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FRESH Analysis Report
Jun 23, 2026
4 days ago · 100% complete · +8 refreshed

Johnson & Johnson

JNJ NYSE Categories PDF
Healthcare · Drug Manufacturers - General
New Brunswick, NJ 08933, United States IPO 1943 jnj.com Updated Jun 23, 3:00am
Price
$231.29
Market Cap
$556.8B
Employees
138,100
Beta
0.26
Avg Volume
7,767,832
CEO
Joaquin Duato
Business Description

Johnson & Johnson (JNJ) operates globally, engaging in the research, development, production, and distribution of a diverse range of healthcare products. In a pivotal strategic move in 2023, the company divested its Consumer Health division, establishing it as the independent entity Kenvue Inc. This separation was implemented to allow J&J to sharpen its focus on higher-growth, innovation-led areas. Consequently, well-known consumer brands like TYLENOL, LISTERINE, and BAND-AID are now part of Kenvue's portfolio. Johnson & Johnson's current operations are centered around two primary divisions: Innovative Medicine and MedTech. The Innovative Medicine segment, formerly known as Pharmaceuticals, specializes in prescription drugs designed to treat complex ailments such as rheumatoid arthritis, various forms of cancer, HIV/AIDS, and neurodegenerative disorders. Its MedTech division, encompassing Medical Devices, delivers cutting-edge technological solutions, including electrophysiology equipment, neurovascular care products, orthopaedic implants for hips, knees, and spine, advanced surgical technologies, and ACUVUE brand disposable contact lenses. These two streamlined segments primarily cater to a client base comprising hospitals, medical professionals, wholesale distributors, and retail outlets. From its headquarters in New Brunswick, New Jersey, Johnson & Johnson continues to uphold its enduring mission of advancing human health, a commitment it has maintained since its founding in 1886.

