Johnson & Johnson Stock Price and Value Analysis

Should you buy Johnson & Johnson stock? (NYSE:JNJ). Let's see how it does in our automated value investing analysis system.

JNJ Free Cash Flow Trend

Free Cash Flow trendline for JNJ
Free Cash Flow trendline for Johnson & Johnson

Based on historical returns, we believe that Johnson & Johnson can grow its free cash at a rate of about 1%. That's positive!

AdvantagesDisadvantages
  • This company has a high dividend yield.
  • This company is a well-established bedrock.
  • This stock looks overpriced.
  • This company is making money at a modest rate.
  • This company has wild ups and downs.

Inside the JNJ Numbers

JNJ Price
(Johnson & Johnson stock price per share)
$131.27
[?] JNJ Fair Price
(based on intrinsic value)
$66.80
[?] JNJ Safety Price (based on a variable margin of safety) $56.78
[?] PE Ratio versus Sector 7% higher than other Healthcare stocks
[?] PE Ratio versus Industry 26% higher than other Drug Manufacturers - Major stocks
[?] Cash Yield 5.65%
[?] Free Cash Flow Jitter 110%
[?] Dividend Yield 3%

Is Johnson & Johnson Stock on Sale?

We believe that Johnson & Johnson may be worth examining further. It's making money, which is a very positive sign. Is it on sale?

Johnson & Johnson looks overpriced right now. If you're looking for a bargain in the stock market, you should probably look elsewhere for a great deal. This might still be a great stock to own—but it's not on sale right now.

Should You Buy JNJ Stock?

Does Johnson & Johnson have a coherent story? Does it have a plan to continue to make money? Is it worth your time? Only you can decide where to go from here. Our investment guide helps you ask the right questions, including how to buy stocks. Use these research links for more information.