JNJ logo
Johnson & Johnson
JNJ
155.91 (0.36%) 0.56
375.72(B)
Health Care
Pharmaceuticals
Johnson & Johnson together with its subsidiaries engages in the research and development manufacture and sale of various products in the healthcare field worldwide. It operates in two segments Innovative Medicine and MedTech. The Innovative Medicine segment offers products for various therapeutic areas such as immunology including rheumatoid arthritis psoriatic arthritis inflammatory bowel disease and psoriasis; infectious diseases comprising HIV/AIDS; neuroscience consisting of mood disorders neurodegenerative disorders and schizophrenia; oncology such as prostate cancer hematologic malignancies lung cancer and bladder cancer; cardiovascular and metabolism including thrombosis diabetes and macular degeneration; and pulmonary hypertension comprising pulmonary arterial hypertension through retailers wholesalers distributors hospitals and healthcare professionals for prescription use. The MedTech segment provides electrophysiology products to treat heart rhythm disorders; the heart recovery portfolio which includes technologies to treat severe coronary artery disease requiring high-risk PCI or AMI cardiogenic shock; circulatory restoration products for the treatment of calcified coronary artery and peripheral artery diseases; and neurovascular care that treats hemorrhagic and ischemic stroke. This segment offers an orthopaedics portfolio that includes products and enabling technologies that support hips knees trauma spine sports and other; surgery portfolios comprising advanced and general surgery technologies as well as solutions for breast aesthetics and reconstruction; contact lenses under the ACUVUE brand; and TECNIS intraocular lenses for cataract surgery. It distributes its products to wholesalers hospitals and retailers as well as physicians nurses hospitals eye care professionals and clinics. The company was founded in 1886 and is based in New Brunswick New Jersey.
My Holdings:
(?% ownership)
Shares:
Cost basis:

Johnson & Johnson (JNJ) price target and intrinsic value estimate

JNJ's fair price estimate is $153.2

This valuation is based on a fair P/E of 15.3 and EPS estimates of $10.04

The median analyst price target for JNJ is $169.0.

Analyst price targets range from $150.0 to $185.0

Is JNJ overvalued or undervalued?

JNJ is currently trading at $155.91

JNJ is overvalued by 2% using the pevaluation method.

JNJ is undervalued by 8% compared to median analyst price targets.

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Valuation

PEvaluation

2% overvalued
Low
$115
Median
$153
High
$191
$156
Fair P/E
Margin of safety

Analyst Valuation

8% undervalued
Low
$150
Median
$169
High
$185
$156
Strong Buy4
Buy7
Hold12
Sell0
Strong Sell0

Discounted Cash Flow Valuation

N/A
Negative FCF or FCF estimates
Discount rateNaN%
Growth rate10.0%
Terminal rate6.0%
Shares outstan...ROICRevenue growthDebt/FCFAssets/Liabili...
Economic moat: Wide
More valuation methods

Overview

Market cap:$375.72(B)
Enterprise value:$389.03(B)
Total Equity:$71.49(B)
Div. yield:3.18%
P/S:4.20
P/E:17.19
P/FCF:18.92
P/B:5.25
EPS:$9.1
FCF per share:$8.2
Dividend per share:$5.0
ROIC:42.1%
ROA:25.4%
ROE:62.3%

Income (TTM)

RevenueGrossNet
Revenue$89.33(B)
Gross profit$61.48(B)
EBITDA$30.07(B)
Net income$14.07(B)
Gross margin68.8%
Operating margin24.6%
Net margin24.4%
Shares outstanding:2.41(B)

Balance sheet

Cash & ST inv.Other ST assetsLong term assetsCurrent liabilitiesLong term debtOther LT liabilitiesEquity
Total assets$180.10(B)
Current assets$55.89(B)
Total liabilities$108.61(B)
Current liabilities$50.32(B)
Cash & Short-term inv.$24.52(B)
Long-term debt$30.65(B)
Total intangibles$81.82(B)
PP&E$21.62(B)

Cash flow (TTM)

CFOCFICFF
FCF$19.84(B)
CapEx$-4.42(B)
Dividends paid$-11.82(B)
Stock issued$838.00(M)
Stock repurchased$-2.43(B)
Stock-based comp.$1.18(B)
Debt issued$21.94(B)
Debt repaid$-10.92(B)

