NYSE:JNJ

Johnson & Johnson (JNJ)

267.24
+9.46 (3.67%)
as of Oct 22, 2026, 4:43:00 pm Market Open.
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DON'T BUY
Fits the bill for him for 2 reasons. 1) A consumer non-durable and 2) it’s a healthcare company. Healthcare has been an under performer and is pretty cheap here. One of this company’s problems is in their consumer products McNeil division, which has had some massive recalls. Pennsylvania manufacturing plant has been closed.
BUY
Really likes this one. Even more compelling now as a Canadian because of the currency exchange. A consistent cash flow generator. Has the pharma arm, which is always in distress but their consumer products side is so strong. 40%-50% of revenue comes from overseas. Great way to expose yourself to the 3rd world without taking on the risks. Operating metrics have increased. Really cheap.
DON'T BUY
Health care is not one of the sectors to perform well in the economic recovery. Big company, but the charts are below the 200 and 50 day moving average. Not tremendous growth. Doesn’t see a compelling valuation.
PAST TOP PICK
(A Top Pick Nov 3/10. Down 5.1%.) Still Buying.
PAST TOP PICK
(A Top Pick Jan 5/10. Down 1.33%.)
BUY
Been an iconic company and has done very well but stumbled lately with a series of recalls including Benadrol, Tylenol and Motren, which has hurt them on the consumer side. Last earnings report saw shrinkage of about 11% on the consumers’ side. Probably an opportunity for the longer term. Good balance sheet.
PAST TOP PICK
(Top Pick Jan 26/09, Up 4.39%)
BUY
Has a model price of $75.13, a positive differential of 19%. Fundamentally looks good to him. Historically you could never Buy it below its model price but now you have the opportunity.
BUY ON WEAKNESS
Has run up in the last little while but feels you can get it at a lower level. Very defensive.
BUY
Suffering a little on their consumer product lines. Good value longer term. Will probably earn $5.25-$5.35 this year and are trading at about 11X. Solid dividend.
TOP PICK
Large cap quality name that is reasonably valued. 3.3% dividend, 13.5x earnings. Not a lot of downside. Not enormous upside. Dividend is almost 1% above 10-year treasury.
BUY
Very large consumer products and medical products company. 2.7% yield. Debt is 35% less than assets. Big international exposure.
BUY
Baxter and Abbot Labs are similar. He feels health care is a place to invest now.
TOP PICK
AAA balance sheet. Excellent dividend at about 3.5%. A lot of cash but recently acquired some debt at very attractive rates.
BUY
Great company. Pharmaceutical, medical devices and consumer products, which he likes. Has acted defensively. Great yield and great balance sheet.
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