The Ensign Group Inc (ENSG)vsJohnson & Johnson (JNJ)
ENSG
The Ensign Group Inc
$173.98
+0.69%
HEALTHCARE · Cap: $9.94B
JNJ
Johnson & Johnson
$265.58
-0.29%
HEALTHCARE · Cap: $640.02B
Smart Verdict
WallStSmart Research — data-driven comparison
Johnson & Johnson generates 1685% more annual revenue ($97.93B vs $5.49B). JNJ leads profitability with a 21.5% profit margin vs 6.9%. ENSG appears more attractively valued with a PEG of 1.35. ENSG earns a higher WallStSmart Score of 61/100 (C+).
ENSG
Buy61
out of 100
Grade: C+
JNJ
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-39.8%
Fair Value
$151.59
Current Price
$173.98
$22.39 premium
Margin of Safety
-88.9%
Fair Value
$140.57
Current Price
$265.58
$125.01 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
17.3% revenue growth
Mega-cap, among the largest globally
Every $100 of equity generates 25 in profit
Keeps 22 of every $100 in revenue as profit
Strong operational efficiency at 29.2%
Generating 3.4B in free cash flow
Areas to Watch
Moderate valuation
6.9% margin — thin
Premium valuation, high expectations priced in
Expensive relative to growth rate
Earnings declined 0.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : ENSG
The strongest argument for ENSG centers on Revenue Growth. Revenue growth of 17.3% demonstrates continued momentum. PEG of 1.35 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 21.5% and operating margin at 29.2%.
Bear Case : ENSG
The primary concerns for ENSG are P/E Ratio, 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 0.69 — expect wider price swings.
ENSG is growing revenue faster at 17.3% — sustainability is the question.
JNJ generates stronger free cash flow (3.4B), providing more financial flexibility.
Bottom Line
ENSG scores higher overall (61/100 vs 59/100) and 17.3% 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.
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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