Where Johnson & Johnson Stands With Analysts

Ratings for Johnson & Johnson JNJ were provided by 12 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $166.42, along with a high estimate of $190.00 and a low estimate of $152.00. Experiencing a 2.74% decline, the current average is now lower than the previous average price target of $171.10.

Investigating Analyst Ratings: An Elaborate Study

A clear picture of Johnson & Johnson's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Johnson & Johnson. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Johnson & Johnson compared to the broader market.
• Price Targets: Analysts navigate through adjustments in price targets, providing estimates for Johnson & Johnson's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.

Capture valuable insights into Johnson & Johnson's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on Johnson & Johnson analyst ratings.

Unveiling the Story Behind Johnson & Johnson

Johnson & Johnson is the world's largest and most diverse healthcare firm. It has two divisions: pharmaceutical and medical devices. These now represent all of the company's sales following the divestment of the consumer business, Kenvue, in 2023. The drug division focuses on the following therapeutic areas: immunology, oncology, neurology, pulmonary, cardiology, and metabolic diseases. Geographically, just over half of total revenue is generated in the United States.

Breaking Down Johnson & Johnson's Financial Performance

Market Capitalization: Surpassing industry standards, the company's market capitalization asserts its dominance in terms of size, suggesting a robust market position.

Revenue Growth: Over the 3 months period, Johnson & Johnson showcased positive performance, achieving a revenue growth rate of 5.25% as of 30 September, 2024. This reflects a substantial increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Health Care sector.

Net Margin: Johnson & Johnson's net margin falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of 11.99%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Johnson & Johnson's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 3.8%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): Johnson & Johnson's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 1.5%, the company showcases efficient use of assets and strong financial health.

Debt Management: Johnson & Johnson's debt-to-equity ratio is below the industry average. With a ratio of 0.51, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

How Are Analyst Ratings Determined?

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.