JOHNSON & JOHNSON (1JNJ.MI) Fundamental Analysis & Valuation
BIT:1JNJ • US4781601046
Current stock price
204.25 EUR
-3 (-1.45%)
Last:
This 1JNJ.MI fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. 1JNJ.MI Profitability Analysis
1.1 Basic Checks
- 1JNJ had positive earnings in the past year.
- 1JNJ had a positive operating cash flow in the past year.
- In the past 5 years 1JNJ has always been profitable.
- Each year in the past 5 years 1JNJ had a positive operating cash flow.
1.2 Ratios
- 1JNJ has a better Return On Assets (13.46%) than 88.24% of its industry peers.
- 1JNJ has a better Return On Equity (32.87%) than 78.43% of its industry peers.
- 1JNJ's Return On Invested Capital of 14.37% is fine compared to the rest of the industry. 1JNJ outperforms 72.55% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for 1JNJ is in line with the industry average of 17.40%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.46% | ||
| ROE | 32.87% | ||
| ROIC | 14.37% |
ROA(3y)14.08%
ROA(5y)12.66%
ROE(3y)34.55%
ROE(5y)31.04%
ROIC(3y)16.34%
ROIC(5y)15%
1.3 Margins
- 1JNJ's Profit Margin of 28.46% is amongst the best of the industry. 1JNJ outperforms 92.16% of its industry peers.
- 1JNJ's Profit Margin has improved in the last couple of years.
- 1JNJ has a Operating Margin of 27.78%. This is in the better half of the industry: 1JNJ outperforms 72.55% of its industry peers.
- 1JNJ's Operating Margin has improved in the last couple of years.
- 1JNJ's Gross Margin of 67.92% is in line compared to the rest of the industry. 1JNJ outperforms 49.02% of its industry peers.
- 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 | 27.78% | ||
| PM (TTM) | 28.46% | ||
| GM | 67.92% |
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. 1JNJ.MI Health Analysis
2.1 Basic Checks
- 1JNJ has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- The number of shares outstanding for 1JNJ remains at a similar level compared to 1 year ago.
- Compared to 5 years ago, 1JNJ has less shares outstanding
- Compared to 1 year ago, 1JNJ has a worse debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 5.08 indicates that 1JNJ is not in any danger for bankruptcy at the moment.
- The Altman-Z score of 1JNJ (5.08) is better than 74.51% of its industry peers.
- 1JNJ has a debt to FCF ratio of 2.43. This is a good value and a sign of high solvency as 1JNJ would need 2.43 years to pay back of all of its debts.
- The Debt to FCF ratio of 1JNJ (2.43) is better than 74.51% of its industry peers.
- A Debt/Equity ratio of 0.56 indicates that 1JNJ is somewhat dependend on debt financing.
- 1JNJ has a Debt to Equity ratio (0.56) which is in line with its industry peers.
- Although 1JNJ's pure debt/equity ratio does not look good, it has limited outstanding debt compared to the Free Cash Flow. 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 | 0.56 | ||
| Debt/FCF | 2.43 | ||
| Altman-Z | 5.08 |
ROIC/WACC1.54
WACC9.35%
2.3 Liquidity
- A Current Ratio of 1.03 indicates that 1JNJ should not have too much problems paying its short term obligations.
- 1JNJ's Current ratio of 1.03 is on the low side compared to the rest of the industry. 1JNJ is outperformed by 70.59% of its industry peers.
- 1JNJ has a Quick Ratio of 1.03. This is a bad value and indicates that 1JNJ is not financially healthy enough and could expect problems in meeting its short term obligations.
- 1JNJ has a Quick ratio of 0.77. This is in the lower half of the industry: 1JNJ underperforms 72.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.03 | ||
| Quick Ratio | 0.77 |
3. 1JNJ.MI Growth Analysis
3.1 Past
- 1JNJ shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.11%, which is quite good.
- Measured over the past 5 years, 1JNJ shows a small growth in Earnings Per Share. The EPS has been growing by 6.11% on average per year.
