WallStSmart

Alnylam Pharmaceuticals Inc (ALNY)vsJohnson & Johnson (JNJ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 2148% more annual revenue ($96.36B vs $4.29B). JNJ leads profitability with a 21.8% profit margin vs 12.6%. ALNY appears more attractively valued with a PEG of 0.50. ALNY earns a higher WallStSmart Score of 65/100 (B-).

ALNY

Strong Buy

65

out of 100

Grade: B-

Growth: 8.0Profit: 8.0Value: 7.3Quality: 5.0

JNJ

Buy

59

out of 100

Grade: C

Growth: 4.7Profit: 9.0Value: 3.3Quality: 6.0
Piotroski: 4/9Altman Z: 2.64
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ALNYUndervalued (+86.6%)

Margin of Safety

+86.6%

Fair Value

$2401.68

Current Price

$297.45

$2104.23 discount

UndervaluedFair: $2401.68Overvalued
JNJSignificantly Overvalued (-70.6%)

Margin of Safety

-70.6%

Fair Value

$135.54

Current Price

$234.34

$98.80 premium

UndervaluedFair: $135.54Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ALNY4 strengths · Avg: 9.5/10
PEG RatioValuation
0.5010/10

Growing faster than its price suggests

Return on EquityProfitability
90.4%10/10

Every $100 of equity generates 90 in profit

Revenue GrowthGrowth
96.4%10/10

Revenue surging 96.4% year-over-year

Operating MarginProfitability
23.0%8/10

Strong operational efficiency at 23.0%

JNJ5 strengths · Avg: 8.8/10
Market CapQuality
$554.67B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
26.4%9/10

Every $100 of equity generates 26 in profit

Profit MarginProfitability
21.8%9/10

Keeps 22 of every $100 in revenue as profit

Operating MarginProfitability
27.4%8/10

Strong operational efficiency at 27.4%

Free Cash FlowQuality
$1.47B8/10

Generating 1.5B in free cash flow

Areas to Watch

ALNY3 concerns · Avg: 2.7/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

P/E RatioValuation
74.1x2/10

Premium valuation, high expectations priced in

Price/BookValuation
36.9x2/10

Trading at 36.9x book value

JNJ3 concerns · Avg: 2.7/10
P/E RatioValuation
26.7x4/10

Moderate valuation

PEG RatioValuation
2.882/10

Expensive relative to growth rate

EPS GrowthGrowth
-52.9%2/10

Earnings declined 52.9%

Comparative Analysis Report

WallStSmart Research

Bull Case : ALNY

The strongest argument for ALNY centers on PEG Ratio, Return on Equity, Revenue Growth. Revenue growth of 96.4% demonstrates continued momentum. PEG of 0.50 suggests the stock is reasonably priced for its growth.

Bull Case : JNJ

The strongest argument for JNJ centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 21.8% and operating margin at 27.4%.

Bear Case : ALNY

The primary concerns for ALNY are EPS Growth, P/E Ratio, Price/Book. A P/E of 74.1x leaves little room for execution misses.

Bear Case : JNJ

The primary concerns for JNJ are P/E Ratio, PEG Ratio, EPS Growth.

Key Dynamics to Monitor

ALNY profiles as a growth stock while JNJ is a mature play — different risk/reward profiles.

ALNY carries more volatility with a beta of 0.30 — expect wider price swings.

ALNY is growing revenue faster at 96.4% — sustainability is the question.

JNJ generates stronger free cash flow (1.5B), providing more financial flexibility.

Bottom Line

ALNY scores higher overall (65/100 vs 59/100) and 96.4% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Alnylam Pharmaceuticals Inc

HEALTHCARE · BIOTECHNOLOGY · USA

Alnylam Pharmaceuticals, Inc., a biopharmaceutical company, focuses on discovering, developing and commercializing RNA interference (RNAi) therapies. The company is headquartered in Cambridge, Massachusetts.

Johnson & Johnson

HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA

Johnson & Johnson (J&J) is an American multinational corporation founded in 1886 that develops medical devices, pharmaceuticals, and consumer packaged goods. Its common stock is a component of the Dow Jones Industrial Average and the company is ranked No. 36 on the 2021 Fortune 500 list of the largest United States corporations by total revenue. Johnson & Johnson is one of the world's most valuable companies, and is one of only two U.S.-based companies that has a prime credit rating of AAA, higher than that of the United States government.

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