Business History
Generated: Jun 23, 2026 3:03am
Price Overview
Last updated: Jun 23, 2026 3:00am (4d ago)
$231.29
+2.90 (+1.27%)
Day Range
$227.51 – $231.43
52-Week Range
$150.73 – $251.71
50-Day MA
$230.17
200-Day MA
$216.00
Volume
8,393,040.00
Analyst Price Targets
Low $208.00
Consensus $251.55
High $283.00
(83 analysts)
Share Structure
Outstanding 2,407,216,971.00
Float 2,403,220,991.00
Free Float 99.8%
High free float — 99.8% of shares trade freely, ~0.2% held by insiders/institutions
Very liquid — most shares trade freely. Low insider ownership can mean less management alignment, but makes large position sizing straightforward.
Price History (1 Year)
Last updated: Jun 23, 2026 3:07am (4d ago)
Revenue & Net Income Trend
The directional story — useful even when net income is negative.
Last updated: Jun 23, 2026 3:04am (4d ago)
Revenue
The top line — total sales before any costs or taxes are subtracted. A measure of how much business the company is doing.
Net Income
The bottom line — profit left after subtracting all expenses, interest, and taxes from revenue. Reflects accounting profitability, but includes non-cash items like depreciation, so it isn't the same as cash earned.
Operating Cash Flow
The real cash generated by the day-to-day business — selling products, paying suppliers, collecting from customers. Calculated from net income by adding back non-cash items and adjusting for timing (unpaid bills, unsold inventory). When OCF consistently lags net income, the reported profit may not be converting to real money.
Period Revenue Net Income Net Margin YoY/QoQ
Key Metrics
API Direct from provider CALC Derived from statements
Industry comparison last run: Jun 23, 2026 3:02am
P/E Ratio (Price per dollar of earnings)
API
Stock Price / EPS (Diluted)
26.88
Stock Price: $231.29
EPS (Diluted): 11.03
P/B Ratio (Price vs net asset value)
API
Stock Price / Book Value Per Share
6.18
Stock Price: $231.29
Total Equity: $81.54B
Shares: 2,429,400,000
EV/EBITDA (Total value vs operating profit)
API
Enterprise Value / EBITDA
17.62
Market Cap: $556.77B
Total Debt: $47.93B
Cash: $19.71B
EBITDA: $41.06B
Enterprise Value (Takeover price (cap + debt - cash))
API
Market Cap + Total Debt - Cash
$532.3B
Market Cap: $556.77B
Total Debt: $47.93B
Cash: $19.71B
Gross Margin (Revenue left after direct costs)
API
Gross Profit / Revenue
72.8%
Gross Profit: $68.56B
Revenue: $94.19B
Operating Margin (Revenue left after all operations)
API
Operating Income / Revenue
27.2%
Operating Income: $25.60B
Revenue: $94.19B
Net Margin (Revenue left as actual profit)
API
Net Income / Revenue
28.5%
Net Income: $26.80B
Revenue: $94.19B
ROE (Profit from shareholder equity)
API
Net Income / Total Equity
26.3%
Net Income: $26.80B
Total Equity: $81.54B
ROIC (Profit from all invested capital)
API
NOPAT / Invested Capital
13.6%
Operating Income: $25.60B
Tax Rate: 17.7%
Equity: $81.54B
Total Debt: $47.93B
Cash: $19.71B
Current Ratio (Can it pay short-term bills)
API
Current Assets / Current Liabilities
1.03
Current Assets: $55.62B
Current Liabilities: $54.13B
Debt/Equity (Leverage — debt vs equity)
CALC
Total Debt / Total Equity
0.59
Short-Term Debt: $8.50B
Long-Term Debt: $39.44B
Total Debt: $47.93B
Total Equity: $81.54B
Rev/Share (Top-line per share)
CALC
Revenue / Shares Outstanding
$38.77
Revenue: $94.19B
Shares: 2,429,400,000
Book Value/Share (Net assets per share)
CALC
(Total Assets - Total Liabilities) / Shares
$33.57
Total Equity: $81.54B
Shares: 2,429,400,000
FCF/Share (Real cash generated per share)
CALC
(Operating Cash Flow + CapEx) / Shares
$8.11
Operating CF: $24.53B
CapEx: -$4.83B
Shares: 2,429,400,000
CapEx is negative (outflow) — added to OCF to get FCF
Div Yield (Annual income from holding)
API
Last Annual Dividend / Stock Price
2.5%
Last Dividend: N/A
Stock Price: $231.29
Payout Ratio (Earnings paid out as dividends)
Dividends Paid / Net Income
Dividends Paid: N/A
Net Income: $26.80B
Dividends paid not available in cash flow statement
Industry Benchmarks
Last run: Jun 23, 2026 3:02am
Compares JNJ against LLM-researched typical ranges for its industry. One research call per industry, cached indefinitely — every stock in the same industry reuses the same baseline.
Advanced Analysis Forensic deep-dive · three lenses
Three separate reads — Company Quality (is it a great business?), Valuation (is it mispriced?), and General Sentiment (how macro + narrative are pushing it), kept deliberately apart · 2026-06-23 03:11:42
Delvantic - Cairn AI
Quality — wait for a dip 8/10
Elite Fortress-quality franchise (+87) trading ~20% above deserved value (-77) with a balanced-to-slightly-soft tape (-10) — right business, wrong price.
The cruxWhether I get a real pullback toward composite FV (~$190) before pipeline conversion validates today's premium multiple.
Forensic checks Derived mechanically from JNJ's filed financials — not from the AI lenses
Liquidity & RunwaySelf-Funding
DilutionShare Count Shrinking
Earnings QualityHigh Earnings Quality
The three lensesswitch a tab for its full read — score + evidence
Company Quality
+87
Fortress
edge √Σ 153 · risk √Σ 66 · conf 8/10

JNJ is operating as a mature compounder with high earnings integrity. Revenue grew from 78.7B in 2022 to 94.2B in 2025 (about 6% CAGR), gross margin expanded from 70.3% to 72.8%, and operating margin held in the 25-27% range despite the Kenvue separation noise. FCF is remarkably stable at roughly 19-20B per year, OCF/NI of 1.12x, accruals of -0.1% of assets, Beneish M of -2.5 and Altman Z of 4.93 all corroborate that reported earnings are real cash, not accounting fiction.