- 1JNJ shows a small growth in Revenue. In the last year, the Revenue has grown by 6.05%.
- 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 8.75% on average per year.
- Based on estimates for the next years, 1JNJ will show a small growth in Revenue. The Revenue will grow by 6.02% on average per year.
EPS Next Y7.85%
EPS Next 2Y8.27%
EPS Next 3Y8.5%
EPS Next 5Y8.75%
Revenue Next Year7.24%
Revenue Next 2Y6.55%
Revenue Next 3Y6.35%
Revenue Next 5Y6.02%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. 1JNJ.MI Valuation Analysis
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 22.10, the valuation of 1JNJ can be described as rather expensive.
- The rest of the industry has a similar Price/Earnings ratio as 1JNJ.
- Compared to an average S&P500 Price/Earnings ratio of 26.78, 1JNJ is valued at the same level.
- 1JNJ is valuated rather expensively with a Price/Forward Earnings ratio of 20.49.
- The rest of the industry has a similar Price/Forward Earnings ratio as 1JNJ.
- 1JNJ is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.54, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.1 | ||
| Fwd PE | 20.49 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1JNJ is on the same level as its industry peers.
- The rest of the industry has a similar Price/Free Cash Flow ratio as 1JNJ.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.18 | ||
| EV/EBITDA | 17.64 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 1JNJ does not grow enough to justify the current Price/Earnings ratio.
- The decent profitability rating of 1JNJ may justify a higher PE ratio.
PEG (NY)2.82
PEG (5Y)3.62
EPS Next 2Y8.27%
EPS Next 3Y8.5%
5. 1JNJ.MI Dividend Analysis
5.1 Amount
- 1JNJ has a Yearly Dividend Yield of 2.16%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 1.94, 1JNJ pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.89, 1JNJ has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.16% |
5.2 History
- The dividend of 1JNJ is nicely growing with an annual growth rate of 7.68%!
Dividend Growth(5Y)7.68%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 1JNJ pays out 46.19% of its income as dividend. This is a bit on the high side, but may be sustainable.
- 1JNJ's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP46.19%
EPS Next 2Y8.27%
EPS Next 3Y8.5%
1JNJ.MI Fundamentals: All Metrics, Ratios and Statistics
BIT:1JNJ (4/10/2026, 7:00:00 PM)
204.25
-3 (-1.45%)
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 Owners75.62%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap491.96B
Revenue(TTM)94.19B
Net Income(TTM)26.80B
Analysts76.25
Price Target197.11 (-3.5%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.16% |
Yearly Dividend4.46
Dividend Growth(5Y)7.68%
DP46.19%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.21%
Min EPS beat(2)-0.13%
Max EPS beat(2)0.55%
EPS beat(4)3
Avg EPS beat(4)2.17%
Min EPS beat(4)-0.13%
Max EPS beat(4)5.96%
EPS beat(8)7
Avg EPS beat(8)2.84%
EPS beat(12)10
Avg EPS beat(12)3.23%
EPS beat(16)14
Avg EPS beat(16)3.09%
Revenue beat(2)2
Avg Revenue beat(2)0.35%
Min Revenue beat(2)0.03%
Max Revenue beat(2)0.67%
Revenue beat(4)4
