Johnson & Johnson (JNJ) is a publicly traded company in the Healthcare — Drug Manufacturers - General industry listed on NYSE. This overview shows the latest price, key valuation ratios, profitability metrics and financial-health indicators used by fundamental investors.
Johnson & Johnson is a holding company, which engages in the research, development, manufacture, and sale of products in the healthcare field. It operates through the Innovative Medicine and MedTech segments. The Innovative Medicine segment focuses on immunology, infectious diseases, neuroscience, oncology, cardiovascular and metabolism, and pulmonary hypertension.
Analysis Summary
Johnson & Johnson reported revenue of $94.19B in the most recent fiscal year, growing at a 5-year CAGR of 2.7%. Net income reached $26.80B, with a 12.7% 5-year CAGR.
Trailing-twelve-month margins: gross margin 70.5%, operating margin 26.8%, net margin 21.5%. Free cash flow grew at -0.5% CAGR over 5 years.
At the current price of $267.28, JNJ trades at a P/E of 30.82 and an ROE of 25.74%. Market capitalisation stands at $644.1B, placing it among large-cap names.
Balance sheet quality for JNJ: current ratio of 1.0, net debt of $27.83B. A debt-to-equity below 1.0 typically signals conservative capital structure, while a current ratio above 1.5 indicates comfortable short-term liquidity.
Cash flow quality is decent: free cash flow of $19.70B represents 73% conversion of reported net income. High conversion (above 90%) suggests earnings translate cleanly into cash; lower conversion may indicate working capital tightness or accounting timing differences.
Price
| Price | $267.28 |
| Market Cap | $644.1B |
| Exchange | NYSE |
| Country | US |
Valuation Ratios
| P/E Ratio | 30.82 |
| Price / Book | 7.66 |
| EV / EBITDA | 19.87 |
| Dividend Yield | 1.98% |
Profitability
| Return on Equity | 25.74% |
| Return on Invested Capital | 13.89% |
| Return on Assets | 10.46% |
| Gross Margin | 70.45% |
| Operating Margin | 26.81% |
| Net Margin | 21.48% |
Financial Health
| Debt / Equity | 0.58 |
| Current Ratio | 1.09 |
| Piotroski F-Score | 5 |
| Altman Z-Score | 4.66 |
What to look at in Healthcare / Pharma
The R&D pipeline is the invisible asset. Patents expiring = revenues evaporating. Look at innovation and cash flow.
- R&D / Revenue — Shows investment in future pipeline. Serious pharma reinvests 15-20%
- 5y EPS growth — After patent expirations, are they still growing?
- Gross margin — Branded pharma >70%. Generics much lower — defines the business type
- FCF / Net Income — Earnings quality — big pharma should convert >90%
- ROIC — Capital reinvested efficiently — key in pharma due to long R&D cycles
- Net debt / EBITDA — Pharma acquisitions pile up debt — watch the post-M&A picture
- P/E vs own 10y history — The best comparison is with its own history, not with peers
Peer Comparison
| Symbol | Company | Market Cap | P/E | P/B | ROE |
|---|---|---|---|---|---|
| JNJ | Johnson & Johnson | $644.1B | 30.82 | 7.66 | 25.7% |
| MRK | Merck & Co., Inc. | $355.5B | 115.04 | 8.54 | 6.6% |
| AMGN | Amgen Inc. | $203.1B | 23.20 | 17.39 | 89.3% |
| GILD | Gilead Sciences, Inc. | $183.4B | 15.77 | -16.3% | |
| ABBV | AbbVie Inc. | $445.7B | 73.77 | -129.2% | |
| AZN | AstraZeneca PLC | $252.6B | 25.10 | 5.17 | 21.7% |
| NVS | Novartis AG | $263.6B | 21.26 | 6.41 | 29.6% |
| NVO | Novo Nordisk A/S | $185.3B | 9.72 | 5.10 | 59.1% |
Price Performance
| 1 month | -1.41% |
| 3 months | +17.03% |
| Year-to-date | +29.15% |
| 1 year | +50.84% |
| 3 years | +64.51% |
| 5 years | +62.23% |
52-Week Range
| 52-week High | $281.07 |
| 52-week Low | $173.33 |
| Avg Volume (90d) | 7.6M |
Dividend History
| Date | Amount | Yield |
|---|---|---|
| 2026-08-25 | $1.3400 | 2.01% |
| 2026-05-26 | $1.3400 | 2.01% |
| 2026-02-24 | $1.3000 | 1.95% |
| 2025-11-25 | $1.3000 | 1.95% |
| 2025-08-26 | $1.3000 | 1.95% |
| 2025-05-27 | $1.3000 | 1.95% |
| 2025-02-18 | $1.2400 | 1.86% |
| 2024-11-26 | $1.2400 | 1.86% |
| 2024-08-27 | $1.2400 | 1.86% |
| 2024-05-20 | $1.2400 | 1.86% |
Related companies: ABBV · AMGN · AZN · GILD · MRK · NVO · NVS
Explore sector: Healthcare · Drug Manufacturers - General
More sections of JNJ: Financials · Valuation · Statistics · Estimates · Technical · Ownership · News · Events
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