Johnson & Johnson: Vital Signs Decent, A Compelling Value Case


  • The Health Care sector has been stagnant while other areas of the stock market reach record highs, leaving some value opportunities in drugmakers and pharma stocks.
  • I have a buy rating on Johnson & Johnson (JNJ) given its stable earnings growth and lofty yield.
  • JNJ’s diversified portfolio and pipeline provide stability, despite some weaknesses in certain areas.
  • I highlight key price points to monitor on the chart ahead of a busy corporate presentation schedule.
Johnson & Johnson Medical Products company in Markham, Ontario


The Health Care sector continues to meander, while more risk-on areas of the stock market hit fresh record highs. In the last three months, the Health Care Select Sector SPDR ETF (XLV) is among three S&P 500 sector ETFs

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. 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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