Avg Revenue beat(4)1.04%
Min Revenue beat(4)0.03%
Max Revenue beat(4)2.92%
Revenue beat(8)5
Avg Revenue beat(8)0.32%
Revenue beat(12)8
Avg Revenue beat(12)-0.5%
Revenue beat(16)8
Avg Revenue beat(16)-4.44%
PT rev (1m)0%
PT rev (3m)7.31%
EPS NQ rev (1m)0.03%
EPS NQ rev (3m)-3.08%
EPS NY rev (1m)-0.02%
EPS NY rev (3m)-0.08%
Revenue NQ rev (1m)0.1%
Revenue NQ rev (3m)1.89%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)1.83%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.1 | ||
| Fwd PE | 20.49 | ||
| P/S | 6.1 | ||
| P/FCF | 29.18 | ||
| P/OCF | 23.43 | ||
| P/B | 7.05 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.64 |
EPS(TTM)9.24
EY4.52%
EPS(NY)9.97
Fwd EY4.88%
FCF(TTM)7
FCFY3.43%
OCF(TTM)8.72
OCFY4.27%
SpS33.47
BVpS28.97
TBVpS-6.26
PEG (NY)2.82
PEG (5Y)3.62
Graham Number77.61
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.46% | ||
| ROE | 32.87% | ||
| ROCE | 18.03% | ||
| ROIC | 14.37% | ||
| ROICexc | 16.57% | ||
| ROICexgc | 67.45% | ||
| OM | 27.78% | ||
| PM (TTM) | 28.46% | ||
| GM | 67.92% | ||
| FCFM | 20.91% |
ROA(3y)14.08%
ROA(5y)12.66%
ROE(3y)34.55%
ROE(5y)31.04%
ROIC(3y)16.34%
ROIC(5y)15%
ROICexc(3y)19.6%
ROICexc(5y)18.23%
ROICexgc(3y)74.51%
ROICexgc(5y)73.44%
ROCE(3y)20.24%
ROCE(5y)18.7%
ROICexgc growth 3Y3.9%
ROICexgc growth 5Y-2.01%
ROICexc growth 3Y8.52%
ROICexc growth 5Y5.62%
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 Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 2.43 | ||
| Debt/EBITDA | 1.36 | ||
| Cap/Depr | 64.4% | ||
| Cap/Sales | 5.13% | ||
| Interest Coverage | 6.81 | ||
| Cash Conversion | 72.86% | ||
| Profit Quality | 73.49% | ||
| Current Ratio | 1.03 | ||
| Quick Ratio | 0.77 | ||
| Altman-Z | 5.08 |
F-Score4
WACC9.35%
ROIC/WACC1.54
Cap/Depr(3y)61.79%
Cap/Depr(5y)58.46%
Cap/Sales(3y)5.15%
Cap/Sales(5y)5.02%
Profit Quality(3y)88.82%
Profit Quality(5y)91.38%
High Growth Momentum
Growth
EPS 1Y (TTM)8.11%
EPS 3Y2.06%
EPS 5Y6.11%
EPS Q2Q%20.59%
EPS Next Y7.85%
EPS Next 2Y8.27%
EPS Next 3Y8.5%
EPS Next 5Y8.75%
Revenue 1Y (TTM)6.05%
Revenue growth 3Y5.6%
Revenue growth 5Y2.67%
Sales Q2Q%9.08%
Revenue Next Year7.24%
Revenue Next 2Y6.55%
Revenue Next 3Y6.35%
Revenue Next 5Y6.02%
EBIT growth 1Y12.82%
EBIT growth 3Y12.1%
EBIT growth 5Y9.84%
EBIT Next Year23.18%
EBIT Next 3Y11.51%
EBIT Next 5Y8.55%
FCF growth 1Y-0.73%
FCF growth 3Y4.65%
FCF growth 5Y-0.49%
OCF growth 1Y1.09%
OCF growth 3Y4.99%
OCF growth 5Y0.83%
JOHNSON & JOHNSON / 1JNJ.MI Fundamental Analysis 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 for 1JNJ stock?
ChartMill assigns a valuation rating of 2 / 10 to JOHNSON & JOHNSON (1JNJ.MI). This can be considered as Overvalued.
How profitable is JOHNSON & JOHNSON (1JNJ.MI) stock?
JOHNSON & JOHNSON (1JNJ.MI) has a profitability rating of 7 / 10.
What is the expected EPS growth for JOHNSON & JOHNSON (1JNJ.MI) stock?
The Earnings per Share (EPS) of JOHNSON & JOHNSON (1JNJ.MI) is expected to grow by 7.85% in the next year.
How sustainable is the dividend of JOHNSON & JOHNSON (1JNJ.MI) stock?
The dividend rating of JOHNSON & JOHNSON (1JNJ.MI) is 5 / 10 and the dividend payout ratio is 46.19%.