JOHNSON & JOHNSON (JNJ.DE) Fundamental Analysis & Valuation
FRA:JNJ • US4781601046
Current stock price
204.55 EUR
-0.95 (-0.46%)
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.
- Each year in the past 5 years JNJ has been profitable.
- JNJ had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- With an excellent Return On Assets value of 13.46%, JNJ belongs to the best of the industry, outperforming 88.24% of the companies in the same industry.
- With a decent Return On Equity value of 32.87%, JNJ is doing good in the industry, outperforming 78.43% of the companies in the same industry.
- JNJ has a Return On Invested Capital of 14.37%. This is in the better half of the industry: JNJ outperforms 72.55% of its industry peers.
- 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
- With an excellent Profit Margin value of 28.46%, JNJ belongs to the best of the industry, outperforming 92.16% of the companies in the same industry.
- JNJ's Profit Margin has improved in the last couple of years.
- JNJ has a better Operating Margin (27.78%) than 72.55% of its industry peers.
- JNJ's Operating Margin has improved in the last couple of years.
- Looking at the Gross Margin, with a value of 67.92%, JNJ is in line with its industry, outperforming 49.02% of the companies in the same 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
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), JNJ is creating some value.
- Compared to 1 year ago, JNJ has about the same amount of shares outstanding.
- The number of shares outstanding for JNJ has been reduced compared to 5 years ago.
- The debt/assets ratio for JNJ is higher compared to a year ago.
2.2 Solvency
- An Altman-Z score of 5.02 indicates that JNJ is not in any danger for bankruptcy at the moment.
- The Altman-Z score of JNJ (5.02) is better than 72.55% of its industry peers.
- JNJ has a debt to FCF ratio of 2.43. This is a good value and a sign of high solvency as JNJ would need 2.43 years to pay back of 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 74.51% of its industry peers.
- A Debt/Equity ratio of 0.56 indicates that JNJ is somewhat dependend on debt financing.
- JNJ has a Debt to Equity ratio of 0.56. This is comparable to the rest of the industry: JNJ outperforms 54.90% of its industry peers.
- 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 | 5.02 |
ROIC/WACC1.53
WACC9.41%
2.3 Liquidity
- A Current Ratio of 1.03 indicates that JNJ should not have too much problems paying its short term obligations.
- With a Current ratio value of 1.03, JNJ is not doing good in the industry: 70.59% of the companies in the same industry are doing better.
- 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 72.55% 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
- The Earnings Per Share is expected to grow by 8.75% on average over the next years. This is quite good.
- The Revenue is expected to grow by 6.02% on average over the next years.
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
- 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 21.90, the valuation of JNJ can be described as rather expensive.
- The rest of the industry has a similar Price/Earnings ratio as JNJ.
- JNJ's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.91.
- With a Price/Forward Earnings ratio of 20.30, JNJ is valued on the expensive side.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of JNJ is on the same level as its industry peers.
- When comparing the Price/Forward Earnings ratio of JNJ to the average of the S&P500 Index (23.69), we can say JNJ is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.9 | ||
| Fwd PE | 20.3 |
4.2 Price Multiples
- JNJ's Enterprise Value to EBITDA ratio is in line with the industry average.
- JNJ's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.91 | ||
| EV/EBITDA | 17.3 |
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)2.79
PEG (5Y)3.59
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.
- Compared to an average industry Dividend Yield of 1.94, JNJ pays a bit more dividend than its industry peers.
- JNJ's Dividend Yield is comparable with the S&P500 average which is at 1.89.
| 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 (4/8/2026, 7:00:00 PM)
204.55
-0.95 (-0.46%)
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 Cap492.68B
Revenue(TTM)94.19B
Net Income(TTM)26.80B
Analysts76.25
Price Target200.81 (-1.83%)
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 | 21.9 | ||
| Fwd PE | 20.3 | ||
| P/S | 6.04 | ||
| P/FCF | 28.91 | ||
| P/OCF | 23.21 | ||
| P/B | 6.98 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.3 |
EPS(TTM)9.34
EY4.57%
EPS(NY)10.08
Fwd EY4.93%
FCF(TTM)7.08
FCFY3.46%
OCF(TTM)8.81
OCFY4.31%
SpS33.84
BVpS29.29
TBVpS-6.33
PEG (NY)2.79
PEG (5Y)3.59
Graham Number78.46
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 | 5.02 |
F-Score4
WACC9.41%
ROIC/WACC1.53
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.