NYSE:JNJ
Johnson & Johnson (JNJ)
232.16
-0.61 (0.26%)
as of Jun 8, 2026, 8:00:00 pm Market Open.
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Technical Analysis 0
Investor Insights
Jun 8, 2026, 12:00 amThis summary was created by AI, based on 12 opinions in the last 12 months.
Johnson & Johnson (JNJ) has been experiencing a transformative period, especially following the spinoff of its orthopedics division, allowing it to focus more on pharmaceuticals and medical devices. Experts have highlighted the company's strong drug pipeline and robust performance in its core pharmaceutical business, which has led to a significant increase in stock value this year. Despite some concerns regarding ongoing talcum powder litigation and its past underwhelming performance, many analysts believe the legal risks are diminishing. The stock is seen as a better long-term hold, with potential dividend growth, especially amidst a broader economic context affecting consumer products. Overall, JNJ is viewed as an attractive investment, particularly when bought on weakness, with the valuation appearing favorable due to its premium position in the healthcare sector.
Consensus
Buy
Valuation
Fair Value
Similar
PG
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Premium contentTOP PICK
Stockchase Research Editor: Michael O'Reilly We once again reiterate JNJ as a TOP PICK. The global consumer care product and health care manufacturer is well positioned to provide COVID-19 vaccine boosters in light of the Omicron variant development. It pays a decent dividend backed by a payout ratio under 65% of cash flow. Cash reserves are being used to buy back stock and pay down debt. We continue to recommend a stop loss at $147, looking to achieve $191 -- upside potential over 20%. Yield 2.72% (Analysts’ price target is $189.75)
biotechnologypharmaceutical
BUY
They spun off their growing pharma and packaged goods businesses. Shares spiked, but then plunged because of the rotation out solid Dow stocks and into semi stocks. It pays a 2.7% diviednd yield and has a good balance sheet. Trust the CEO and keep buying or don't sell. Their pharma spin-off will be the fastest-growing, largest drug company. Should be an instant market darling. Its valuation has been held back by the consumer product business being spun-off. Trades at only 16x earnings.
biotechnologypharmaceutical
BUY
Why break it up? Their strong pharma business, one of the best around, is separated from the slower-growth consumer goods division; it reminds him of the Abbott Labs break-up into Abbvie which has benefited both companies with strong value creation. It succeeded because of execution. (He owns Abbott and Abbvie.) JNJ's medical devices business accounts for 35% of their sales is growing much better as the pandemic winds down. But their pharma and consumer products division have little to do with each other, and pharma doesn't get enough recognition buried within the company. Investors will be interested in each division, more so than the entire conglomerate. He personally likes their drug division.
biotechnologypharmaceutical
PAST TOP PICK
(A Top Pick Oct 26/20, Up 17%) Still likes it for its three divisions which offsets each other's weakness. It's been raising its dividend for 54 years and trades at a cheap 15x earnings. Great free cash flow growth. Benefitting the medical devices business are elective surgeries which will bounce back into next year. Personal products have been hit in recent years--their talcum powder and opiod lawsuits which have been settled. Generally, it's a great business. He'd buy it here.
Paul Harris, CFAOwned
biotechnologypharmaceutical
Premium contentTOP PICK
Stockchase Research Editor: Michael O'Reilly We reiterate JNJ as a TOP PICK. The global consumer care product and health care manufacturer is being considered by the FDA for a COVID-19 vaccine booster. It trades at 24x earnings compared to peers at 28x and pays a decent dividend backed by a payout ratio under 55% of cash flow. Cash reserves continue to grow. We would buy this with a stop loss at $147, looking to achieve $191 -- upside potential over 20%. Yield 2.65% (Analysts’ price target is $190.38)
biotechnologypharmaceutical
DON'T BUY
Broadly, pharmaceuticals and healthcare space is not providing a ton of opportunity. Trading at reasonable valuations with 3 divisions. Consumer business is in trouble because more people are going towards generics. Pharma business hasn't seen much tailwind from covid vaccines.
biotechnologypharmaceutical
PAST TOP PICK
(A Top Pick Sep 24/20, Up 18%) Prospects now are better than last year. Vaccine. Consecutive dividend increases. Group lawsuits have been settled. Buy it, put it away, give it to the kids. Attractive at these levels.
Darren SissonsOwned
biotechnologypharmaceutical
TOP PICK
Overhang has been the liabilities of class actions. Settlements have eased this. Big pharma, consumer division, and medical devices provide it with balanced growth. Grown its dividend for 59 consecutive years. Safe and steady anchor for your portfolio. Attractive at these levels. Yield is 2.55%. (Analysts’ price target is $188.56)
Darren SissonsOwned
biotechnologypharmaceutical
PAST TOP PICK
(A Top Pick Sep 15/20, Up 15%) She's owned this for years and continues to buy this diversified healthcare name. Pharmaceuticals account for roughly 50% of revenue. They continually reinvest in their R&D. Many products are #1 in their categories. Boasts a rare triple-A balance sheet and pays a 2.6% dividend that they've increased for 59 years.
Christine PooleOwned
biotechnologypharmaceutical
Premium contentTOP PICK
PAST TOP PICK
(A Top Pick Aug 20/20, Up 20%) Has long held this. Pharma, medical devices and personal care are their businesses. Unlike other pharmas companies, with JNJ when one sector lags, the others carry the weight. For example, medical devices (due to few elective surgeries) plunged during Covid, but bounced back 58% in revenues last quarter. JNJ has increased their dividend for the last 40-50 years annually. Great balance sheet, and raised guidance in their last quarter which they also beat. A risk are lawsuits; they could lose a suit in the future and pay big settlements, like $250 million to settle to opiod-addiction suit in New York state.
Paul Harris, CFAOwned
biotechnologypharmaceutical
PARTIAL BUY
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