WallStSmart

Brainsway Ltd (BWAY)vsJohnson & Johnson (JNJ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 184413% more annual revenue ($96.36B vs $52.23M). JNJ leads profitability with a 21.8% profit margin vs 14.5%. JNJ trades at a lower P/E of 26.3x. JNJ earns a higher WallStSmart Score of 59/100 (C).

BWAY

Hold

46

out of 100

Grade: D+

Growth: 9.3Profit: 5.5Value: 4.0Quality: 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

Intrinsic value data unavailable for BWAY.

JNJSignificantly Overvalued (-43.5%)

Margin of Safety

-43.5%

Fair Value

$160.13

Current Price

$227.35

$67.22 premium

UndervaluedFair: $160.13Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BWAY2 strengths · Avg: 9.0/10
EPS GrowthGrowth
321.2%10/10

Earnings expanding 321.2% YoY

Revenue GrowthGrowth
27.4%8/10

Revenue surging 27.4% year-over-year

JNJ5 strengths · Avg: 8.8/10
Market CapQuality
$547.28B10/10

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

BWAY4 concerns · Avg: 2.8/10
Price/BookValuation
8.5x4/10

Trading at 8.5x book value

Market CapQuality
$655.34M3/10

Smaller company, higher risk/reward

P/E RatioValuation
90.9x2/10

Premium valuation, high expectations priced in

Free Cash FlowQuality
$-2.02M2/10

Negative free cash flow — burning cash

JNJ3 concerns · Avg: 2.7/10
P/E RatioValuation
26.3x4/10

Moderate valuation

PEG RatioValuation
2.962/10

Expensive relative to growth rate

EPS GrowthGrowth
-52.9%2/10

Earnings declined 52.9%

Comparative Analysis Report

WallStSmart Research

Bull Case : BWAY

The strongest argument for BWAY centers on EPS Growth, Revenue Growth. Revenue growth of 27.4% demonstrates continued momentum.

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 : BWAY

The primary concerns for BWAY are Price/Book, Market Cap, P/E Ratio. A P/E of 90.9x 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

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

JNJ carries more volatility with a beta of 0.33 — expect wider price swings.

BWAY is growing revenue faster at 27.4% — 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 46/100), backed by strong 21.8% margins. 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.

Brainsway Ltd

HEALTHCARE · MEDICAL DEVICES · USA

Brainsway Ltd., a commercial-stage medical device company, focuses on the development and sale of non-invasive neuromodulation products in Israel and internationally. The company is headquartered in Jerusalem, Israel.

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?