Johnson Stock Buy Hold or Sell Recommendation

JNJ
 Stock
  

USD 182.29  2.63  1.46%   

Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding Johnson Johnson is 'Strong Buy'. Macroaxis provides Johnson Johnson buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding JNJ positions. The advice algorithm takes into account all of Johnson Johnson's available fundamental, technical, and predictive indicators you will find on this site.
  
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The advice is provided from Johnson Johnson's buy-and-hold perspective. Please see Johnson Johnson Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. We conduct extensive research on individual companies such as Johnson and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards Johnson Johnson.

Execute Johnson Johnson Buy or Sell Advice

The Johnson recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Johnson Johnson. Macroaxis does not own or have any residual interests in Johnson Johnson or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Johnson Johnson's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Johnson JohnsonBuy Johnson Johnson
Strong Buy

Volatility

Very steadyDetails

Hype Condition

Low keyDetails

Current Valuation

UndervaluedDetails

Odds of Distress

Very LowDetails

Economic Sensitivity

Slowly supersedes the marketDetails

Analyst Consensus

BuyDetails

Financial Strenth (F Score)

HealthyDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon Johnson Johnson has a Risk Adjusted Performance of 0.0934, Jensen Alpha of 0.1419, Total Risk Alpha of 0.1919, Sortino Ratio of 0.2215 and Treynor Ratio of 0.1399
Macroaxis provides investment recommendation on Johnson Johnson to complement and cross-verify current analyst consensus on Johnson Johnson. Our trade recommendations engine determines the entity's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon. To make sure Johnson Johnson is not overpriced, please check out all Johnson Johnson fundamentals, including its total debt, market capitalization, and the relationship between the gross profit and short ratio . Given that Johnson Johnson has a price to earning of 27.24 X, we strongly advise you to confirm Johnson Johnson market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your regular risk tolerance and investing horizon.

Johnson Johnson Trading Alerts and Improvement Suggestions

Johnson Johnson current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Johnson analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. Johnson analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.
Target Mean Price191.42
Target Median Price190.00
Target High Price215.00
Recommendation Mean2.30
Number Of Analyst Opinions19
Target Low Price173.00
Average Consensus Buy
The consensus estimates and target price estimation comprises individual analyst assessments, and may or may not mutch the Macroaxis buy or sell advice. It is determined by taking an average of all analyst recommendations and classifying them as Strong Buy, Buy, Hold, or Sell.

Johnson Johnson Returns Distribution Density

The distribution of Johnson Johnson's historical returns is an attempt to chart the future uncertainty of Johnson Johnson's future price movements. The chart of the probability distribution of Johnson Johnson stock daily returns describes the distribution of returns around its average expected value. We use Johnson Johnson price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Johnson Johnson returns is essential to provide solid investment advice for Johnson Johnson stock.
Mean Return0.08Value At Risk-1.63
Potential Upside2.23Standard Deviation1.16
 Return Density 
      Distribution 
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Johnson Johnson historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Johnson Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Johnson Johnson is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Johnson Johnson backward and forwards among themselves. Johnson Johnson's institutional investor refers to the entity that pools money to purchase Johnson Johnson's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Security TypeSharesValue
Vanguard Group IncCommon Shares238.1 M42.2 B
Blackrock IncCommon Shares200.8 M35.6 B
State Street CorpCommon Shares142.2 M25.2 B
Geode Capital Management LlcCommon Shares45 MB
Northern Trust CorpCommon Shares34.1 MB
Wellington Management Group LlpCommon Shares32.8 M5.8 B
Bank Of New York Mellon CorpCommon Shares32.1 M5.7 B
Note, although Johnson Johnson's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Johnson Johnson Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Johnson Johnson or Healthcare sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Johnson Johnson stock's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Johnson stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over DOW
0.14
β
Beta against DOW0.49
σ
Overall volatility
1.18
Ir
Information ratio 0.19

Johnson Johnson Volatility Alert

Johnson Johnson has low volatility with Treynor Ratio of 0.14, Maximum Drawdown of 5.06 and kurtosis of -0.22. However, we advice all investors to further analyze Johnson Johnson to make certain all market information is desiminated and is consistent with the current expectations about Johnson Johnson upside potential. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Johnson Johnson's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Johnson Johnson's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Johnson Johnson Implied Volatility

Johnson Johnson's implied volatility exposes the market's sentiment of Johnson Johnson stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Johnson Johnson's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Johnson Johnson stock will not fluctuate a lot when Johnson Johnson's options are near their expiration.