Per Share Data

x1
Price: $156
Revenue: $37.1 (4.2x | 23.8%) Gross profit: $25.5 (6.1x | 16.4%) Earnings: $9.07 (17.2x | 5.8%)
FCF: $8.24 (18.9x | 5.3%) Stock-based Comp.: $0.49 (319.5x | 0.3%) CapEx.: $1.84 (84.9x | 1.2%) Dividend: $4.96 (31.4x | 3.2%)
Total Assets: $74.7 (2.1x | 47.9%) Total Liabilities: $45.1 (3.5x | 28.9%) Book Value: $29.7 (5.2x | 19.0%) Cash & ST inv.: $10.2 (15.3x | 6.5%) Debt: $12.7 (12.3x | 8.2%)
Earnings FY+1: $10.6 (14.8x | 6.8%) Earnings FY+2: $11.1 (14.1x | 7.1%) Earnings FY+3: $11.7 (13.3x | 7.5%) Earnings FY+4: $12.1 (12.9x | 7.8%) Earnings FY+5: $13.1 (11.9x | 8.4%)
FCF FY+1: $13.4 (11.7x | 8.6%) FCF FY+2: $13.0 (12.0x | 8.3%)

Growth Estimates

Revenue

CAGR: 3.9%
FY+1FY+2FY+3FY+4FY+5
FY+1$91.30(B)
FY+2(+3.8%)$94.79(B)
FY+3(+4.1%)$98.67(B)
FY+4(+3.1%)$101.71(B)
FY+5(+4.7%)$106.51(B)

Net Income

CAGR: 4.4%
FY+1FY+2FY+3FY+4FY+5
FY+1$25.61(B)
FY+2(+3.8%)$26.59(B)
FY+3(+5.5%)$28.05(B)
FY+4(+1.3%)$28.42(B)
FY+5(+7.2%)$30.48(B)

EPS

CAGR: 5.4%
FY+1FY+2FY+3FY+4FY+5
FY+1$10.57
FY+2(+4.7%)$11.07
FY+3(+6.1%)$11.74
FY+4(+3.2%)$12.11
FY+5(+7.8%)$13.06

FCF per share

CAGR: -2.9%
FY+1FY+2
FY+1$13.37
FY+2(-2.9%)$12.98

Similar Companies

Historical Financials

Showing limited histrical data. Access 10+ years of financials now! Upgrade
YearlyQuarterly
Income
FY2005FY2006FY2007FY2008FY2009FY2010FY2011FY2012FY2013FY2014FY2015FY2016FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024
FY2005FY2006FY2007FY2008FY2009FY2010FY2011FY2012FY2013FY2014FY2015FY2016FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024TTM5Y avg5Y CAGR
Revenue82.58(B)78.74(B)79.99(B)85.16(B)88.82(B)89.33(B)83.06(B)2%
COGS28.43(B)23.40(B)24.60(B)26.55(B)27.47(B)28.32(B)26.09(B)-1%
Gross Profit54.16(B)55.34(B)55.39(B)58.61(B)61.35(B)61.01(B)56.97(B)3%
Total OpEx.34.42(B)34.40(B)34.38(B)35.20(B)39.20(B)39.04(B)35.52(B)3%
  R&D12.34(B)14.28(B)14.13(B)15.09(B)17.23(B)16.91(B)14.61(B)9%
  SG&A22.08(B)20.12(B)20.25(B)20.11(B)21.97(B)22.12(B)20.91(B)-0%
Operating Income19.73(B)20.94(B)21.01(B)23.41(B)22.15(B)21.98(B)21.45(B)3%
Interest Expense-201.00(M)-183.00(M)-276.00(M)-772.00(M)-755.00(M)-472.00(M)-437.40(M)39%
Interest Income111.00(M)53.00(M)490.00(M)1.26(B)1.33(B)968.00(M)649.40(M)86%
Pre-tax income16.50(B)19.18(B)19.36(B)15.06(B)16.69(B)26.60(B)17.36(B)0%
Income tax-1.78(B)-1.38(B)-2.99(B)-1.74(B)-2.62(B)-4.79(B)-2.10(B)10%
Net Income14.71(B)20.88(B)17.94(B)35.15(B)14.07(B)21.81(B)20.55(B)-1%
Cash flow
FY2015FY2016FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024
Stock-based Comp.FCFCFONet IncomeD&ACFFStock IssuedStock RepurchasedDebt IssuedDebt RepaidDividend PaidCFIAcquisitionsDivestituresCapital Expenditures
Balance sheet
FY2015FY2016FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024
Total AssetsTotal LiabilitiesCurrent assetsCash and EquivalentsShort-term investmentsInventoriesReceivablesNon-current assetsNet PP&EIntangible AssetsGoodwillCurrent liabilitiesAccounts payableNon-current liabilitiesLong-Term DebtTotal Equity
Per share data
FY2015FY2016FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024
EPS (Basic)FCF/ShareDividend/ShareEPS (Diluted)Book value/ShareCash & ST inv./ShareDebt/Share
Ratios
FY2015FY2016FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024
P/EP/SEV/EarningsP/FCFP/BEV/FCFDebt/EquityPayout ratio
Margins
FY2015FY2016FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024
Net Income MarginOperating MarginGross MarginEBITDA MarginFCF Margin
Returns
FY2015FY2016FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024
ROICROAROCEROE
Shares outstanding
FY2015FY2016FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024
Shares (Basic)Shares (Diluted)
Market Cap.
FY2015FY2016FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024
Market Cap.

