CareDx Inc (CDNA)vsJohnson & Johnson (JNJ)
CDNA
CareDx Inc
$79.81
-1.68%
HEALTHCARE · Cap: $4.59B
JNJ
Johnson & Johnson
$283.62
+1.11%
HEALTHCARE · Cap: $657.68B
Smart Verdict
WallStSmart Research — data-driven comparison
Johnson & Johnson generates 19871% more annual revenue ($99.33B vs $497.40M). CDNA leads profitability with a 25.9% profit margin vs 16.2%. CDNA trades at a lower P/E of 36.9x. CDNA earns a higher WallStSmart Score of 60/100 (C).
CDNA
Buy60
out of 100
Grade: C
JNJ
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+70.0%
Fair Value
$65.83
Current Price
$79.81
$13.98 discount
Intrinsic value data unavailable for JNJ.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 39.3% year-over-year
Earnings expanding 1067.0% YoY
Conservative balance sheet, low leverage
Keeps 26 of every $100 in revenue as profit
Mega-cap, among the largest globally
Strong operational efficiency at 25.7%
Generating 6.4B in free cash flow
Areas to Watch
Premium valuation, high expectations priced in
Trading at 9.0x book value
ROE of -2.6% — below average capital efficiency
Distress zone — elevated risk
Trading at 8.4x book value
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : CDNA
The strongest argument for CDNA centers on Revenue Growth, EPS Growth, Debt/Equity. Profitability is solid with margins at 25.9% and operating margin at 8.5%. Revenue growth of 39.3% demonstrates continued momentum.
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 : CDNA
The primary concerns for CDNA are P/E Ratio, Price/Book, Return on Equity.
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
CDNA profiles as a growth stock while JNJ is a mature play — different risk/reward profiles.
CDNA carries more volatility with a beta of 2.38 — expect wider price swings.
CDNA is growing revenue faster at 39.3% — sustainability is the question.
JNJ generates stronger free cash flow (6.4B), providing more financial flexibility.
Bottom Line
CDNA scores higher overall (60/100 vs 54/100), backed by strong 25.9% margins and 39.3% revenue growth. Both earn "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.
CareDx Inc
HEALTHCARE · DIAGNOSTICS & RESEARCH · USA
CareDx, Inc. discovers, develops and markets diagnostic solutions for transplant patients and caregivers globally. The company is headquartered in South San Francisco, California.
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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