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Johnson & Johnson (JNJ) Stock Moves -0.06%: What You Should Know

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In the latest trading session, Johnson & Johnson (JNJ - Free Report) closed at $160.43, marking a -0.06% move from the previous day. The stock's performance was ahead of the S&P 500's daily loss of 0.56%. Meanwhile, the Dow lost 0.25%, and the Nasdaq, a tech-heavy index, lost 0.59%.

The world's biggest maker of health care products's stock has climbed by 2.59% in the past month, falling short of the Medical sector's gain of 3.8% and outpacing the S&P 500's gain of 1.2%.

The upcoming earnings release of Johnson & Johnson will be of great interest to investors. The company's earnings report is expected on January 23, 2024. The company is forecasted to report an EPS of $2.27, showcasing a 3.4% downward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $21.1 billion, down 10.99% from the year-ago period.

Any recent changes to analyst estimates for Johnson & Johnson should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.35% lower. As of now, Johnson & Johnson holds a Zacks Rank of #3 (Hold).

Looking at its valuation, Johnson & Johnson is holding a Forward P/E ratio of 14.97. This signifies a premium in comparison to the average Forward P/E of 14.43 for its industry.

Investors should also note that JNJ has a PEG ratio of 3.05 right now. 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. The average PEG ratio for the Large Cap Pharmaceuticals industry stood at 1.82 at the close of the market yesterday.

The Large Cap Pharmaceuticals industry is part of the Medical sector. With its current Zacks Industry Rank of 91, this industry ranks in the top 37% of all industries, numbering over 250.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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