JOHNSON & JOHNSON (JNJ.DE) Fundamental Analysis & Valuation
FRA:JNJ • US4781601046
Current stock price
191.92 EUR
-6.18 (-3.12%)
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.
- Each year in the past 5 years JNJ has been profitable.
- Each year in the past 5 years JNJ had a positive operating cash flow.
1.2 Ratios
- JNJ's Return On Assets of 13.46% is amongst the best of the industry. JNJ outperforms 90.20% of its industry peers.
- Looking at the Return On Equity, with a value of 32.87%, JNJ belongs to the top of the industry, outperforming 84.31% of the companies in the same industry.
- With a decent Return On Invested Capital value of 15.05%, JNJ is doing good in the industry, outperforming 78.43% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for JNJ is in line with the industry average of 13.61%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.46% | ||
| ROE | 32.87% | ||
| ROIC | 15.05% |
ROA(3y)14.08%
ROA(5y)12.66%
ROE(3y)34.55%
ROE(5y)31.04%
ROIC(3y)15.58%
ROIC(5y)14.64%
1.3 Margins
- Looking at the Profit Margin, with a value of 28.46%, JNJ belongs to the top of the industry, outperforming 94.12% of the companies in the same industry.
- JNJ's Profit Margin has improved in the last couple of years.
- The Operating Margin of JNJ (28.55%) is better than 78.43% of its industry peers.
- In the last couple of years the Operating Margin of JNJ has grown nicely.
- With a Gross Margin value of 67.98%, JNJ perfoms like the industry average, outperforming 47.06% of the companies in the same industry.
- JNJ's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.55% | ||
| PM (TTM) | 28.46% | ||
| GM | 67.98% |
OM growth 3Y-0.34%
OM growth 5Y3.01%
PM growth 3Y8.26%
PM growth 5Y9.82%
GM growth 3Y-0.62%
GM growth 5Y0.68%
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.
- The number of shares outstanding for JNJ has been reduced compared to 5 years ago.
- Compared to 1 year ago, JNJ has a worse debt to assets ratio.
2.2 Solvency
- JNJ has an Altman-Z score of 4.98. This indicates that JNJ is financially healthy and has little risk of bankruptcy at the moment.
- JNJ's Altman-Z score of 4.98 is fine compared to the rest of the industry. JNJ outperforms 74.51% 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.
- Looking at the Debt to FCF ratio, with a value of 2.43, JNJ is in the better half of the industry, outperforming 70.59% of the companies in the same industry.
- A Debt/Equity ratio of 0.56 indicates that JNJ is somewhat dependend on debt financing.
- JNJ has a Debt to Equity ratio (0.56) which is in line with its industry peers.
- Although JNJ'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 | 4.98 |
ROIC/WACC1.55
WACC9.68%
2.3 Liquidity
- A Current Ratio of 1.03 indicates that JNJ should not have too much problems paying its short term obligations.
- The Current ratio of JNJ (1.03) is worse than 68.63% of its industry peers.
- A Quick Ratio of 0.77 indicates that JNJ may have some problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 0.77, JNJ is doing worse than 70.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.03 | ||
| Quick Ratio | 0.77 |
3. JNJ.DE Growth Analysis
3.1 Past
- JNJ shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.77%.
- 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 7.87%.
- JNJ shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.67% yearly.
EPS 1Y (TTM)6.77%
EPS 3Y2.06%
EPS 5Y6.11%
EPS Q2Q%-2.53%
Revenue 1Y (TTM)7.87%
Revenue growth 3Y5.6%
Revenue growth 5Y2.67%
Sales Q2Q%9.91%
3.2 Future
- The Earnings Per Share is expected to grow by 8.75% on average over the next years. This is quite good.
- 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 Y7.91%
EPS Next 2Y8.38%
EPS Next 3Y8.73%
EPS Next 5Y8.75%
Revenue Next Year7.43%
Revenue Next 2Y6.86%
Revenue Next 3Y6.73%
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.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. JNJ.DE Valuation Analysis
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 21.04, which indicates a rather expensive current valuation of JNJ.
- JNJ's Price/Earnings ratio is in line with the industry average.
- JNJ is valuated rather cheaply when we compare the Price/Earnings ratio to 27.95, which is the current average of the S&P500 Index.
- Based on the Price/Forward Earnings ratio of 17.79, the valuation of JNJ can be described as rather expensive.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of JNJ is on the same level as its industry peers.
- JNJ's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 38.68.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.04 | ||
| Fwd PE | 17.79 |
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 in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.6 | ||
| EV/EBITDA | 16.62 |
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.
- The decent profitability rating of JNJ may justify a higher PE ratio.
