JOHNSON & JOHNSON (JNJ.DE) Fundamental Analysis & Valuation
FRA:JNJ • US4781601046
Current stock price
204.1 EUR
-3.35 (-1.61%)
Last:
This JNJ.DE fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. JNJ.DE Profitability Analysis
1.1 Basic Checks
- JNJ had positive earnings in the past year.
- In the past year JNJ had a positive cash flow from operations.
- In the past 5 years JNJ has always been profitable.
- In the past 5 years JNJ always reported a positive cash flow from operatings.
1.2 Ratios
- JNJ has a better Return On Assets (13.46%) than 86.27% of its industry peers.
- Looking at the Return On Equity, with a value of 32.87%, JNJ is in the better half of the industry, outperforming 76.47% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 14.37%, JNJ is in the better half of the industry, outperforming 70.59% of the companies in the same industry.
- JNJ had an Average Return On Invested Capital over the past 3 years of 16.34%. This 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
- JNJ has a better Profit Margin (28.46%) than 90.20% of its industry peers.
- In the last couple of years the Profit Margin of JNJ has grown nicely.
- JNJ's Operating Margin of 27.78% is fine compared to the rest of the industry. JNJ outperforms 70.59% of its industry peers.
- In the last couple of years the Operating Margin of JNJ has grown nicely.
- The Gross Margin of JNJ (67.92%) is comparable to the rest of the industry.
- In the last couple of years the Gross Margin of JNJ 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. JNJ.DE Health Analysis
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so JNJ is still creating some value.
- The number of shares outstanding for JNJ remains at a similar level compared to 1 year ago.
- Compared to 5 years ago, JNJ has less shares outstanding
- The debt/assets ratio for JNJ is higher compared to a year ago.
2.2 Solvency
- An Altman-Z score of 5.08 indicates that JNJ is not in any danger for bankruptcy at the moment.
- JNJ has a better Altman-Z score (5.08) than 76.47% of its industry peers.
- The Debt to FCF ratio of JNJ is 2.43, which is a good value as it means it would take JNJ, 2.43 years of fcf income to pay off all of its debts.
- JNJ has a Debt to FCF ratio of 2.43. This is in the better half of the industry: JNJ outperforms 72.55% of its industry peers.
- JNJ has a Debt/Equity ratio of 0.56. This is a neutral value indicating JNJ is somewhat dependend on debt financing.
- The Debt to Equity ratio of JNJ (0.56) is comparable to the rest of the industry.
- Even though the debt/equity ratio score it not favorable for JNJ, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 2.43 | ||
| Altman-Z | 5.08 |
ROIC/WACC1.54
WACC9.35%
2.3 Liquidity
- JNJ has a Current Ratio of 1.03. This is a normal value and indicates that JNJ is financially healthy and should not expect problems in meeting its short term obligations.
- The Current ratio of JNJ (1.03) is worse than 72.55% of its industry peers.
- A Quick Ratio of 0.77 indicates that JNJ may have some problems paying its short term obligations.
- JNJ's Quick ratio of 0.77 is on the low side compared to the rest of the industry. JNJ is outperformed by 74.51% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.03 | ||
| Quick Ratio | 0.77 |
3. JNJ.DE Growth Analysis
3.1 Past
- JNJ 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, JNJ shows a small growth in Earnings Per Share. The EPS has been growing by 6.11% on average per year.
- JNJ shows a small growth in Revenue. In the last year, the Revenue has grown by 6.05%.
- JNJ 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, JNJ 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, JNJ 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
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- 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. JNJ.DE Valuation Analysis
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 22.09, the valuation of JNJ can be described as rather expensive.
- JNJ's Price/Earnings ratio is in line with the industry average.
- JNJ's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.78.
- The Price/Forward Earnings ratio is 20.48, which indicates a rather expensive current valuation of JNJ.
- JNJ's Price/Forward Earnings ratio is in line with the industry average.
- JNJ 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 | 22.09 | ||
| Fwd PE | 20.48 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as JNJ.
- JNJ's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. JNJ is more expensive than 60.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.16 | ||
| EV/EBITDA | 17.66 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates JNJ does not grow enough to justify the current Price/Earnings ratio.
- JNJ has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.81
PEG (5Y)3.62
EPS Next 2Y8.27%
EPS Next 3Y8.5%
5. JNJ.DE Dividend Analysis
5.1 Amount
- JNJ has a Yearly Dividend Yield of 2.16%. Purely for dividend investing, there may be better candidates out there.
- JNJ's Dividend Yield is a higher than the industry average which is at 1.94.
- Compared to an average S&P500 Dividend Yield of 1.89, JNJ has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.16% |
5.2 History
- The dividend of JNJ is nicely growing with an annual growth rate of 7.68%!
Dividend Growth(5Y)7.68%
Div Incr Years7
Div Non Decr Years7
5.3 Sustainability
- 46.19% of the earnings are spent on dividend by JNJ. This is a bit on the high side, but may be sustainable.
- The dividend of JNJ is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP46.19%
EPS Next 2Y8.27%
EPS Next 3Y8.5%
JNJ.DE Fundamentals: All Metrics, Ratios and Statistics
FRA:JNJ (4/10/2026, 7:00:00 PM)
204.1
-3.35 (-1.61%)
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 Cap491.60B
Revenue(TTM)94.19B
Net Income(TTM)26.80B
Analysts76.25
Price Target200.81 (-1.61%)
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 Years7
Div Non Decr Years7
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)9.22%
EPS NQ rev (1m)0.03%
EPS NQ rev (3m)-3.08%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.08%
Revenue NQ rev (1m)0.1%
Revenue NQ rev (3m)1.89%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)1.83%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.09 | ||
| Fwd PE | 20.48 | ||
| P/S | 6.1 | ||
| P/FCF | 29.16 | ||
| P/OCF | 23.42 | ||
| P/B | 7.04 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.66 |
EPS(TTM)9.24
EY4.53%
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)2.81
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 / JNJ.DE Fundamental Analysis FAQ
Can you provide the ChartMill fundamental rating for JOHNSON & JOHNSON?
ChartMill assigns a fundamental rating of 5 / 10 to JNJ.DE.
What is the valuation status of JOHNSON & JOHNSON (JNJ.DE) stock?
ChartMill assigns a valuation rating of 2 / 10 to JOHNSON & JOHNSON (JNJ.DE). This can be considered as Overvalued.
How profitable is JOHNSON & JOHNSON (JNJ.DE) stock?
JOHNSON & JOHNSON (JNJ.DE) has a profitability rating of 7 / 10.
What is the financial health of JOHNSON & JOHNSON (JNJ.DE) stock?
The financial health rating of JOHNSON & JOHNSON (JNJ.DE) is 5 / 10.
Can you provide the expected EPS growth for JNJ stock?
The Earnings per Share (EPS) of JOHNSON & JOHNSON (JNJ.DE) is expected to grow by 7.85% in the next year.