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Johnson & Johnson (JNJ) Outpaces Stock Market Gains: What You Should Know
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Johnson & Johnson (JNJ - Free Report) closed the most recent trading day at $166.20, moving +0.4% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.15%.
Heading into today, shares of the world's biggest maker of health care products had lost 1.34% over the past month, lagging the Medical sector's loss of 0.54% and the S&P 500's gain of 0.58% in that time.
JNJ will be looking to display strength as it nears its next earnings release. On that day, JNJ is projected to report earnings of $2.28 per share, which would represent year-over-year growth of 36.53%. Meanwhile, our latest consensus estimate is calling for revenue of $22.27 billion, up 21.45% from the prior-year quarter.
JNJ's full-year Zacks Consensus Estimates are calling for earnings of $9.51 per share and revenue of $91.77 billion. These results would represent year-over-year changes of +18.43% and +11.13%, respectively.
Investors should also note any recent changes to analyst estimates for JNJ. 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. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.11% lower. JNJ is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, JNJ is currently trading at a Forward P/E ratio of 17.41. This represents a premium compared to its industry's average Forward P/E of 13.96.
Also, we should mention that JNJ has a PEG ratio of 2.66. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Large Cap Pharmaceuticals stocks are, on average, holding a PEG ratio of 2.02 based on yesterday's closing prices.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 169, which puts it in the bottom 34% 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Johnson & Johnson (JNJ) Outpaces Stock Market Gains: What You Should Know
Johnson & Johnson (JNJ - Free Report) closed the most recent trading day at $166.20, moving +0.4% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.15%.
Heading into today, shares of the world's biggest maker of health care products had lost 1.34% over the past month, lagging the Medical sector's loss of 0.54% and the S&P 500's gain of 0.58% in that time.
JNJ will be looking to display strength as it nears its next earnings release. On that day, JNJ is projected to report earnings of $2.28 per share, which would represent year-over-year growth of 36.53%. Meanwhile, our latest consensus estimate is calling for revenue of $22.27 billion, up 21.45% from the prior-year quarter.
JNJ's full-year Zacks Consensus Estimates are calling for earnings of $9.51 per share and revenue of $91.77 billion. These results would represent year-over-year changes of +18.43% and +11.13%, respectively.
Investors should also note any recent changes to analyst estimates for JNJ. 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. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.11% lower. JNJ is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, JNJ is currently trading at a Forward P/E ratio of 17.41. This represents a premium compared to its industry's average Forward P/E of 13.96.
Also, we should mention that JNJ has a PEG ratio of 2.66. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Large Cap Pharmaceuticals stocks are, on average, holding a PEG ratio of 2.02 based on yesterday's closing prices.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 169, which puts it in the bottom 34% 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.