JOHNSON & JOHNSON (1JNJ.MI) Stock Fundamental Analysis
Europe - BIT:1JNJ - US4781601046 - Common Stock
167.58 EUR
+0.1 (+0.06%)
Overall 1JNJ gets a fundamental rating of 5 out of 10. We evaluated 1JNJ against 54 industry peers in the Pharmaceuticals industry. 1JNJ has an excellent profitability rating, but there are some minor concerns on its financial health. 1JNJ has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year 1JNJ was profitable.
1JNJ had a positive operating cash flow in the past year.
1JNJ had positive earnings in each of the past 5 years.
In the past 5 years 1JNJ always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of 1JNJ (13.03%) is better than 81.48% of its industry peers.
1JNJ's Return On Equity of 31.69% is fine compared to the rest of the industry. 1JNJ outperforms 75.93% of its industry peers.
1JNJ's Return On Invested Capital of 14.68% is fine compared to the rest of the industry. 1JNJ outperforms 75.93% 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 14.51%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.03% | ||
| ROE | 31.69% | ||
| ROIC | 14.68% |
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 better Profit Margin (27.26%) than 87.04% of its industry peers.
In the last couple of years the Profit Margin of 1JNJ has declined.
1JNJ has a Operating Margin of 27.00%. This is in the better half of the industry: 1JNJ outperforms 74.07% of its industry peers.
In the last couple of years the Operating Margin of 1JNJ has grown nicely.
1JNJ has a Gross Margin (68.14%) which is comparable to the rest of the 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 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so 1JNJ is still 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
The debt/assets ratio for 1JNJ is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.61 indicates that 1JNJ is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 4.61, 1JNJ is in the better half of the industry, outperforming 70.37% of the companies in the same industry.
The Debt to FCF ratio of 1JNJ is 2.34, which is a good value as it means it would take 1JNJ, 2.34 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 2.34, 1JNJ is doing good in the industry, outperforming 77.78% of the companies in the same industry.
A Debt/Equity ratio of 0.55 indicates that 1JNJ is somewhat dependend on debt financing.
1JNJ has a Debt to Equity ratio (0.55) which is comparable to the rest of the industry.
Even though the debt/equity ratio score it not favorable for 1JNJ, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 2.34 | ||
| Altman-Z | 4.61 |
ROIC/WACC1.59
WACC9.21%
2.3 Liquidity
A Current Ratio of 1.07 indicates that 1JNJ should not have too much problems paying its short term obligations.
The Current ratio of 1JNJ (1.07) is worse than 70.37% of its industry peers.
1JNJ has a Quick Ratio of 1.07. 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 0.80. This is in the lower half of the industry: 1JNJ underperforms 61.11% 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 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
The Earnings Per Share is expected to grow by 7.38% on average over the next years.
Based on estimates for the next years, 1JNJ will show a small growth in Revenue. The Revenue will grow by 5.24% on average per year.
EPS Next Y9.86%
EPS Next 2Y8%
EPS Next 3Y7.66%
EPS Next 5Y7.38%
Revenue Next Year5.62%
Revenue Next 2Y5.45%
Revenue Next 3Y5.26%
Revenue Next 5Y5.24%
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
A Price/Earnings ratio of 18.70 indicates a rather expensive 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.
The average S&P500 Price/Earnings ratio is at 25.51. 1JNJ is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 16.67, which indicates a correct valuation of 1JNJ.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1JNJ is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of 1JNJ to the average of the S&P500 Index (34.98), we can say 1JNJ is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.7 | ||
| Fwd PE | 16.67 |
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.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1JNJ is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.87 | ||
| EV/EBITDA | 14.89 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of 1JNJ may justify a higher PE ratio.
PEG (NY)1.9
PEG (5Y)6.56
EPS Next 2Y8%
EPS Next 3Y7.66%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.66%, 1JNJ has a reasonable but not impressive dividend return.
