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Johnson & Johnson (JNJ) Stock Sinks As Market Gains: What You Should Know
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In the latest trading session, Johnson & Johnson (JNJ - Free Report) closed at $164.32, marking a -0.5% move from the previous day. This change lagged the S&P 500's 0.1% gain on the day. At the same time, the Dow added 0.3%, and the tech-heavy Nasdaq lost 2.19%.
Prior to today's trading, shares of the world's biggest maker of health care products had gained 8.93% over the past month. This has outpaced the Medical sector's gain of 4.07% and the S&P 500's gain of 3.13% in that time.
Wall Street will be looking for positivity from Johnson & Johnson as it approaches its next earnings report date. This is expected to be April 18, 2023. The company is expected to report EPS of $2.50, down 6.37% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $23.56 billion, up 0.59% from the year-ago period.
JNJ's full-year Zacks Consensus Estimates are calling for earnings of $10.50 per share and revenue of $97.72 billion. These results would represent year-over-year changes of +3.45% and +2.93%, respectively.
Any recent changes to analyst estimates for Johnson & Johnson should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Johnson & Johnson is currently a Zacks Rank #3 (Hold).
Digging into valuation, Johnson & Johnson currently has a Forward P/E ratio of 15.73. This represents a premium compared to its industry's average Forward P/E of 14.71.
Also, we should mention that JNJ has a PEG ratio of 2.85. 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. Large Cap Pharmaceuticals stocks are, on average, holding a PEG ratio of 1.73 based on yesterday's closing prices.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 69, putting it in the top 28% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow JNJ in the coming trading sessions, be sure to utilize Zacks.com.
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Johnson & Johnson (JNJ) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, Johnson & Johnson (JNJ - Free Report) closed at $164.32, marking a -0.5% move from the previous day. This change lagged the S&P 500's 0.1% gain on the day. At the same time, the Dow added 0.3%, and the tech-heavy Nasdaq lost 2.19%.
Prior to today's trading, shares of the world's biggest maker of health care products had gained 8.93% over the past month. This has outpaced the Medical sector's gain of 4.07% and the S&P 500's gain of 3.13% in that time.
Wall Street will be looking for positivity from Johnson & Johnson as it approaches its next earnings report date. This is expected to be April 18, 2023. The company is expected to report EPS of $2.50, down 6.37% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $23.56 billion, up 0.59% from the year-ago period.
JNJ's full-year Zacks Consensus Estimates are calling for earnings of $10.50 per share and revenue of $97.72 billion. These results would represent year-over-year changes of +3.45% and +2.93%, respectively.
Any recent changes to analyst estimates for Johnson & Johnson should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Johnson & Johnson is currently a Zacks Rank #3 (Hold).
Digging into valuation, Johnson & Johnson currently has a Forward P/E ratio of 15.73. This represents a premium compared to its industry's average Forward P/E of 14.71.
Also, we should mention that JNJ has a PEG ratio of 2.85. 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. Large Cap Pharmaceuticals stocks are, on average, holding a PEG ratio of 1.73 based on yesterday's closing prices.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This group has a Zacks Industry Rank of 69, putting it in the top 28% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow JNJ in the coming trading sessions, be sure to utilize Zacks.com.