Johnson & Johnson
Market Cap
US$382.0b
Last Updated
2020/10/22 23:49 UTC
Data Sources
Company Financials +
Executive Summary
Johnson & Johnson researches and develops, manufactures, and sells various products in the health care field worldwide. More Details
Rewards
Risk Analysis
Snowflake Analysis
Solid track record established dividend payer.
Similar Companies
Share Price & News
How has Johnson & Johnson's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: JNJ has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-1.4%
JNJ
-2.3%
US Pharmaceuticals
-1.4%
US Market
1 Year Return
13.8%
JNJ
9.2%
US Pharmaceuticals
17.8%
US Market
Return vs Industry: JNJ exceeded the US Pharmaceuticals industry which returned 9.2% over the past year.
Return vs Market: JNJ underperformed the US Market which returned 17.8% over the past year.
Shareholder returns
| JNJ | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.4% | -2.3% | -1.4% |
| 30 Day | 0.6% | -1.0% | 4.7% |
| 90 Day | -2.1% | -1.8% | 8.2% |
| 1 Year | 16.9%13.8% | 12.1%9.2% | 20.5%17.8% |
| 3 Year | 10.9%2.3% | 21.4%12.4% | 42.2%32.7% |
| 5 Year | 63.9%43.1% | 35.1%19.2% | 83.4%62.7% |
Price Volatility Vs. Market
How volatile is Johnson & Johnson's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 days ago | Simply Wall St
Is There An Opportunity With Johnson & Johnson's (NYSE:JNJ) 30% Undervaluation?2 weeks ago | Simply Wall St
Is Johnson & Johnson (NYSE:JNJ) A Smart Pick For Income Investors?1 month ago | Simply Wall St
Are Johnson & Johnson's (NYSE:JNJ) Statutory Earnings A Good Guide To Its Underlying Profitability?Valuation
Is Johnson & Johnson undervalued compared to its fair value and its price relative to the market?
30.8%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: JNJ ($145.08) is trading below our estimate of fair value ($209.59)
Significantly Below Fair Value: JNJ is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: JNJ is poor value based on its PE Ratio (22.5x) compared to the US Pharmaceuticals industry average (22.3x).
PE vs Market: JNJ is poor value based on its PE Ratio (22.5x) compared to the US market (18.9x).
Price to Earnings Growth Ratio
PEG Ratio: JNJ is poor value based on its PEG Ratio (2.2x)
Price to Book Ratio
PB vs Industry: JNJ is overvalued based on its PB Ratio (6.1x) compared to the US Pharmaceuticals industry average (3x).
Next Steps
Future Growth
How is Johnson & Johnson forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?
10.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: JNJ's forecast earnings growth (10.4% per year) is above the savings rate (2.2%).
Earnings vs Market: JNJ's earnings (10.4% per year) are forecast to grow slower than the US market (22% per year).
High Growth Earnings: JNJ's earnings are forecast to grow, but not significantly.
Revenue vs Market: JNJ's revenue (4.9% per year) is forecast to grow slower than the US market (10% per year).
High Growth Revenue: JNJ's revenue (4.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: JNJ's Return on Equity is forecast to be high in 3 years time (35%)
Next Steps
Past Performance
How has Johnson & Johnson performed over the past 5 years?
-0.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: JNJ has high quality earnings.
Growing Profit Margin: JNJ's current net profit margins (21%) are higher than last year (17.3%).
Past Earnings Growth Analysis
Earnings Trend: JNJ's earnings have declined by 0.7% per year over the past 5 years.
Accelerating Growth: JNJ's earnings growth over the past year (19.9%) exceeds its 5-year average (-0.7% per year).
Earnings vs Industry: JNJ earnings growth over the past year (19.9%) exceeded the Pharmaceuticals industry 12.6%.
Return on Equity
High ROE: JNJ's Return on Equity (27%) is considered high.
Next Steps
Financial Health
How is Johnson & Johnson's financial position?
Financial Position Analysis
Short Term Liabilities: JNJ's short term assets ($45.9B) exceed its short term liabilities ($36.8B).
Long Term Liabilities: JNJ's short term assets ($45.9B) do not cover its long term liabilities ($58.6B).
Debt to Equity History and Analysis
Debt Level: JNJ's debt to equity ratio (46.7%) is considered high.
Reducing Debt: JNJ's debt to equity ratio has increased from 27.9% to 46.7% over the past 5 years.
Debt Coverage: JNJ's debt is well covered by operating cash flow (70.5%).
Interest Coverage: JNJ's interest payments on its debt are well covered by EBIT (1009.2x coverage).
Balance Sheet
Next Steps
Dividend
What is Johnson & Johnson current dividend yield, its reliability and sustainability?
2.78%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: JNJ's dividend (2.78%) is higher than the bottom 25% of dividend payers in the US market (1.65%).
High Dividend: JNJ's dividend (2.78%) is low compared to the top 25% of dividend payers in the US market (4.67%).
Stability and Growth of Payments
Stable Dividend: JNJ's dividends per share have been stable in the past 10 years.