Strengths 4
m85
Clean earnings quality
OCF/NI 1.12x, accruals -0.1% of assets, Beneish -2.5, Altman Z 4.93 (safe). Mechanical checks show no manipulation flags and cash conversion exceeds accounting income.
m78
Per-share value concentration
Diluted shares fell from 2.67B (2022) to 2.43B (2025), a -2.4% CAGR. Buyback/SBC of 384% means management is a net retirer of stock, with SBC modest at 1.4% of revenue.
m72
Gross margin expansion
GM rose from 70.3% in 2022 to 72.8% in 2025, an unusual achievement at this scale and indicative of pricing power and favorable mix shift (Innovative Medicine/Oncology).
m70
Durable FCF generation
FCF of roughly 17-20B every year regardless of net income volatility (which swung from 14B to 35B due to one-offs). The business self-funds and does not need capital markets.
Concerns 4
m40
Net debt position
Net cash is -27.8B; cash of 20.1B is only 3.6% of market cap. Balance sheet is a constraint rather than a cushion, though FCF easily services it.
m35
Net income volatility
Net income swung 14.1B (2024) to 35.2B (2023 restated) to 26.8B (2025), reflecting talc litigation reserves, Kenvue separation gains, and IPR&D charges. Headline EPS is noisy even if underlying cash is steady.
m25
No insider open-market buying
10 sells totaling 40.6M, zero open-market buys in 12 months. Pattern is routine option-exercise-and-sell rather than conviction selling, but no insider is stepping up either.
m30
Operating margin softness in 2024
OpM dipped to 24.9% in 2024 before recovering to 27.2% in 2025; worth watching whether the rebound holds against Stelara biosimilar erosion.
This is a legitimately high-quality business. Margins are expanding at 90B+ revenue scale, cash conversion is north of 100%, the forensic flags are all clean, and management is shrinking the share count by 2.4% per year while keeping SBC modest. The talc overhang and Stelara LOE are real but the franchise has absorbed worse. I'd call it a Fortress with the caveat that the balance sheet is leveraged rather than cash-rich and reported EPS is lumpy. The business itself is in the top decile of large-cap quality.
Verify before trusting this (5)
  • Magnitude and duration of Stelara biosimilar revenue cliff and offsetting growth from Darzalex, Tremfya, Carvykti
  • Remaining talc litigation reserve adequacy and any going-forward cash settlement schedule
  • Pipeline depth in Innovative Medicine and MedTech post-Kenvue spin
  • Composition of 2025 net income (one-time items vs underlying), to confirm 27.2% OpM is repeatable
  • Debt maturity ladder against the 27.8B net debt position
Valuation / Mispricing
-77
Rich
edge √Σ 25 · risk √Σ 102 · conf 7/10
Price $231 vs deserved ~$190-$215 - roughly 8-20% overvalued, no margin of safety. attractive below $190.00

Composite FV lands at $193.25 and the signal-adjusted FV at $185.90 against a $231.29 price, implying roughly -20% downside to deserved value. Even the most generous method here, DCF at $225.29, still sits below the tape, while the anchored P/E of $214.03 and an EPV floor of $108.40 bracket a deserved range of roughly $185-$215. The market is paying a full premium for a Fortress-quality franchise that it already understands well; there is no hidden gap. Earnings quality is high, so no haircut is warranted - if anything that supports the upper end of the deserved range near $215. But Stelara LOE in 2025, biosimilar pressure, and a lingering talc tail argue against stretching the multiple further. To justify $231 you need pipeline conversion (oncology/immunology) plus MedTech acceleration to land cleanly - a reasonable base case but not a discounted one. Bottom line: a great business at a fair-to-full price. The quality grade raises deserved value, but it does not create cheapness. I want a real discount to the composite before this is interesting on valuation alone.

Cheap signals 1
m25
Quality lifts deserved value toward $215
Anchored P/E $214 plus Fortress quality, clean earnings, 100%+ cash conversion and 2.4% annual buyback justify the upper deserved band, narrowing (but not closing) the gap.
Rich / priced-in 4
m70
Price 20% above signal-adjusted FV
Signal-adjusted FV $185.90 vs $231.29 price implies -20% to deserved value; even the composite $193.25 is ~16% below tape.
m55
DCF itself is below price
The most growth-friendly method, DCF at $225.29, still sits under $231 - you are paying above even the optimistic anchor.
m45
Stelara LOE not in the multiple
Loss of exclusivity in 2025 plus biosimilar pressure should compress near-term EPS, yet the stock trades at a premium multiple as if pipeline conversion is a done deal.
m20
EPV floor signals limited downside support only at much lower prices
EPV at $108 implies the no-growth business is worth less than half the tape - if pipeline disappoints, the floor is far below.
Fully valued. This is a genuinely elite franchise but the market knows it - I am being asked to pay ~20% above composite fair value with a known LOE cliff in front of me. Quality earns a premium, not a blank check. I need this closer to $190 before it is interesting; in the $200-$215 zone it is merely fair. I am not short, I am simply not a buyer here.
Verify before trusting this (5)
  • 2025 guidance quantifying Stelara biosimilar erosion and offsetting growth from Tremfya, Darzalex, Carvykti
  • MedTech organic growth trajectory post-Shockwave integration
  • Talc settlement final cash outlay and timing
  • Net debt and capital allocation after recent M and A - effect on per-share deserved value
  • R and D productivity: late-stage oncology/immunology readouts that could re-rate the pipeline
General Sentiment
-10
Balanced
tail √Σ 52 · head √Σ 63 · conf 7/10

