Johnson & Johnson: Starting To Look Interesting Again


  • Johnson & Johnson continues to grow, albeit at a very modest GDP + pace.
  • The company closed the Abiomed deal already, while maintaining balance sheet integrity.
  • Forward multiples of 15 times earnings and low leverage looks very reasonable.
  • The Johnson & Johnson baby talc powder overhang has come to life again after a recent court ruling, probably grabbing quite some attention this year.

Johnson & Johnson Medical Products company in Markham, Ontario


In November, I called Johnson & Johnson (NYSE:JNJ) a steady growth play after the company announced a $16.6 billion deal for Abiomed at the time. There were, however, many moving parts, including this deal, the spinoff of the consumer health business, and JNJ’s attempt to

Disclosure: I/we have a beneficial long position in the shares of JNJ either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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