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Johnson & Johnson (JNJ) Gains As Market Dips: What You Should Know
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Johnson & Johnson (JNJ - Free Report) closed at $178.19 in the latest trading session, marking a +0.87% move from the prior day. This move outpaced the S&P 500's daily loss of 0.4%. At the same time, the Dow lost 0.03%, and the tech-heavy Nasdaq lost 4.72%.
Coming into today, shares of the world's biggest maker of health care products had lost 1.19% in the past month. In that same time, the Medical sector lost 2.63%, while the S&P 500 lost 5.57%.
Investors will be hoping for strength from Johnson & Johnson as it approaches its next earnings release, which is expected to be January 24, 2023. On that day, Johnson & Johnson is projected to report earnings of $2.22 per share, which would represent year-over-year growth of 4.23%. Meanwhile, our latest consensus estimate is calling for revenue of $23.79 billion, down 4.1% from the prior-year quarter.
It is also important to note the recent changes to analyst estimates for Johnson & Johnson. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.03% higher. Johnson & Johnson currently has a Zacks Rank of #3 (Hold).
In terms of valuation, Johnson & Johnson is currently trading at a Forward P/E ratio of 17.59. For comparison, its industry has an average Forward P/E of 14.99, which means Johnson & Johnson is trading at a premium to the group.
We can also see that JNJ currently has a PEG ratio of 3.5. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. JNJ's industry had an average PEG ratio of 2.17 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 166, putting it in the bottom 35% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow JNJ in the coming trading sessions, be sure to utilize Zacks.com.
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Johnson & Johnson (JNJ) Gains As Market Dips: What You Should Know
Johnson & Johnson (JNJ - Free Report) closed at $178.19 in the latest trading session, marking a +0.87% move from the prior day. This move outpaced the S&P 500's daily loss of 0.4%. At the same time, the Dow lost 0.03%, and the tech-heavy Nasdaq lost 4.72%.
Coming into today, shares of the world's biggest maker of health care products had lost 1.19% in the past month. In that same time, the Medical sector lost 2.63%, while the S&P 500 lost 5.57%.
Investors will be hoping for strength from Johnson & Johnson as it approaches its next earnings release, which is expected to be January 24, 2023. On that day, Johnson & Johnson is projected to report earnings of $2.22 per share, which would represent year-over-year growth of 4.23%. Meanwhile, our latest consensus estimate is calling for revenue of $23.79 billion, down 4.1% from the prior-year quarter.
It is also important to note the recent changes to analyst estimates for Johnson & Johnson. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.03% higher. Johnson & Johnson currently has a Zacks Rank of #3 (Hold).
In terms of valuation, Johnson & Johnson is currently trading at a Forward P/E ratio of 17.59. For comparison, its industry has an average Forward P/E of 14.99, which means Johnson & Johnson is trading at a premium to the group.
We can also see that JNJ currently has a PEG ratio of 3.5. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. JNJ's industry had an average PEG ratio of 2.17 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 166, putting it in the bottom 35% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow JNJ in the coming trading sessions, be sure to utilize Zacks.com.