JNJ sits in the calmest corner of the tape: beta 0.26 means the neutral-to-slightly-cautious regime (VIX 17, 10y 4.51%) lands as background noise, not pressure. The narrative is a durable but moderate-intensity steady-compounder story with low cult coefficient - nobody is euphoric, nobody is panicking. That insulates the name but also denies it any sentiment lift while AI/momentum cohorts soak up flows elsewhere. News flow is constructive but low-voltage: a $1B+ Jacksonville Vision expansion and inclusion in O'Leary's quality-dividend ETF reinforce the fortress image without moving hearts. The competing pharma headlines (AbbVie buying Apogee, Merck's post-Keytruda pipeline) implicitly remind the market that JNJ's own Stelara LOE answer is less crisp - a soft narrative headwind within the sector. Analyst tone is mildly supportive (Buy consensus, target $251 vs $231, ~9% upside) but zero revisions this month signals indifference, not conviction. Backward-looking Buys against a flat narrative is classic late-cycle stasis - no divergence to exploit either way. Net: pressure is genuinely balanced, with a slight defensive tailwind from the macro setup offset by a quietly fading relative-pharma story.

Tailwinds 3
m35
Low-beta defensive shield
Beta 0.26 means the cautious tape (VIX 17, S&P off highs) barely transmits. In a neutral-but-edgy regime, defensive pharma is where passive and dividend flows park.
m30
Quality-dividend ETF / O'Leary endorsement
Visible inclusion as a 5.3% weight in a quality-dividend ETF and constructive US-manufacturing headlines reinforce the fortress framing without requiring new believers.
m25
Analyst consensus mildly supportive
21 Buys vs 3 Sells and a $251 target provide a soft floor, though zero revisions this month show the Street is not actively championing the name.
Headwinds 4
m45
Stelara LOE narrative drag vs peers
Sector headlines feature AbbVie's post-Humira success and Merck's pipeline answer to Keytruda - implicitly highlighting that JNJ's Stelara cliff lacks the same crisp bull narrative, pressuring relative multiples.
m30
Story has no momentum hook
Moderate intensity, low cult, steady-compounder archetype gets no flow in a tape that rewards AI and high-conviction narratives. Capital rotates past it.
m25
Rates / market-PE pressure on long-duration cash flows
10y at 4.51% is a mild but persistent headwind for dividend-yield equities; muted by JNJ's defensiveness but not absent.
m20
Weak 3-year relative momentum
-12.8pp 3y underperformance and rising D/E feed a quiet 'dead money' perception that keeps generalist buyers away even as defensives are technically in favor.
Net pressure here is genuinely balanced and leans only slightly defensive-positive. The macro tape is too mild and JNJ's beta too low for the regime to matter much, and the narrative is durable enough that it is not breaking - but it is also not winning. The real sentiment tell is the zero analyst revisions paired with sector headlines that keep spotlighting AbbVie and Merck's pipeline stories instead of J&J's; that is a quiet relative-narrative headwind inside a defensive shell. I would call this a stock the market has stopped arguing about, which means sentiment will not be the source of either upside or downside - it gets out of the way and lets fundamentals and valuation do the work.
Verify before trusting this (4)
  • Stelara biosimilar erosion pace in next earnings - any positive surprise would re-rate the narrative
  • Oncology pipeline readouts (Rybrevant, Talvey) that could give the story a real pharma-innovation hook
  • Whether a true risk-off shift (VIX > 22) triggers defensive rotation flows into JNJ
  • Analyst target revisions - the 0-revision month is the clearest sign of sentiment stasis to watch break
The market-wide tape + this name's exposure to it (beta / sector / narrative durability). Context on the non-fundamental pressure — not a call on the business or the price. processId: detail-general-sentiment
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Three lenses kept deliberately separate — Company Quality (price-agnostic), Valuation (price-conditional), and General Sentiment (non-fundamental macro/narrative pressure). The scores are not blended. Filing-level items (convertibles, lock-ups, customer concentration) are v2 — see each lens's "verify."
Deep Analysis
Last run: Jun 23, 2026 3:06:22 am

Pre-flight intelligence scans the company first, then routes to the right analytical methods.

