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
- JNJ had positive earnings in the past year.
- 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
- JNJ's Return On Assets of 13.46% is amongst the best of the industry. JNJ outperforms 89.80% of its industry peers.
- JNJ's Return On Equity of 32.87% is fine compared to the rest of the industry. JNJ outperforms 79.59% of its industry peers.
- JNJ has a better Return On Invested Capital (15.05%) than 75.51% of its industry peers.
- JNJ had an Average Return On Invested Capital over the past 3 years of 15.58%. This 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.
- In the last couple of years the Profit Margin of JNJ has grown nicely.
- 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.
- Looking at the Gross Margin, with a value of 67.98%, JNJ is in line with its industry, outperforming 44.90% 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 | 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
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), JNJ is creating some value.
- JNJ has about the same amout of shares outstanding than it did 1 year ago.
- 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
- JNJ has an Altman-Z score of 4.93. This indicates that JNJ is financially healthy and has little risk of bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 4.93, JNJ is in the better half of 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.
- JNJ has a Debt to Equity ratio (0.56) which 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 | 4.93 |
ROIC/WACC1.52
WACC9.9%
2.3 Liquidity
- A Current Ratio of 1.03 indicates that JNJ should not have too much problems paying its short term obligations.
- JNJ has a Current ratio of 1.03. This is in the lower half of the industry: JNJ underperforms 65.31% of its industry peers.
- A Quick Ratio of 0.77 indicates that JNJ may have some problems paying its short term obligations.
- JNJ has a worse Quick ratio (0.77) 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%.
- JNJ shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.11% yearly.
- The Revenue has been growing slightly by 7.87% in the past year.
- The Revenue has been growing slightly by 2.67% on average over the past years.
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.
- The Revenue is expected to grow by 6.80% on average over the next years.
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.
- 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
- JNJ is valuated rather expensively with a Price/Earnings ratio of 21.35.
- The rest of the industry has a similar Price/Earnings ratio as JNJ.
- JNJ's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.77.
- Based on the Price/Forward Earnings ratio of 18.06, 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 similar valuation than the S&P500 average which is at 21.75.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.35 | ||
| Fwd PE | 18.06 |
4.2 Price Multiples
- JNJ's Enterprise Value to EBITDA ratio is in line with the industry average.
- 61.22% of the companies in the same industry are cheaper than JNJ, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 28.01 | ||
| EV/EBITDA | 16.35 |
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)2.7
PEG (5Y)3.5
EPS Next 2Y8.38%
EPS Next 3Y8.73%
5. JNJ.DE Dividend Analysis
5.1 Amount
- With a Yearly Dividend Yield of 2.32%, JNJ has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 1.96, JNJ pays a bit more dividend than its industry peers.
- JNJ's Dividend Yield is a higher than the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.32% |
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, 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 | 18.06 | ||
| P/S | 5.86 | ||
| P/FCF | 28.01 | ||
| P/OCF | 22.5 | ||
| P/B | 6.77 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.35 |
EPS(TTM)9.17
EY4.68%
EPS(NY)10.84
Fwd EY5.54%
FCF(TTM)6.99
FCFY3.57%
OCF(TTM)8.7
OCFY4.45%
SpS33.42
BVpS28.93
TBVpS-6.26
PEG (NY)2.7
PEG (5Y)3.5
Graham Number77.2607 (-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 | 4.93 |
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.