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Johnson & Johnson (JNJ) Surpasses Market Returns: Some Facts Worth Knowing

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In the latest close session, Johnson & Johnson (JNJ - Free Report) was up +1.98% at $239.93. The stock exceeded the S&P 500, which registered a gain of 0.54% for the day. Meanwhile, the Dow experienced a rise of 0.66%, and the technology-dominated Nasdaq saw an increase of 0.77%.

The world's biggest maker of health care products's stock has dropped by 4.47% in the past month, exceeding the Medical sector's loss of 8.43% and the S&P 500's loss of 4.71%.

Analysts and investors alike will be keeping a close eye on the performance of Johnson & Johnson in its upcoming earnings disclosure. The company's earnings report is set to go public on April 14, 2026. The company's upcoming EPS is projected at $2.69, signifying a 2.89% drop compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $23.44 billion, showing a 7.06% escalation compared to the year-ago quarter.

For the full year, the Zacks Consensus Estimates project earnings of $11.54 per share and a revenue of $100.36 billion, demonstrating changes of +6.95% and +6.55%, respectively, from the preceding year.

Investors should also pay attention to any latest changes in analyst estimates for Johnson & Johnson. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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 0.04% higher. Right now, Johnson & Johnson possesses a Zacks Rank of #2 (Buy).

Investors should also note Johnson & Johnson's current valuation metrics, including its Forward P/E ratio of 20.39. For comparison, its industry has an average Forward P/E of 14.12, which means Johnson & Johnson is trading at a premium to the group.

We can additionally observe that JNJ currently boasts a PEG ratio of 2.32. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Large Cap Pharmaceuticals was holding an average PEG ratio of 2.12 at yesterday's closing price.

The Large Cap Pharmaceuticals industry is part of the Medical sector. Currently, this industry holds a Zacks Industry Rank of 156, positioning it in the bottom 37% of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. 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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