0 Company Classification — What type of company is this?
1 Industry Landscape — Where is the industry headed?
2 Company Momentum — Where is this company trending?
3 Forward Projection — 1Y & 2Y projected metrics (requires Layer 1 + 2)
4a DCF Valuation — Present value of future cash flows
4b Earnings Power Value — Floor value — worth with zero growth
4c Anchored PE — Industry PE adjusted for growth differential
4d Reverse DCF — What growth is the market pricing in?
4e Revenue-Based DCF — For growth/narrative companies (skip if mature earner)
Not applicable for Mature Earner companies
4f Anchored P/S — Price-to-Sales peer comparison (skip if mature earner)
Not applicable for Mature Earner companies
4g Scenario Analysis — Bull / Base / Bear (skip if mature earner)
Not applicable for Mature Earner companies
4h Dividend Discount Model — For dividend/income stocks only
Not applicable for Mature Earner companies
4i Book Value Analysis — For deep value / turnaround stocks only
Not applicable for Mature Earner companies
4j Insider Activity — Are insiders buying or selling?
4f Cash Flow Quality — How trustworthy is the FCF?
4g Debt Maturity Risk — Can it handle its debt?
4h Macro Environment — Rates, market valuation, volatility
4i Sector Intelligence — How does this company compare within its sector?
4j Revenue Confidence — How reliable is the growth projection?
4k Sensitivity Analysis — How fragile is the fair value estimate?
4l Sector Demand Cycle — Is the sector in a boom, steady state, or contraction?
5 AI Investigation — Adaptive research engine (Claude)
5b Thesis Evaluation — What does the market believe? (narrative/platform stocks only)
Not applicable for Mature Earner companies
6 Valuation Synthesis — Weighted verdict from all methods (requires Layer 4)
Income Statement (Annual)
Last updated: Jun 23, 2026 3:04am (4d ago)
Metric 2022 2023 2023 2024 2025
Revenue $78.7B $80.0B $85.2B $88.8B $94.2B
Cost of Revenue $23.4B $24.6B $26.6B $27.5B $25.6B
Gross Profit $55.3B $55.4B $58.6B $61.4B $68.6B
Operating Expenses $34.4B $34.4B $35.2B $39.2B $43.0B
Operating Income $20.9B $21.0B $23.4B $22.1B $25.6B
Net Income $20.9B $17.9B $35.2B $14.1B $26.8B
EBITDA $26.8B $26.6B $23.3B $24.8B $41.1B
EPS $7.93 $6.83 $13.88 $5.84 $11.03
EPS (Diluted)
Balance Sheet (Annual)
Last updated: Jun 23, 2026 3:03am (4d ago)
Metric 2022 2023 2023 2024 2025
Cash & Equivalents $14.5B $12.9B $21.9B $24.1B $19.7B
Total Current Assets $61.0B $55.3B $53.5B $55.9B $55.6B
Total Assets $182.0B $187.4B $167.6B $180.1B $199.2B
Current Liabilities $45.2B $55.8B $46.3B $50.3B $54.1B
Long-Term Debt $30.0B $26.9B $25.9B $30.7B $39.4B
Total Liabilities $108.0B $110.6B $98.8B $108.6B $117.7B
Total Equity $74.0B $76.8B $68.8B $71.5B $81.5B
Retained Earnings $123.1B $128.3B $153.8B $155.8B $169.0B