Johnson Johnson Fundamentals Vs Peers

Comparing Johnson Johnson's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Johnson Johnson's direct or indirect competition across all of the common fundamentals between Johnson Johnson and the related equities. This way, we can detect undervalued stocks with similar characteristics as Johnson Johnson or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Johnson Johnson's fundamental indicators could also be used in its relative valuation, which is a method of valuing Johnson Johnson by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Johnson Johnson to competition
FundamentalsJohnson JohnsonPeer Average
Return On Equity28.22 %(0.31) %
Return On Asset8.96 %(0.14) %
Profit Margin20.90 %(1.27) %
Operating Margin34.16 %(5.51) %
Current Valuation477.62 B16.62 B
Shares Outstanding2.63 B571.82 M
Shares Owned by Insiders0.09 %10.09 %
Shares Owned by Institutions70.43 %39.21 %
Number of Shares Shorted17.48 M4.71 M
Price to Earning27.24 X28.72 X
Price to Book6.83 X9.51 X
Price to Sales5.06 X11.42 X
Revenue94.88 B9.43 B
Gross Profit64.02 B27.38 B
EBITDA32.41 B3.9 B
Net Income19.83 B570.98 M
Cash and Equivalents30.39 B2.7 B
Cash per Share11.55 X5.01 X
Total Debt33.15 B5.32 B
Debt to Equity0.44 %48.70 %
Current Ratio1.39 X2.16 X
Book Value Per Share26.69 X1.93 K
Cash Flow from Operations23.31 B971.22 M
Short Ratio2.15 X4.00 X
Earnings Per Share6.69 X3.12 X
Price to Earnings To Growth3.17 X4.89 X
Number of Employees144 K18.84 K
Beta0.72-0.15
Market Capitalization479.9 B19.03 B
Total Asset133.41 B29.47 B
Retained Earnings108.06 B9.33 B
Working Capital32.46 B1.48 B
Current Asset60.21 B9.34 B
   Exercise or conversion by Kathryn Wengel of 40000 shares of Johnson Johnson subject to Rule 16b-3 [view details]

About Johnson Johnson Buy or Sell Advice

When is the right time to buy or sell Johnson Johnson? Buying financial instruments such as Johnson Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the stock market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Although Johnson Johnson investors may find it confusing at the beginning, most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2012 2017 2018 2022 (projected)
Receivables11.7 B13.49 B15.28 B15.14 B
Inventories8.14 B8.77 B10.39 B10.08 B

Use Investing Ideas to Build Portfolios

In addition to having Johnson Johnson in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Communication Services Thematic Idea Now

Communication Services
Communication Services Theme
Companies that provide networking, telecom, and long distance services. The Communication Services theme has 30 constituents.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Communication Services Theme or any other thematic opportunities.
View All  Next Launch Communication Services
Please see Johnson Johnson Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note that the Johnson Johnson information on this page should be used as a complementary analysis to other Johnson Johnson's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Portfolio Manager module to state of the art Portfolio Manager to monitor and improve performance of your invested capital.

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Is Johnson Johnson's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Johnson Johnson. If investors know Johnson will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Johnson Johnson listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
-0.17
Market Capitalization
479.7 B
Quarterly Revenue Growth YOY
0.05
Return On Assets
0.0896
Return On Equity
0.28
The market value of Johnson Johnson is measured differently than its book value, which is the value of Johnson that is recorded on the company's balance sheet. Investors also form their own opinion of Johnson Johnson's value that differs from its market value or its book value, called intrinsic value, which is Johnson Johnson's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Johnson Johnson's market value can be influenced by many factors that don't directly affect Johnson Johnson's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Johnson Johnson's value and its price as these two are different measures arrived at by different means. Investors typically determine Johnson Johnson value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Johnson Johnson's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.