JOHNSON & JOHNSON (1JNJ.MI) Stock Fundamental Analysis
Europe - BIT:1JNJ - US4781601046 - Common Stock
165.22 EUR
+0.64 (+0.39%)
1JNJ gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 53 industry peers in the Pharmaceuticals industry. 1JNJ has only an average score on both its financial health and profitability. 1JNJ is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
1JNJ had positive earnings in the past year.
In the past year 1JNJ had a positive cash flow from operations.
Each year in the past 5 years 1JNJ has been profitable.
1JNJ had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
1JNJ's Return On Assets of 11.72% is fine compared to the rest of the industry. 1JNJ outperforms 79.25% of its industry peers.
1JNJ has a better Return On Equity (28.88%) than 75.47% of its industry peers.
1JNJ has a better Return On Invested Capital (13.62%) than 62.26% of its industry peers.
1JNJ had an Average Return On Invested Capital over the past 3 years of 15.41%. This is in line with the industry average of 15.19%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.72% | ||
| ROE | 28.88% | ||
| ROIC | 13.62% |
ROA(3y)12.79%
ROA(5y)11.65%
ROE(3y)31.38%
ROE(5y)29.12%
ROIC(3y)15.41%
ROIC(5y)14.48%
1.3 Margins
1JNJ has a Profit Margin of 25.00%. This is amongst the best in the industry. 1JNJ outperforms 84.91% of its industry peers.
In the last couple of years the Profit Margin of 1JNJ has declined.
With a decent Operating Margin value of 25.69%, 1JNJ is doing good in the industry, outperforming 66.04% of the companies in the same industry.
In the last couple of years the Operating Margin of 1JNJ has grown nicely.
1JNJ has a Gross Margin (67.97%) which is in line with its industry peers.
1JNJ's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.69% | ||
| PM (TTM) | 25% | ||
| GM | 67.97% |
OM growth 3Y0.33%
OM growth 5Y3.14%
PM growth 3Y-15.79%
PM growth 5Y-2.98%
GM growth 3Y-0.56%
GM growth 5Y0.76%
2. Health
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.
The number of shares outstanding for 1JNJ has been reduced compared to 5 years ago.
Compared to 1 year ago, 1JNJ has a worse debt to assets ratio.
2.2 Solvency
1JNJ has an Altman-Z score of 4.49. This indicates that 1JNJ is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of 1JNJ (4.49) is better than 64.15% of its industry peers.
1JNJ has a debt to FCF ratio of 2.74. This is a good value and a sign of high solvency as 1JNJ would need 2.74 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.74, 1JNJ is in the better half of the industry, outperforming 67.92% of the companies in the same industry.
1JNJ has a Debt/Equity ratio of 0.61. This is a neutral value indicating 1JNJ is somewhat dependend on debt financing.
1JNJ has a Debt to Equity ratio of 0.61. This is comparable to the rest of the industry: 1JNJ outperforms 54.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 2.74 | ||
| Altman-Z | 4.49 |
ROIC/WACC1.49
WACC9.16%
2.3 Liquidity
1JNJ has a Current Ratio of 1.01. 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 1.01 is on the low side compared to the rest of the industry. 1JNJ is outperformed by 69.81% of its industry peers.
A Quick Ratio of 0.76 indicates that 1JNJ may have some problems paying its short term obligations.
1JNJ has a Quick ratio of 0.76. This is in the lower half of the industry: 1JNJ underperforms 67.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.01 | ||
| Quick Ratio | 0.76 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 1.37% over the past year.
1JNJ shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.85% yearly.
Looking at the last year, 1JNJ shows a small growth in Revenue. The Revenue has grown by 5.08% in the last year.
1JNJ shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.60% yearly.
EPS 1Y (TTM)1.37%
EPS 3Y0.64%
EPS 5Y2.85%
EPS Q2Q%15.7%
Revenue 1Y (TTM)5.08%
Revenue growth 3Y4.1%
Revenue growth 5Y1.6%
Sales Q2Q%6.77%
3.2 Future
Based on estimates for the next years, 1JNJ will show a small growth in Earnings Per Share. The EPS will grow by 6.91% on average per year.
The Revenue is expected to grow by 4.82% on average over the next years.
EPS Next Y9.8%
EPS Next 2Y7.17%
EPS Next 3Y6.91%
EPS Next 5Y6.91%
Revenue Next Year5.23%
Revenue Next 2Y4.92%
Revenue Next 3Y4.88%
Revenue Next 5Y4.82%
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. Valuation
4.1 Price/Earnings Ratio
1JNJ is valuated rather expensively with a Price/Earnings ratio of 18.58.
1JNJ's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.69, 1JNJ is valued a bit cheaper.
A Price/Forward Earnings ratio of 16.82 indicates a correct valuation of 1JNJ.
The rest of the industry has a similar Price/Forward Earnings ratio as 1JNJ.
1JNJ's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.18.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.58 | ||
| Fwd PE | 16.82 |
4.2 Price Multiples
1JNJ's Enterprise Value to EBITDA ratio is in line with the industry average.
1JNJ's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.06 | ||
| EV/EBITDA | 15.48 |
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)1.9
PEG (5Y)6.52
EPS Next 2Y7.17%
EPS Next 3Y6.91%
5. Dividend
5.1 Amount
1JNJ has a Yearly Dividend Yield of 2.71%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.00, 1JNJ pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.34, 1JNJ has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.71% |
5.2 History
On average, the dividend of 1JNJ grows each year by 9.24%, which is quite nice.
