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Johnson & Johnson (JNJ) Gains But Lags Market: What You Should Know
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In the latest trading session, Johnson & Johnson (JNJ - Free Report) closed at $177.83, marking a +0.51% move from the previous day. This change lagged the S&P 500's 0.71% gain on the day. At the same time, the Dow added 0.27%, and the tech-heavy Nasdaq gained 0.33%.
Prior to today's trading, shares of the world's biggest maker of health care products had gained 6.58% over the past month. This has outpaced the Medical sector's gain of 3.23% and the S&P 500's gain of 3.76% in that time.
Wall Street will be looking for positivity from Johnson & Johnson as it approaches its next earnings report date. This is expected to be April 19, 2022. The company is expected to report EPS of $2.63, up 1.54% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $23.8 billion, up 6.65% from the prior-year quarter.
JNJ's full-year Zacks Consensus Estimates are calling for earnings of $10.50 per share and revenue of $99.44 billion. These results would represent year-over-year changes of +7.14% and +6.04%, respectively.
Any recent changes to analyst estimates for Johnson & Johnson should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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. The Zacks Consensus EPS estimate has moved 0.17% higher within the past month. Johnson & Johnson is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Johnson & Johnson is holding a Forward P/E ratio of 16.86. This represents a premium compared to its industry's average Forward P/E of 12.83.
Meanwhile, JNJ's PEG ratio is currently 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. The Large Cap Pharmaceuticals was holding an average PEG ratio of 2.29 at yesterday's closing price.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 114, which puts it in the top 45% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Johnson & Johnson (JNJ) Gains But Lags Market: What You Should Know
In the latest trading session, Johnson & Johnson (JNJ - Free Report) closed at $177.83, marking a +0.51% move from the previous day. This change lagged the S&P 500's 0.71% gain on the day. At the same time, the Dow added 0.27%, and the tech-heavy Nasdaq gained 0.33%.
Prior to today's trading, shares of the world's biggest maker of health care products had gained 6.58% over the past month. This has outpaced the Medical sector's gain of 3.23% and the S&P 500's gain of 3.76% in that time.
Wall Street will be looking for positivity from Johnson & Johnson as it approaches its next earnings report date. This is expected to be April 19, 2022. The company is expected to report EPS of $2.63, up 1.54% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $23.8 billion, up 6.65% from the prior-year quarter.
JNJ's full-year Zacks Consensus Estimates are calling for earnings of $10.50 per share and revenue of $99.44 billion. These results would represent year-over-year changes of +7.14% and +6.04%, respectively.
Any recent changes to analyst estimates for Johnson & Johnson should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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. The Zacks Consensus EPS estimate has moved 0.17% higher within the past month. Johnson & Johnson is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Johnson & Johnson is holding a Forward P/E ratio of 16.86. This represents a premium compared to its industry's average Forward P/E of 12.83.
Meanwhile, JNJ's PEG ratio is currently 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. The Large Cap Pharmaceuticals was holding an average PEG ratio of 2.29 at yesterday's closing price.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 114, which puts it in the top 45% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.