PEG (NY)2.66
PEG (5Y)3.45
EPS Next 2Y8.38%
EPS Next 3Y8.73%
5. JNJ.DE Dividend Analysis
5.1 Amount
- JNJ has a Yearly Dividend Yield of 2.29%.
- JNJ's Dividend Yield is a higher than the industry average which is at 1.89.
- JNJ's Dividend Yield is a higher than the S&P500 average which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.29% |
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
- JNJ pays out 46.19% of its income as dividend. This is a bit on the high side, but may be sustainable.
- JNJ'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 2Y8.38%
EPS Next 3Y8.73%
JNJ.DE Fundamentals: All Metrics, Ratios and Statistics
FRA:JNJ (4/21/2026, 5:29:34 PM)
191.92
-6.18 (-3.12%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Earnings (Last)04-14 2026-04-14/bmo
Earnings (Next)07-14 2026-07-14
Inst Owners75.61%
Inst Owner ChangeN/A
Ins Owners0.04%
Ins Owner ChangeN/A
Market Cap462.26B
Revenue(TTM)96.36B
Net Income(TTM)26.80B
Analysts76.25
Price Target208.28 (8.52%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.29% |
Yearly Dividend4.36
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)3.72%
PT rev (3m)13.96%
EPS NQ rev (1m)-0.31%
EPS NQ rev (3m)-2.86%
EPS NY rev (1m)0.06%
EPS NY rev (3m)-0.03%
Revenue NQ rev (1m)0.1%
Revenue NQ rev (3m)1.88%
Revenue NY rev (1m)0.22%
Revenue NY rev (3m)1.83%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.04 | ||
| Fwd PE | 17.79 | ||
| P/S | 5.77 | ||
| P/FCF | 27.6 | ||
| P/OCF | 22.16 | ||
| P/B | 6.67 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.62 |
EPS(TTM)9.12
EY4.75%
EPS(NY)10.79
Fwd EY5.62%
FCF(TTM)6.95
FCFY3.62%
OCF(TTM)8.66
OCFY4.51%
SpS33.25
BVpS28.79
TBVpS-6.22
PEG (NY)2.66
PEG (5Y)3.45
Graham Number76.8595 (-59.95%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.46% | ||
| ROE | 32.87% | ||
| ROCE | 18.53% | ||
| ROIC | 15.05% | ||
| ROICexc | 17.35% | ||
| ROICexgc | 70.6% | ||
| OM | 28.55% | ||
| PM (TTM) | 28.46% | ||
| GM | 67.98% | ||
| FCFM | 20.91% |
ROA(3y)14.08%
ROA(5y)12.66%
ROE(3y)34.55%
ROE(5y)31.04%
ROIC(3y)15.58%
ROIC(5y)14.64%
ROICexc(3y)18.74%
ROICexc(5y)17.83%
ROICexgc(3y)70.93%
ROICexgc(5y)71.82%
ROCE(3y)18.94%
ROCE(5y)17.92%
ROICexgc growth 3Y-2.46%
ROICexgc growth 5Y-5.65%
ROICexc growth 3Y1.88%
ROICexc growth 5Y1.69%
OM growth 3Y-0.34%
OM growth 5Y3.01%
PM growth 3Y8.26%
PM growth 5Y9.82%
GM growth 3Y-0.62%
GM growth 5Y0.68%
F-Score4
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 2.43 | ||
| Debt/EBITDA | 1.34 | ||
| Cap/Depr | 64.4% | ||
| Cap/Sales | 5.13% | ||
| Interest Coverage | 7 | ||
| Cash Conversion | 71.32% | ||
| Profit Quality | 73.49% | ||
| Current Ratio | 1.03 | ||
| Quick Ratio | 0.77 | ||
| Altman-Z | 4.98 |
F-Score4
WACC9.68%
ROIC/WACC1.55
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)6.77%
EPS 3Y2.06%
EPS 5Y6.11%
EPS Q2Q%-2.53%
EPS Next Y7.91%
EPS Next 2Y8.38%
EPS Next 3Y8.73%
EPS Next 5Y8.75%
Revenue 1Y (TTM)7.87%
Revenue growth 3Y5.6%
Revenue growth 5Y2.67%
Sales Q2Q%9.91%
Revenue Next Year7.43%
Revenue Next 2Y6.86%
Revenue Next 3Y6.73%
Revenue Next 5Y6.02%
EBIT growth 1Y15.95%
EBIT growth 3Y5.24%
EBIT growth 5Y5.76%
EBIT Next Year23.27%
EBIT Next 3Y11.78%
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 3 / 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 7.91% in the next year.