The Ensign Group Inc (ENSG)vsJohnson & Johnson (JNJ)
ENSG
The Ensign Group Inc
$170.30
+3.66%
HEALTHCARE · Cap: $8.73B
JNJ
Johnson & Johnson
$232.77
+1.07%
HEALTHCARE · Cap: $536.54B
Smart Verdict
WallStSmart Research — data-driven comparison
Johnson & Johnson generates 1727% more annual revenue ($96.36B vs $5.27B). JNJ leads profitability with a 21.8% profit margin vs 6.9%. ENSG appears more attractively valued with a PEG of 1.32. ENSG earns a higher WallStSmart Score of 63/100 (C+).
ENSG
Buy63
out of 100
Grade: C+
JNJ
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-45.7%
Fair Value
$145.42
Current Price
$170.30
$24.88 premium
Margin of Safety
-71.4%
Fair Value
$135.80
Current Price
$232.77
$96.97 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
18.4% revenue growth
Earnings expanding 21.9% YoY
Mega-cap, among the largest globally
Every $100 of equity generates 26 in profit
Keeps 22 of every $100 in revenue as profit
Strong operational efficiency at 27.4%
Generating 1.5B in free cash flow
Areas to Watch
6.9% margin — thin
Moderate valuation
Expensive relative to growth rate
Earnings declined 52.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : ENSG
The strongest argument for ENSG centers on Revenue Growth, EPS Growth. Revenue growth of 18.4% demonstrates continued momentum. PEG of 1.32 suggests the stock is reasonably priced for its growth.
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 : ENSG
The primary concerns for ENSG are Profit Margin.
Bear Case : JNJ
The primary concerns for JNJ are P/E Ratio, PEG Ratio, EPS Growth.
Key Dynamics to Monitor
ENSG profiles as a growth stock while JNJ is a mature play — different risk/reward profiles.
ENSG carries more volatility with a beta of 0.68 — expect wider price swings.
ENSG is growing revenue faster at 18.4% — sustainability is the question.
JNJ generates stronger free cash flow (1.5B), providing more financial flexibility.
Bottom Line
ENSG scores higher overall (63/100 vs 59/100) and 18.4% 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.
The Ensign Group Inc
HEALTHCARE · MEDICAL CARE FACILITIES · USA
The Ensign Group, Inc. provides health care services in the post-acute care continuum and other ancillary businesses. The company is headquartered in San Juan Capistrano, 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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