Growing Dividend: JNJ's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (60.7%), JNJ's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: JNJ's dividends in 3 years are forecast to be well covered by earnings (47.7% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
8.0yrs
Average management tenure
CEO
Alex Gorsky (60 yo)
8.5yrs
Tenure
US$25,365,777
Compensation
Mr. Alex Gorsky has been the Chairman and Chief Executive Officer of Johnson & Johnson since December 28, 2012 and April 26, 2012 respectively. Mr. Gorsky served as the Chief Operating Officer and Head of ...
CEO Compensation Analysis
Compensation vs Market: Alex's total compensation ($USD25.37M) is above average for companies of similar size in the US market ($USD11.20M).
Compensation vs Earnings: Alex's compensation has increased by more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 8.5yrs | US$25.37m | 0.017% $ 65.7m | |
| Executive VP & CFO | 2.25yrs | US$7.50m | 0.00080% $ 3.1m | |
| Chief Scientific Officer | 8yrs | US$14.07m | 0.0097% $ 37.0m | |
| Vice Chairman of Executive Committee | 9.75yrs | US$13.42m | 0.0067% $ 25.7m | |
| Executive VP & Worldwide Chairman of Pharmaceuticals | 8.75yrs | US$7.10m | 0.0041% $ 15.6m | |
| Controller & Chief Accounting Officer | 0.83yr | no data | 0.00053% $ 2.0m | |
| Executive VP & Global CIO | 0.92yr | no data | no data | |
| Vice President of Investor Relations | 2.17yrs | no data | no data | |
| Executive VP & General Counsel | 8.75yrs | US$5.34m | 0.0055% $ 21.0m | |
| Chief Compliance Officer | no data | no data | no data | |
| Executive VP of Global Corporate Affairs & Chief Communication Officer | 8.75yrs | no data | 0.0023% $ 8.7m | |
| Executive VP & Chief Human Resources Officer | 4.5yrs | US$3.62m | 0.0038% $ 14.5m |
8.0yrs
Average Tenure
57yo
Average Age
Experienced Management: JNJ's management team is seasoned and experienced (8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 8.5yrs | US$25.37m | 0.017% $ 65.7m | |
| Independent Director | 9.33yrs | US$334.98k | 0.00014% $ 534.8k | |
| Independent Director | 14.67yrs | US$344.98k | 0.0011% $ 4.2m | |
| Independent Director | 6.33yrs | US$329.98k | no data | |
| Lead Independent Director | 7.83yrs | US$359.98k | 0.00028% $ 1.1m | |
| Director | 0.83yr | US$8.88k | 0.00019% $ 725.7k | |
| Independent Director | 1.5yrs | US$80.52k | 0.00011% $ 420.2k | |
| Independent Director | 10.25yrs | US$304.98k | 0.00016% $ 611.2k | |
| Independent Director | 7yrs | US$304.98k | no data | |
| Independent Director | 5.33yrs | US$344.98k | no data | |
| Independent Director | 7.92yrs | US$324.98k | no data | |
| Independent Director | 2.5yrs | US$324.98k | no data |
7.4yrs
Average Tenure
67yo
Average Age
Experienced Board: JNJ's board of directors are considered experienced (7.4 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: JNJ insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Johnson & Johnson's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Johnson & Johnson
- Ticker: JNJ
- Exchange: NYSE
- Founded: 1886
- Industry: Pharmaceuticals
- Sector: Pharmaceuticals & Biotech
- Market Cap: US$381.970b
- Shares outstanding: 2.63b
- Website: https://www.jnj.com
Number of Employees
Location
- Johnson & Johnson
- One Johnson & Johnson Plaza
- New Brunswick
- New Jersey
- 8933
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| JNJ | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jan 1968 |
| JNJ * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Jan 1968 |
| JNJ | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jan 1968 |
| JNJ | SWX (SIX Swiss Exchange) | Yes | Common Stock | CH | CHF | Jan 1968 |
| JNJ | XTRA (XETRA Trading Platform) | Yes | Common Stock | DE | EUR | Jan 1968 |
| JNJ | BVC (Bolsa de Valores de Colombia) | Yes | Common Stock | CO | COP | Jan 1968 |
| JNJ | SNSE (Santiago Stock Exchange) | Yes | Common Stock | CL | USD | Jan 1968 |
| JNJ-U | ETLX (Eurotlx) | Yes | Common Stock | IT | EUR | Jan 1968 |
| JNJ | BVL (Bolsa de Valores de Lima) | Yes | Common Stock | PE | USD | Jan 1968 |
| JNJ | WBAG (Wiener Boerse AG) | Yes | Common Stock | AT | EUR | Jan 1968 |
| JNJ | BASE (Buenos Aires Stock Exchange) | CEDEAR EACH REP O.20 ORD SHS | AR | ARS | Jan 2001 | |
| JNJB34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EA REPR 1 COM SHS | BR | BRL | Aug 2012 | |
| DJNJ3 | BASE (Buenos Aires Stock Exchange) | CEDEAR(REPR 6.95% BDS) | AR | ARS | Jul 2020 |
Biography
Johnson & Johnson researches and develops, manufactures, and sells various products in the health care field worldwide. It operates in three segments: Consumer, Pharmaceutical, and Medical Devices. The Con ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/10/22 23:49 |
| End of Day Share Price | 2020/10/22 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/29 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.