Cash Flow (Annual)
Last updated: Jun 23, 2026 3:03am (4d ago)
Metric 2022 2023 2023 2024 2025
Operating Cash Flow $23.4B $21.2B $22.8B $24.3B $24.5B
Capital Expenditure -$3.7B -$4.0B -$4.5B -$4.4B -$4.8B
Free Cash Flow $19.8B $17.2B $18.2B $19.8B $19.7B
Acquisitions (net) -$60.0M -$17.7B $358.0M -$15.1B -$17.5B
Debt Repayment
Dividends Paid
Stock Buybacks -$3.5B -$6.0B -$5.1B -$2.4B -$6.0B
Net Change in Cash $502.0M -$360.0M $7.7B $2.2B -$4.4B
Analyst Estimates (Annual)
Last updated: Jun 23, 2026 3:00am (4d ago)
Metric 2027 2028 2029 2030
Revenue $107.7B
$104.6B – $109.4B
$115.0B
$114.9B – $115.1B
$121.7B
$118.4B – $123.7B
$131.8B
$128.2B – $134.0B
EBITDA $35.8B
$34.8B – $36.3B
$38.2B
$38.2B – $38.2B
$40.4B
$39.3B – $41.1B
$43.8B
$42.6B – $44.5B
Net Income $31.4B
$29.7B – $33.1B
$32.6B
$26.2B – $38.9B
$37.8B
$36.5B – $38.6B
$42.5B
$41.0B – $43.4B
EPS
Growth Trends (YoY %)
Last updated: Jun 23, 2026 3:04am (4d ago)
Metric 2023 2023 2024 2025
Revenue Growth +1.6% +6.5% +4.3% +6.0%
Gross Profit Growth +0.1% +5.8% +4.7% +11.7%
Operating Income Growth +0.3% +11.4% -5.4% +15.6%
Net Income Growth -14.1% +95.9% -60.0% +90.6%
EBITDA Growth -0.5% -12.3% +6.3% +65.7%
Insider Trading (Recent)
Last updated: Jun 23, 2026 3:04am (4d ago)
Type codes PPurchase SSale AAward / grant MOption exercise FIn-kind (tax) CConversion GGift DReturn to issuer
All SEC Form 4 codes
Open market
P Purchase
Open-market or private purchase of shares.
S Sale
Open-market or private sale of shares.
Compensation (Rule 16b-3)
A Award / grant
Grant or award of securities (RSUs, options, etc.) under Rule 16b-3.
D Return to issuer
Securities disposed back to the company under Rule 16b-3.
F In-kind (tax)
Shares withheld or delivered to pay the option-exercise price or tax — not an open-market sale.
I Discretionary
Discretionary transaction under an employee plan — Rule 16b-3(f).
M Option exercise
Exercise or conversion of a derivative (option/RSU) into shares — exempt.
Derivatives
C Conversion
Conversion of a derivative security into the underlying shares.
E Short expiration
Expiration of a short derivative position.
H Long expiration
Expiration or cancellation of a long derivative position with value received.
O OTM exercise
Exercise of an out-of-the-money derivative.
X ITM exercise
Exercise of an in-the-money or at-the-money derivative.
Other exempt
G Gift
Bona fide gift of securities.
L Small acquisition
Small acquisition under Rule 16a-6.
W Inheritance
Acquisition or disposition by will or the laws of descent.
Z Voting trust
Deposit into or withdrawal from a voting trust.
Other
J Other
Other acquisition or disposition (explained in a Form 4 footnote).
K Equity swap
Transaction in an equity swap or similar instrument.
U Tender / buyout
Disposition via tender of shares in a change-of-control transaction.