1JNJ's Dividend Yield is a higher than the industry average which is at 3.01.
Compared to an average S&P500 Dividend Yield of 2.44, 1JNJ has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.66% |
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
1JNJ pays out 48.70% of its income as dividend. 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%
EPS Next 3Y7.66%
BIT:1JNJ (11/13/2025, 7:00:00 PM)
167.58
+0.1 (+0.06%)
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 Cap403.59B
Revenue(TTM)92.15B
Net Income(TTM)25.12B
Analysts75.48
Price Target176.37 (5.25%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.66% |
Yearly Dividend4.22
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)12.36%
PT rev (3m)15.31%
EPS NQ rev (1m)-1.62%
EPS NQ rev (3m)-1.71%
EPS NY rev (1m)0.05%
EPS NY rev (3m)2.23%
Revenue NQ rev (1m)0.35%
Revenue NQ rev (3m)0.39%
Revenue NY rev (1m)0.37%
Revenue NY rev (3m)0.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.7 | ||
| Fwd PE | 16.67 | ||
| P/S | 5.08 | ||
| P/FCF | 23.87 | ||
| P/OCF | 19.33 | ||
| P/B | 5.9 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.89 |
EPS(TTM)8.96
EY5.35%
EPS(NY)10.05
Fwd EY6%
FCF(TTM)7.02
FCFY4.19%
OCF(TTM)8.67
OCFY5.17%
SpS33.01
BVpS28.4
TBVpS-6.27
PEG (NY)1.9
PEG (5Y)6.56
Graham Number75.67
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.03% | ||
| ROE | 31.69% | ||
| ROCE | 17.53% | ||
| ROIC | 14.68% | ||
| ROICexc | 16.82% | ||
| ROICexgc | 69.32% | ||
| OM | 27% | ||
| PM (TTM) | 27.26% | ||
| GM | 68.14% | ||
| FCFM | 21.27% |
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%
ROICexgc growth 3Y1.2%
ROICexgc 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-Score5
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 | 4.61 |
F-Score5
WACC9.21%
ROIC/WACC1.59
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 Y9.86%
EPS Next 2Y8%
EPS Next 3Y7.66%
EPS Next 5Y7.38%
Revenue 1Y (TTM)5.08%
Revenue growth 3Y4.1%
Revenue growth 5Y1.6%
Sales Q2Q%6.77%
Revenue Next Year5.62%
Revenue Next 2Y5.45%
Revenue Next 3Y5.26%
Revenue Next 5Y5.24%
EBIT growth 1Y2.89%
EBIT growth 3Y4.44%
EBIT growth 5Y4.79%
EBIT Next Year28.57%
EBIT Next 3Y12.7%
EBIT Next 5Y8.85%
FCF growth 1Y24.53%
FCF growth 3Y0.14%
FCF growth 5Y-0.08%
OCF growth 1Y19.36%
OCF growth 3Y1.2%
OCF growth 5Y0.72%
JOHNSON & JOHNSON / 1JNJ.MI FAQ
What is the fundamental rating for 1JNJ stock?
ChartMill assigns a fundamental rating of 5 / 10 to 1JNJ.MI.
Can you provide the valuation status for JOHNSON & JOHNSON?
ChartMill assigns a valuation rating of 4 / 10 to JOHNSON & JOHNSON (1JNJ.MI). This can be considered as Fairly Valued.
What is the profitability of 1JNJ stock?
JOHNSON & JOHNSON (1JNJ.MI) has a profitability rating of 7 / 10.
What is the earnings growth outlook for JOHNSON & JOHNSON?
The Earnings per Share (EPS) of JOHNSON & JOHNSON (1JNJ.MI) is expected to grow by 9.86% in the next year.
Can you provide the dividend sustainability for 1JNJ stock?
The dividend rating of JOHNSON & JOHNSON (1JNJ.MI) is 4 / 10 and the dividend payout ratio is 48.7%.