Tools

Future P/E Valuation

Projection Years
Base Revenue
Revenue Growth Rate
Final Net Margin
Final P/E Ratio
Discount Rate
What is the Future P/E Value Calculator?

This valuation calculator determines the fair price of a stock by projecting revenue, applying a net margin, and using a target P/E multiple.

How to Use This P/E Intrinsic Value Calculator?

Enter the base revenue, growth rate, final net margin, discount rate and fair P/E ratio.

Which Companies is This Method Suited For?

This method is suited for growth companies with increasing revenues, for which you can estimate the future net margin and assign a fair final P/E.

Growth companiesMature companiesEarly-stage companies

Dividend Discount Model

Annual Dividend
First Stage Length (Years)
First Stage Growth Rate
Final Growth Rate
Discount Rate
What is the Dividend Discount Model (DDM)?

The DDM is a stock valuation approach that estimates the intrinsic value of a stock based on its expected future dividends, discounted to present value.

How to Use This DDM Calculator?

Enter the annual dividend, expected growth rate, and discount rate to compute the intrinsic value.

Which Companies is This Method Suited For?

The DDM is best suited for valuing mature, dividend-paying companies that have a consistent history of paying dividends and are expected to continue doing so with a stable growth rate.

Dividend-paying companiesMature companies

Discounted Cash Flow

Forecast years
Terminal Growth Rate
Discount Rate
Free cash flow estimates:
Y+1 est.
Y+2 est.
0.00%
Y+3 est.
0.00%
Y+4 est.
0.00%
Y+5 est.
0.00%
What is the Discounted Cash Flow (DCF) Model?

The DCF model is a fundamental valuation method used to estimate the intrinsic value of a company based on the present value of future free cash flows.

How to Use This DCF Calculator?

Enter the expected free cash flows, the terminal growth rate, and the discount rate.

Which Companies is This Method Suited For?

The DCF model is suitable for valuing mature or growth companies with reasonably predictable future cash flows. It can be challenging to apply to companies with uncertain cash flows.

Growth companiesMature companiesDividend-paying companiesCompanies with predictable FCF

Discounted Cash Flow (exit mult.)

Forecast years
Exit FCF Multiple
Discount Rate
Free cash flow estimates:
Y+1 est.
Y+2 est.
0.00%
Y+3 est.
0.00%
Y+4 est.
0.00%
Y+5 est.
0.00%
What is the Discounted Cash Flow (DCF) Model?

The DCF model is a fundamental valuation method used to estimate the intrinsic value of a company based on the present value of future free cash flows.

How to Use This DCF Calculator?

Enter the expected free cash flows, an exit FCF multiple, and the discount rate.

Which Companies is This Method Suited For?

The DCF model is suitable for valuing mature or growth companies with reasonably predictable future cash flows. It can be challenging to apply to companies with uncertain cash flows.

Growth companiesMature companiesCompanies with predictable FCF

Graham Formula

Earnings Per Share
Expected Growth Rate
Government Bond Rate
What is the Graham Number with Growth?

The Graham Number formula with growth is an enhancement of Benjamin Graham's original intrinsic valuation method. It uses the earnings per share (EPS) and expected growth rate to estimate the fair value of a stock.

How to Use This Graham Number Calculator?

Enter the earnings per share (EPS), expected growth rate, and the bond yield to compute the intrinsic value of a stock.

Which Companies is This Method Suited For?

The Graham Number Calculator is best suited for valuing companies with positive earnings and a predictable growth rate.

Growth companiesMature companiesCompanies with predictable earnings

Future Dividend Yield

Base Dividend
Current Price
Number of Years
Dividend Growth Rate
What is the Future Yield Calculator?

The Future Yield Calculator helps you estimate the future dividend yield of a stock based on its current dividend, price, and expected dividend growth rate.

How to Use This Calculator?

Enter the base dividend, current price, number of years, and dividend growth rate. Optionally, preload stock data to automatically fetch the dividend and price. The calculator will display the current yield and the projected future yield.

Dividend Income

Investment Amount
Dividend Yield
What is the Dividend Income Calculator?

The Dividend Income Calculator helps you estimate the yearly, quarterly, monthly, and daily income of your investments.

How to Use This Calculator?

Enter the dividend yield and the invested amount. Optionally, preload stock data to automatically fetch the dividend yield.

Required Investment

Dividend Yield
Desired Yearly Payout
Desired Quarterly Payout
Desired Monthly Payout
What is the Required Investment Calculator?

The Required Investment Calculator helps you determine the amount of money you need to invest in a stock to achieve a desired dividend.

How to Use This Calculator?

Enter the dividend yield and your desired dividend income. Optionally, preload stock data to automatically fetch the dividend yield.