Compensation-plan codes (A, D, F, M) are routine and rarely directional. Open-market P (buy) and S (sale) carry the most signal.

Date Insider Type Shares Price Value
2026-06-11 Wengel Kathryn E M-Exempt 10,000.00 $115.67 $1.2M
2026-06-11 Wengel Kathryn E S-Sale 10,000.00 $241.15 $2.4M
2026-06-11 Wengel Kathryn E M-Exempt 10,000.00 $115.67 $1.2M
2026-06-09 Woods Eugene A. A-Award 161.09 $0.00 $0
2026-06-09 Pinto Daniel E A-Award 134.24 $0.00 $0
2026-06-09 HEWSON MARILLYN A A-Award 214.79 $0.00 $0
2026-05-01 REED JOHN C M-Exempt 25,255.00 $0.00 $0
2026-05-01 REED JOHN C F-InKind 11,002.00 $229.85 $2.5M
2026-05-01 REED JOHN C M-Exempt 25,255.00 $0.00 $0
2026-04-23 Woods Eugene A. A-Award 975.00 $0.00 $0
2026-04-23 West Nadja A-Award 975.00 $0.00 $0
2026-04-23 WEINBERGER MARK A A-Award 975.00 $0.00 $0
2026-04-23 Pinto Daniel E A-Award 1,712.00 $0.00 $0
2026-04-23 MORIKIS JOHN G A-Award 1,540.00 $0.00 $0
2026-04-23 McClellan Mark B. A-Award 975.00 $0.00 $0
2026-04-23 Joly Hubert A-Award 975.00 $0.00 $0
2026-04-23 Johnson Paula A A-Award 975.00 $0.00 $0
2026-04-23 HEWSON MARILLYN A A-Award 975.00 $0.00 $0
2026-04-23 Doudna Jennifer A A-Award 975.00 $0.00 $0
2026-04-23 Beckerle Mary C A-Award 975.00 $0.00 $0
Dividend History (Last 20)
Last updated: Jun 21, 2026 6:39pm (5d ago)
Date Dividend Declaration Record Payment
2026-05-26 $1.34 2026-04-14 2026-05-26 2026-06-09
2026-02-24 $1.30 2026-01-02 2026-02-24 2026-03-10
2025-11-25 $1.30 2025-10-14 2025-11-25 2025-12-09
2025-08-26 $1.30 2025-07-16 2025-08-26 2025-09-09
2025-05-27 $1.30 2025-04-15 2025-05-27 2025-06-10
2025-02-18 $1.24 2025-01-02 2025-02-18 2025-03-04
2024-11-26 $1.24 2024-10-15 2024-11-26 2024-12-10
2024-08-27 $1.24 2024-07-17 2024-08-27 2024-09-10
2024-05-20 $1.24 2024-04-16 2024-05-21 2024-06-04
2024-02-16 $1.19 2024-01-02 2024-02-20 2024-03-05
2023-11-20 $1.19 2023-10-19 2023-11-21 2023-12-05
2023-08-25 $1.19 2023-07-20 2023-08-28 2023-09-07
2023-05-22 $1.19 2023-04-18 2023-05-23 2023-06-06
2023-02-17 $1.13 2023-01-03 2023-02-21 2023-03-07
2022-11-21 $1.13 2022-10-19 2022-11-22 2022-12-06
2022-08-22 $1.13 2022-07-18 2022-08-23 2022-09-06
2022-05-23 $1.13 2022-04-19 2022-05-24 2022-06-07
2022-02-18 $1.06 2022-01-04 2022-02-22 2022-03-08
2021-11-22 $1.06 2021-10-21 2021-11-23 2021-12-07
2021-08-23 $1.06 2021-07-19 2021-08-24 2021-09-07
Narrative Economics
The story the market is telling about this stock — the intangible X-factor (founder mythology, cult dynamics, TAM-of-imagination) that moves price beyond what cash flows alone explain. After Shiller, Narrative Economics.
No narrative profile yet for JNJ — it's generated by the pipeline (market-narrative step).
Delvantic AI Findings
Independent analyst synthesis · Delvantic - Cairn AI · generated 2026-06-23 03:07:01
Reviews the pipeline's own verdicts
Verdict Fully priced, not broken — fair value $195–$210 vs $231; hold existing positions for the 2.46% yield, but new buyers should wait for a Stelara-cliff scare to enter sub-$210.

Starting with the raw tape: JNJ printed $94.2B revenue in FY25 vs $88.8B in FY24, a 6.1% lift — respectable for a $557B mega-cap pharma post-Kenvue but hardly the "innovation acceleration" story. The quarterly cadence is more telling: revenue went $22.5B → $21.9B → $23.7B → $24.0B → $24.6B → $24.1B. The Q1'25 net income of $11.0B at a 50.2% margin is a one-off (likely a litigation reserve release or tax/divestiture item — no operating leverage produces a 50% margin in this business), and conversely Q3'24's 12% margin reflects talc charges. Strip those and the underlying net margin sits in a 20–23% band, which is fine but not expanding. FY25 reported NI of $26.8B vs $14.1B in FY24 is flattered by these same items; the $25.6B operating income is the cleaner number, up ~15.6% YoY — better, but the earnings_cagr of -12.7% over five years tells you GAAP earnings have actually gone backwards through the Kenvue transition and litigation cycle.

On valuation, the synthesis pegs fair value at $186-$193 vs $231 — a 20% premium. I largely agree with the direction but think the synthesis is slightly too harsh. $19.7B FCF on a $557B cap is a 3.5% FCF yield; add the 2.46% dividend (covered ~2x by FCF) and you have a real-yield asset, but at 17.6x EV/EBITDA and 26.9x TTM P/E, you're paying a growth multiple for a 5% top-line grower facing the Stelara biosimilar cliff (Stelara was ~$10B in peak sales, biosimilars launched in 2025). The Market Forces note calling this a "value trap" is too cute — JNJ isn't a value trap, it's just fully priced quality. The Narrative layer's framing — "+24% premium is almost entirely narrative" — is the most honest read in the pack.

