-1.69%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.19% |
Yearly Dividend4.16
Dividend Growth(5Y)9.24%
DP48.7%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.42%
Min EPS beat(2)0.55%
Max EPS beat(2)2.3%
EPS beat(4)4
Avg EPS beat(4)2.37%
Min EPS beat(4)0.55%
Max EPS beat(4)5.96%
EPS beat(8)7
Avg EPS beat(8)2.79%
EPS beat(12)11
Avg EPS beat(12)3.6%
EPS beat(16)14
Avg EPS beat(16)3.08%
Revenue beat(2)2
Avg Revenue beat(2)1.48%
Min Revenue beat(2)0.03%
Max Revenue beat(2)2.92%
Revenue beat(4)3
Avg Revenue beat(4)0.74%
Min Revenue beat(4)-0.55%
Max Revenue beat(4)2.92%
Revenue beat(8)5
Avg Revenue beat(8)0.34%
Revenue beat(12)7
Avg Revenue beat(12)-2.01%
Revenue beat(16)7
Avg Revenue beat(16)-8.34%
PT rev (1m)7.4%
PT rev (3m)11.11%
EPS NQ rev (1m)-3.57%
EPS NQ rev (3m)-3.62%
EPS NY rev (1m)-0.06%
EPS NY rev (3m)-0.05%
Revenue NQ rev (1m)0.13%
Revenue NQ rev (3m)0.03%
Revenue NY rev (1m)1.8%
Revenue NY rev (3m)1.81%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.1 | ||
| Fwd PE | 20.48 | ||
| P/S | 6.24 | ||
| P/FCF | 29.34 | ||
| P/OCF | 23.76 | ||
| P/B | 7.25 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.21 |
EPS(TTM)9.08
EY4.53%
EPS(NY)9.8
Fwd EY4.88%
FCF(TTM)6.84
FCFY3.41%
OCF(TTM)8.45
OCFY4.21%
SpS32.16
BVpS27.66
TBVpS-6.11
PEG (NY)2.81
PEG (5Y)3.62
Graham Number75.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.03% | ||
| ROE | 31.69% | ||
| ROCE | 17.53% | ||
| ROIC | 14.16% | ||
| ROICexc | 16.21% | ||
| ROICexgc | 66.83% | ||
| OM | 27% | ||
| PM (TTM) | 27.26% | ||
| GM | 68.14% | ||
| FCFM | 21.27% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y6.15%
OM growth 5Y6.99%
PM growth 3Y8.26%
PM growth 5Y9.82%
GM growth 3Y-0.67%
GM growth 5Y0.65%
F-Score4
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 2.34 | ||
| Debt/EBITDA | 1.36 | ||
| Cap/Depr | 62.36% | ||
| Cap/Sales | 5% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 75.02% | ||
| Profit Quality | 78.02% | ||
| Current Ratio | 1.07 | ||
| Quick Ratio | 0.8 | ||
| Altman-Z | 5.18 |
F-Score4
WACC9.8%
ROIC/WACC1.44
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)8.11%
EPS 3Y2.06%
EPS 5Y6.11%
EPS Q2Q%20.59%
EPS Next Y7.88%
EPS Next 2Y8.2%
EPS Next 3Y8.39%
EPS Next 5Y8.17%
Revenue 1Y (TTM)6.05%
Revenue growth 3Y5.6%
Revenue growth 5Y2.67%
Sales Q2Q%9.08%
Revenue Next Year7.21%
Revenue Next 2Y6.4%
Revenue Next 3Y6.15%
Revenue Next 5Y5.37%
EBIT growth 1Y2.89%
EBIT growth 3Y12.1%
EBIT growth 5Y9.84%
EBIT Next Year23.35%
EBIT Next 3Y11.24%
EBIT Next 5Y7.6%
FCF growth 1Y-5.53%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-3.75%
OCF growth 3YN/A
OCF growth 5YN/A
JOHNSON & JOHNSON / 1JNJ.MI FAQ
What is the fundamental rating for 1JNJ stock?
ChartMill assigns a fundamental rating of 5 / 10 to 1JNJ.MI.
What is the valuation status of JOHNSON & JOHNSON (1JNJ.MI) stock?
ChartMill assigns a valuation rating of 3 / 10 to JOHNSON & JOHNSON (1JNJ.MI). This can be considered as Overvalued.
Can you provide the profitability details for JOHNSON & JOHNSON?
JOHNSON & JOHNSON (1JNJ.MI) has a profitability rating of 7 / 10.
What is the valuation of JOHNSON & JOHNSON based on its PE and PB ratios?
The Price/Earnings (PE) ratio for JOHNSON & JOHNSON (1JNJ.MI) is 22.1 and the Price/Book (PB) ratio is 7.25.
What is the financial health of JOHNSON & JOHNSON (1JNJ.MI) stock?
The financial health rating of JOHNSON & JOHNSON (1JNJ.MI) is 5 / 10.