WallStSmart

Alvotech (ALVO)vsJohnson & Johnson (JNJ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 17045% more annual revenue ($96.36B vs $562.04M). JNJ leads profitability with a 21.8% profit margin vs -14.4%. JNJ trades at a lower P/E of 25.8x. JNJ earns a higher WallStSmart Score of 59/100 (C).

ALVO

Avoid

21

out of 100

Grade: F

Growth: 4.7Profit: 4.5Value: 6.3Quality: 5.5
Piotroski: 2/9Altman Z: -1.02

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

ALVOUndervalued (+80.2%)

Margin of Safety

+80.2%

Fair Value

$24.48

Current Price

$3.54

$20.94 discount

UndervaluedFair: $24.48Overvalued
JNJSignificantly Overvalued (-71.4%)

Margin of Safety

-71.4%

Fair Value

$135.80

Current Price

$232.77

$96.97 premium

UndervaluedFair: $135.80Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ALVO1 strengths · Avg: 10.0/10
Debt/EquityHealth
-5.1610/10

Conservative balance sheet, low leverage

JNJ5 strengths · Avg: 8.8/10
Market CapQuality
$536.54B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
25.9%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

ALVO4 concerns · Avg: 3.3/10
P/E RatioValuation
33.6x4/10

Premium valuation, high expectations priced in

Market CapQuality
$1.05B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

JNJ3 concerns · Avg: 2.7/10
P/E RatioValuation
25.8x4/10

Moderate valuation

PEG RatioValuation
2.912/10

Expensive relative to growth rate

EPS GrowthGrowth
-52.9%2/10

Earnings declined 52.9%

Comparative Analysis Report

WallStSmart Research

Bull Case : ALVO

The strongest argument for ALVO centers on Debt/Equity.

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 : ALVO

The primary concerns for ALVO are P/E Ratio, Market Cap, Return on Equity.

Bear Case : JNJ

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

Key Dynamics to Monitor

ALVO profiles as a turnaround stock while JNJ is a mature play — different risk/reward profiles.

JNJ carries more volatility with a beta of 0.26 — expect wider price swings.

JNJ is growing revenue faster at 9.9% — sustainability is the question.

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

Bottom Line

JNJ scores higher overall (59/100 vs 21/100), backed by strong 21.8% margins. ALVO offers better value entry with a 80.2% margin of safety. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

Alvotech

HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA

Alvotech Holdings SA, develops and manufactures biosimilars for global markets. The company is headquartered in Iceland.

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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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