WallStSmart

Avadel Pharmaceuticals PLC (AVDL)vsJohnson & Johnson (JNJ)

VS
⚡

Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 39871% more annual revenue ($99.33B vs $248.52M). JNJ leads profitability with a 16.2% profit margin vs -0.0%. AVDL appears more attractively valued with a PEG of 0.07. JNJ earns a higher WallStSmart Score of 54/100 (C-).

AVDL

Hold

41

out of 100

Grade: D

Growth: 4.3Profit: 2.5Value: 8.3Quality: 5.5
Piotroski: 3/9Altman Z: -5.40

JNJ

Buy

54

out of 100

Grade: C-

Growth: 4.7Profit: 8.5Value: 3.7Quality: 5.5
Piotroski: 3/9Altman Z: 2.64
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AVDLUndervalued (+69.2%)

Margin of Safety

+69.2%

Fair Value

$70.24

Current Price

$21.64

$48.60 discount

UndervaluedFair: $70.24Overvalued

Intrinsic value data unavailable for JNJ.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AVDL1 strengths · Avg: 10.0/10
PEG RatioValuation
0.0710/10

Growing faster than its price suggests

JNJ3 strengths · Avg: 8.7/10
Market CapQuality
$657.68B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
25.7%8/10

Strong operational efficiency at 25.7%

Free Cash FlowQuality
$6.36B8/10

Generating 6.4B in free cash flow

Areas to Watch

AVDL4 concerns · Avg: 3.5/10
Revenue GrowthGrowth
0.5%4/10

0.5% revenue growth

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Operating MarginProfitability
0.0%3/10

Operating margin of 0.0%

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

JNJ4 concerns · Avg: 2.8/10
Price/BookValuation
8.2x4/10

Trading at 8.2x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
3.072/10

Expensive relative to growth rate

P/E RatioValuation
41.5x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : AVDL

The strongest argument for AVDL centers on PEG Ratio. PEG of 0.07 suggests the stock is reasonably priced for its growth.

Bull Case : JNJ

The strongest argument for JNJ centers on Market Cap, Operating Margin, Free Cash Flow. Profitability is solid with margins at 16.2% and operating margin at 25.7%.

Bear Case : AVDL

The primary concerns for AVDL are Revenue Growth, EPS Growth, Operating Margin.

Bear Case : JNJ

The primary concerns for JNJ are Price/Book, Piotroski F-Score, PEG Ratio. A P/E of 41.5x leaves little room for execution misses.

Key Dynamics to Monitor

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

AVDL carries more volatility with a beta of 1.63 — expect wider price swings.

JNJ is growing revenue faster at 5.9% — sustainability is the question.

JNJ generates stronger free cash flow (6.4B), providing more financial flexibility.

Bottom Line

JNJ scores higher overall (54/100 vs 41/100), backed by strong 16.2% margins. AVDL offers better value entry with a 69.2% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

Avadel Pharmaceuticals PLC

HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA

Avadel Pharmaceuticals plc is a biopharmaceutical company in the United States. The company is headquartered in Dublin, Ireland.

Visit Website →

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.

Visit Website →

Want to dig deeper into these stocks?