Dividend Growth(5Y)9.24%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
53.34% of the earnings are spent on dividend by 1JNJ. This is a bit on the high side, but may be sustainable.
1JNJ's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP53.34%
EPS Next 2Y7.17%
EPS Next 3Y6.91%
BIT:1JNJ (10/20/2025, 7:00:00 PM)
165.22
+0.64 (+0.39%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)
Earnings (Next)
Inst Owners74.46%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap397.91B
Analysts74.84
Price Target156.97 (-4.99%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.71% |
Yearly Dividend4.21
Dividend Growth(5Y)9.24%
DP53.34%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.13%
Min EPS beat(2)2.3%
Max EPS beat(2)5.96%
EPS beat(4)4
Avg EPS beat(4)4.31%
Min EPS beat(4)0.68%
Max EPS beat(4)8.28%
EPS beat(8)7
Avg EPS beat(8)3.3%
EPS beat(12)11
Avg EPS beat(12)3.74%
EPS beat(16)14
Avg EPS beat(16)3.64%
Revenue beat(2)2
Avg Revenue beat(2)1.73%
Min Revenue beat(2)0.53%
Max Revenue beat(2)2.92%
Revenue beat(4)3
Avg Revenue beat(4)0.82%
Min Revenue beat(4)-0.55%
Max Revenue beat(4)2.92%
Revenue beat(8)5
Avg Revenue beat(8)0.4%
Revenue beat(12)6
Avg Revenue beat(12)-3.28%
Revenue beat(16)6
Avg Revenue beat(16)-8.51%
PT rev (1m)1.47%
PT rev (3m)3.8%
EPS NQ rev (1m)0.38%
EPS NQ rev (3m)2.02%
EPS NY rev (1m)0%
EPS NY rev (3m)2.18%
Revenue NQ rev (1m)0.13%
Revenue NQ rev (3m)2.54%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)2.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.58 | ||
| Fwd PE | 16.82 | ||
| P/S | 5.13 | ||
| P/FCF | 25.06 | ||
| P/OCF | 20.18 | ||
| P/B | 5.92 | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.48 |
EPS(TTM)8.89
EY5.38%
EPS(NY)9.82
Fwd EY5.94%
FCF(TTM)6.59
FCFY3.99%
OCF(TTM)8.19
OCFY4.95%
SpS32.22
BVpS27.89
TBVpS-6.92
PEG (NY)1.9
PEG (5Y)6.52
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.72% | ||
| ROE | 28.88% | ||
| ROCE | 16.73% | ||
| ROIC | 13.62% | ||
| ROICexc | 15.61% | ||
| ROICexgc | 65.14% | ||
| OM | 25.69% | ||
| PM (TTM) | 25% | ||
| GM | 67.97% | ||
| FCFM | 20.47% |
ROA(3y)12.79%
ROA(5y)11.65%
ROE(3y)31.38%
ROE(5y)29.12%
ROIC(3y)15.41%
ROIC(5y)14.48%
ROICexc(3y)18.76%
ROICexc(5y)17.88%
ROICexgc(3y)74.12%
ROICexgc(5y)78.04%
ROCE(3y)18.6%
ROCE(5y)17.28%
ROICexcg growth 3Y1.2%
ROICexcg growth 5Y-0.66%
ROICexc growth 3Y3.58%
ROICexc growth 5Y3.41%
OM growth 3Y0.33%
OM growth 5Y3.14%
PM growth 3Y-15.79%
PM growth 5Y-2.98%
GM growth 3Y-0.56%
GM growth 5Y0.76%
F-Score4
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.61 | ||
| Debt/FCF | 2.74 | ||
| Debt/EBITDA | 1.55 | ||
| Cap/Depr | 60.06% | ||
| Cap/Sales | 4.94% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 74.91% | ||
| Profit Quality | 81.85% | ||
| Current Ratio | 1.01 | ||
| Quick Ratio | 0.76 | ||
| Altman-Z | 4.49 |
F-Score4
WACC9.16%
ROIC/WACC1.49
Cap/Depr(3y)59.5%
Cap/Depr(5y)54.84%
Cap/Sales(3y)5.11%
Cap/Sales(5y)4.8%
Profit Quality(3y)96.25%
Profit Quality(5y)104.12%
High Growth Momentum
Growth
EPS 1Y (TTM)1.37%
EPS 3Y0.64%
EPS 5Y2.85%
EPS Q2Q%15.7%
EPS Next Y9.8%
EPS Next 2Y7.17%
EPS Next 3Y6.91%
EPS Next 5Y6.91%
Revenue 1Y (TTM)5.08%
Revenue growth 3Y4.1%
Revenue growth 5Y1.6%
Sales Q2Q%6.77%
Revenue Next Year5.23%
Revenue Next 2Y4.92%
Revenue Next 3Y4.88%
Revenue Next 5Y4.82%
EBIT growth 1Y-6.56%
EBIT growth 3Y4.44%
EBIT growth 5Y4.79%
EBIT Next Year28.57%
EBIT Next 3Y12.7%
EBIT Next 5Y8.43%
FCF growth 1Y27.51%
FCF growth 3Y0.14%
FCF growth 5Y-0.08%
OCF growth 1Y20.74%
OCF growth 3Y1.2%
OCF growth 5Y0.72%