Johnson & Johnson (NYSE:JNJ) Trading Up 3.1% – Still a Buy?

Shares of Johnson & Johnson (NYSE:JNJ) traded up 3.1% during mid-day trading on Tuesday . The company traded as high as $269.43 and last traded at $267.3470. 8,980,344 shares changed hands during trading, an increase of 6% from the average session volume of 8,459,440 shares. The stock had previously closed at $259.33.

Johnson & Johnson News Roundup

Here are the key news stories impacting Johnson & Johnson this week:

• Positive Sentiment: Jim Cramer said Johnson & Johnson “will have lots of good news” from its blockbuster drug lineup, reinforcing the view that the company’s pharma portfolio could keep supporting earnings and sentiment. Jim Cramer Says Johnson & Johnson “Will Have Lots of Good News About Its Myriad Blockbuster Drugs”
• Positive Sentiment: Johnson & Johnson received FDA approval for its Dual Energy THERMOCOOL SMARTTOUCH SF Platform, a dual-energy ablation system that could strengthen its electrophysiology business and expand its medtech growth opportunity. Johnson & Johnson Announces FDA Approval for the Dual Energy THERMOCOOL SMARTTOUCH SF Platform
• Positive Sentiment: Analysts and market-watch articles highlighted Johnson & Johnson as a “Strong Buy” Dividend Aristocrat and pointed to its history of earnings beats, which may be supporting confidence ahead of the next report. Will Johnson & Johnson (JNJ) Beat Estimates Again in Its Next Earnings Report?
• Neutral Sentiment: Some commentary suggests the stock may have gotten ahead of fundamentals, with one note arguing that optimism is elevated even though Johnson & Johnson’s operating picture remains strong. Johnson & Johnson: Stronger Fundamentals, But Too Much Optimism
• Negative Sentiment: Shares had recently pulled back from their highs, suggesting some near-term pressure may be coming from profit-taking or broader rotation out of defensive names. Johnson & Johnson (JNJ) Declines More Than Market: Some Information for Investors

Analyst Upgrades and Downgrades

A number of research firms have recently commented on JNJ. Wells Fargo & Company raised their price target on Johnson & Johnson from $240.00 to $263.00 and gave the stock an “overweight” rating in a report on Wednesday, April 15th. Citigroup increased their price objective on Johnson & Johnson from $285.00 to $298.00 and gave the stock a “buy” rating in a report on Wednesday. Bank of America raised their target price on Johnson & Johnson from $253.00 to $254.00 and gave the stock a “neutral” rating in a research note on Wednesday, April 15th. Weiss Ratings lowered Johnson & Johnson from a “buy (b)” rating to a “buy (b-)” rating in a report on Monday, June 15th. Finally, Johnson Rice set a $270.00 price target on Johnson & Johnson in a research report on Friday, June 26th. Twenty equities research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company. According to MarketBeat.com, Johnson & Johnson has an average rating of “Moderate Buy” and an average target price of $257.74.

Johnson & Johnson Stock Down 1.9%

The company has a market cap of $622.22 billion, a PE ratio of 29.88, a P/E/G ratio of 2.62 and a beta of 0.24. The stock has a 50-day moving average of $235.85 and a 200-day moving average of $232.52. The company has a quick ratio of 0.77, a current ratio of 1.03 and a debt-to-equity ratio of 0.46.

Johnson & Johnson (NYSE:JNJ) last posted its earnings results on Tuesday, April 14th. The company reported $2.70 EPS for the quarter, topping the consensus estimate of $2.68 by $0.02. The business had revenue of $24.06 billion during the quarter, compared to analysts’ expectations of $23.60 billion. Johnson & Johnson had a return on equity of 32.60% and a net margin of 21.83%.The firm’s revenue was up 9.9% on a year-over-year basis. During the same period in the previous year, the business earned $2.77 earnings per share. Johnson & Johnson has set its FY 2026 guidance at 11.450-11.650 EPS. Sell-side analysts predict that Johnson & Johnson will post 11.57 earnings per share for the current fiscal year.

Johnson & Johnson Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, June 9th. Stockholders of record on Tuesday, May 26th were issued a dividend of $1.34 per share. The ex-dividend date of this dividend was Tuesday, May 26th. This is a positive change from Johnson & Johnson’s previous quarterly dividend of $1.30. This represents a $5.36 annualized dividend and a dividend yield of 2.1%. Johnson & Johnson’s payout ratio is presently 61.97%.

Insider Buying and Selling at Johnson & Johnson

In related news, EVP Kathryn E. Wengel sold 10,000 shares of the firm’s stock in a transaction that occurred on Thursday, June 11th. The shares were sold at an average price of $241.15, for a total value of $2,411,500.00. Following the sale, the executive vice president directly owned 114,288 shares of the company’s stock, valued at $27,560,551.20. This trade represents a 8.05% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Company insiders own 0.16% of the company’s stock.

Institutional Trading of Johnson & Johnson

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Blueline Advisors LLC bought a new stake in Johnson & Johnson during the fourth quarter worth about $25,000. Cresta Advisors Ltd. purchased a new position in shares of Johnson & Johnson during the 4th quarter valued at about $26,000. DecisionPoint Financial LLC lifted its position in Johnson & Johnson by 104.2% in the 4th quarter. DecisionPoint Financial LLC now owns 147 shares of the company’s stock worth $30,000 after buying an additional 75 shares during the last quarter. Family CFO Inc bought a new stake in Johnson & Johnson in the 4th quarter worth approximately $31,000. Finally, Bay Harbor Wealth Management LLC boosted its stake in Johnson & Johnson by 49.0% in the fourth quarter. Bay Harbor Wealth Management LLC now owns 149 shares of the company’s stock worth $31,000 after buying an additional 49 shares in the last quarter. Hedge funds and other institutional investors own 69.55% of the company’s stock.

About Johnson & Johnson

Johnson & Johnson is a multinational healthcare company headquartered in New Brunswick, New Jersey, that develops, manufactures and markets a broad range of products across pharmaceuticals, medical devices and previously consumer health. Founded in 1886 by the Johnson family, the company has grown into a global healthcare organization with operations and sales in many countries around the world.

The company’s pharmaceuticals business, organized largely under its Janssen research and development organization, focuses on prescription medicines across therapeutic areas such as immunology, infectious disease, oncology and neuroscience.