The contrarian case worth taking seriously: pipeline optionality is genuinely under-discussed. Carvykti (CAR-T), Tremfya expansion into IBD, and the Shockwave/Abiomed medtech acquisitions give JNJ legitimate $5B+ assets that could offset Stelara erosion by 2027. The Q4'25 → Q1'26 sequential ($24.6B → $24.1B) deceleration could be Stelara biosimilar bleed showing up exactly on schedule — which would be bearish — OR it's seasonal (Q1 historically softens). Insider activity is uninformative: small awards and exempted exercises, no conviction buying or aggressive selling. The decelerating quarterly trend flagged in Revenue Confidence is real but modest; we're talking 6.1% YoY recent vs 5.2% five-year CAGR, hardly collapse.

I dissent mildly with the synthesis composite of $186 — that anchors too heavily on DCF with conservative terminal assumptions and undervalues the medtech segment's growth (Shockwave is growing 20%+). But I dissent more strongly with the bull case implied by the current $231 price, which requires Stelara replacement to land cleanly AND margin expansion AND multiple maintenance. My fair value sits at $195–$210: roughly 22-23x normalized $9 EPS (stripping the litigation noise from FY25), or ~21x FCF, which is a reasonable but not generous multiple for a 5-6% grower with a fortress balance sheet ($19.7B cash, undisclosed but manageable debt against $25B operating cash flow). At $231 you're paying 11–18% above that. The Reasonable Premium thesis verdict implies the market's 16.6% FCF growth assumption is achievable — I think that's a stretch; mid-to-high single digits is more realistic given the biosimilar mathematics. Holders should not sell quality; new money should wait for sub-$210, which historically happens once or twice a year on litigation headlines or biosimilar share-loss prints.

GPT Critique
Second-opinion review · gpt-4o · generated 2026-06-23 03:07:12
Reviews the Opus findings above
Verdict I generally agree with Opus — JNJ is fully priced at $231, with fair value closer to $200 vs Opus's $195-$210, considering stable cash flows but ongoing litigation and competition risks.

Looking at the raw data for Johnson & Johnson, a few key figures stand out to me. The company achieved $94.19 billion in revenue for FY25, a 6.1% increase from FY24's $88.82 billion, which is decent for a company of its size but not indicative of rapid innovation or growth acceleration. The net margins have largely fluctuated due to one-offs like litigation reserves, evident from the Q1'25 net income of $11 billion at a 50.2% margin — clearly an anomaly. The consistent revenue growth trend is moderate, with recent quarterly revenues hovering around $24 billion, indicating stable but unspectacular performance. Despite a positive free cash flow of $19.7 billion, the P/E ratio of 26.88 suggests the company is priced for growth that isn't fully supported by its historical earnings trajectory, especially with an earnings CAGR of -12.7% over the past five years.

Opus argues that JNJ is "fully priced, not broken" with a fair value of $195–$210. I agree with this general assessment but find the reasoning more nuanced. The claim that JNJ is not a value trap but rather a "fully priced quality" stock resonates with me. The company's FCF yield and dividend coverage indeed provide a defensive play, yet the premium valuation metrics (17.6x EV/EBITDA and 26.9x P/E) seem high for a company with a top-line growth of about 5%. I concur with Opus that the market might be overestimating JNJ's ability to seamlessly replace Stelara's revenue amid biosimilar competition without significant margin erosion.

Where I diverge from Opus is in their estimation of the synthesis composite fair value at $186. I view this as slightly pessimistic given the company's robust cash flows and medtech growth potential, particularly from assets like Shockwave, which is growing at over 20%. However, I also question Opus's upper fair value range of $210 — I would anchor closer to $200, aligning with a reasonable multiple of JNJ's core earnings and cash flow generation capacity, while accounting for the uncertainties and competitive pressures in the pharma sector.

A skeptic might argue that both Opus and I are underestimating the potential impact of JNJ's litigation issues and overestimating the medtech segment's ability to compensate for the Stelara cliff. They might also point out that any significant macroeconomic downturn could affect healthcare spending and further compress JNJ's margins. Additionally, the narrative premium attributed to JNJ's post-Kenvue strategy could be overly optimistic given the historical challenges in rapidly transforming large, established pharma companies.

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My Notes personal — only you see this
Data via Financial Modeling Prep · Cached for performance · fmp
v1.1.352 · d1100787 · 2026-06-26 11:39:30