JOHNSON & JOHNSON (JNJ.DE) Fundamental Analysis & Valuation
FRA:JNJ • US4781601046
Current stock price
195.78 EUR
+1.6 (+0.82%)
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
- In the past year JNJ was profitable.
- JNJ had a positive operating cash flow in the past year.
- In the past 5 years JNJ has always been profitable.
- Each year in the past 5 years JNJ had a positive operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of 13.46%, JNJ belongs to the top of the industry, outperforming 89.80% of the companies in the same industry.
- JNJ has a better Return On Equity (32.87%) than 79.59% of its industry peers.
- JNJ has a better Return On Invested Capital (15.05%) than 75.51% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for JNJ is in line with the industry average of 14.21%.
| 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 93.88% of the companies in the same industry.
- JNJ's Profit Margin has improved in the last couple of years.
- Looking at the Operating Margin, with a value of 28.55%, JNJ is in the better half of the industry, outperforming 75.51% of the companies in the same industry.
- JNJ's Operating Margin has improved in the last couple of years.
- With a Gross Margin value of 67.98%, JNJ perfoms like the industry average, outperforming 44.90% 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
- JNJ has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- Compared to 1 year ago, JNJ has about the same amount of shares outstanding.
- Compared to 5 years ago, JNJ has less shares outstanding
- Compared to 1 year ago, JNJ has a worse debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 4.91 indicates that JNJ is not in any danger for bankruptcy at the moment.
- With a decent Altman-Z score value of 4.91, JNJ is doing good in the industry, outperforming 73.47% of the companies in the same industry.
- 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 better Debt to FCF ratio (2.43) than 77.55% of its industry peers.
- A Debt/Equity ratio of 0.56 indicates that JNJ is somewhat dependend on debt financing.
- With a Debt to Equity ratio value of 0.56, JNJ perfoms like the industry average, outperforming 55.10% of the companies in the same industry.
- 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 | 4.91 |
ROIC/WACC1.52
WACC9.9%
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.
- JNJ's Current ratio of 1.03 is on the low side compared to the rest of the industry. JNJ is outperformed by 65.31% of its industry peers.
- JNJ has a Quick Ratio of 1.03. This is a bad value and indicates that JNJ is not financially healthy enough and could expect problems in meeting its short term obligations.
- The Quick ratio of JNJ (0.77) is worse than 71.43% 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 small growth in Earnings Per Share. In the last year, the EPS has grown by 6.77%.
- The Earnings Per Share has been growing slightly by 6.11% on average over the past years.
- The Revenue has been growing slightly by 7.87% in the past year.
- 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
- JNJ is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.75% yearly.
- JNJ is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.80% yearly.
EPS Next Y7.91%
EPS Next 2Y8.38%
EPS Next 3Y8.73%
EPS Next 5Y9.75%
Revenue Next Year7.43%
Revenue Next 2Y6.86%
Revenue Next 3Y6.73%
Revenue Next 5Y6.8%
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.
- 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
- Based on the Price/Earnings ratio of 21.35, the valuation of JNJ can be described as rather expensive.
- JNJ's Price/Earnings is on the same level as the industry average.
- When comparing the Price/Earnings ratio of JNJ to the average of the S&P500 Index (26.77), we can say JNJ is valued slightly cheaper.
- JNJ is valuated rather expensively with a Price/Forward Earnings ratio of 18.07.
- JNJ's Price/Forward Earnings is on the same level as the industry average.
- The average S&P500 Price/Forward Earnings ratio is at 21.75. JNJ is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.35 | ||
| Fwd PE | 18.07 |
4.2 Price Multiples
- JNJ's Enterprise Value to EBITDA is on the same level as the industry average.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of JNJ indicates a slightly more expensive valuation: JNJ is more expensive than 61.22% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.02 | ||
| EV/EBITDA | 16.23 |
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)2.7
PEG (5Y)3.5
EPS Next 2Y8.38%
EPS Next 3Y8.73%
5. JNJ.DE Dividend Analysis
5.1 Amount
- JNJ has a Yearly Dividend Yield of 2.32%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 1.96, JNJ pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.82, JNJ pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.32% |
5.2 History
- On average, the dividend of JNJ grows each year by 7.68%, which is quite nice.
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, but earnings are growing more, so 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 (4/30/2026, 7:00:00 PM)
195.78
+1.6 (+0.82%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticals
Industry Strength65.84
Industry Growth15.53
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 Cap471.56B
Revenue(TTM)96.36B
Net Income(TTM)26.80B
Analysts76.25
Price Target208.28 (6.38%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.32% |
Yearly Dividend4.39
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)-0.22%
EPS NQ rev (3m)-0.24%
EPS NY rev (1m)0.06%
EPS NY rev (3m)0.82%
Revenue NQ rev (1m)0.04%
Revenue NQ rev (3m)0.39%
Revenue NY rev (1m)0.22%
Revenue NY rev (3m)0.62%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.35 | ||
| Fwd PE | 18.07 | ||
| P/S | 5.86 | ||
| P/FCF | 28.02 | ||
| P/OCF | 22.5 | ||
| P/B | 6.77 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.23 |
EPS(TTM)9.17
EY4.68%
EPS(NY)10.84
Fwd EY5.54%
FCF(TTM)6.99
FCFY3.57%
OCF(TTM)8.7
OCFY4.44%
SpS33.41
BVpS28.92
TBVpS-6.25
PEG (NY)2.7
PEG (5Y)3.5
Graham Number77.2475 (-60.54%)
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 | 4.91 |
F-Score4
WACC9.9%
ROIC/WACC1.52
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 5Y9.75%
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 5Y6.8%
EBIT growth 1Y15.95%
EBIT growth 3Y5.24%
EBIT growth 5Y5.76%
EBIT Next Year23.27%
EBIT Next 3Y11.78%
EBIT Next 5Y9.67%
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 7.91% in the next year.