WallStSmart

EDAP TMS SA (EDAP)vsJohnson & Johnson (JNJ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 129992% more annual revenue ($96.36B vs $74.07M). JNJ leads profitability with a 21.8% profit margin vs -41.7%. JNJ appears more attractively valued with a PEG of 2.91. JNJ earns a higher WallStSmart Score of 59/100 (C).

EDAP

Avoid

25

out of 100

Grade: F

Growth: 4.7Profit: 2.0Value: 5.7Quality: 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

EDAPUndervalued (+41.7%)

Margin of Safety

+41.7%

Fair Value

$8.41

Current Price

$4.31

$4.10 discount

UndervaluedFair: $8.41Overvalued
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

EDAP0 strengths · Avg: 0/10

No standout strengths identified

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

EDAP4 concerns · Avg: 2.8/10
Price/BookValuation
8.3x4/10

Trading at 8.3x book value

Market CapQuality
$156.30M3/10

Smaller company, higher risk/reward

PEG RatioValuation
90.472/10

Expensive relative to growth rate

Return on EquityProfitability
-124.0%2/10

ROE of -124.0% — below average capital efficiency

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 : EDAP

Revenue growth of 13.9% 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 : EDAP

The primary concerns for EDAP are Price/Book, Market Cap, PEG Ratio.

Bear Case : JNJ

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

Key Dynamics to Monitor

EDAP 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.

EDAP is growing revenue faster at 13.9% — 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 25/100), backed by strong 21.8% margins. EDAP offers better value entry with a 41.7% 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.

EDAP TMS SA

HEALTHCARE · MEDICAL DISTRIBUTION · USA

EDAP TMS SA, develops, produces, markets, distributes and maintains a portfolio of minimally invasive medical devices for the treatment of urological diseases in Asia, France, the United States and internationally. The company is headquartered in Lyon, France.

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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