WallStSmart

EOG Resources Inc (EOG)vsJohnson & Johnson (JNJ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 309% more annual revenue ($96.36B vs $23.57B). EOG leads profitability with a 23.3% profit margin vs 21.8%. EOG appears more attractively valued with a PEG of 1.40. EOG earns a higher WallStSmart Score of 80/100 (A-).

EOG

Exceptional Buy

80

out of 100

Grade: A-

Growth: 6.7Profit: 8.5Value: 8.0Quality: 5.8
Piotroski: 2/9Altman Z: 2.87

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

EOGUndervalued (+51.4%)

Margin of Safety

+51.4%

Fair Value

$243.17

Current Price

$130.03

$113.14 discount

UndervaluedFair: $243.17Overvalued
JNJSignificantly Overvalued (-38.5%)

Margin of Safety

-38.5%

Fair Value

$160.72

Current Price

$221.32

$60.60 premium

UndervaluedFair: $160.72Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EOG6 strengths · Avg: 8.7/10
Operating MarginProfitability
37.9%10/10

Strong operational efficiency at 37.9%

Market CapQuality
$69.26B9/10

Large-cap with strong market position

Profit MarginProfitability
23.3%9/10

Keeps 23 of every $100 in revenue as profit

P/E RatioValuation
12.8x8/10

Attractively priced relative to earnings

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
15.6%8/10

15.6% revenue growth

JNJ5 strengths · Avg: 8.8/10
Market CapQuality
$535.63B10/10

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

EOG1 concerns · Avg: 3.0/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

JNJ3 concerns · Avg: 2.7/10
P/E RatioValuation
25.8x4/10

Moderate valuation

PEG RatioValuation
2.922/10

Expensive relative to growth rate

EPS GrowthGrowth
-52.9%2/10

Earnings declined 52.9%

Comparative Analysis Report

WallStSmart Research

Bull Case : EOG

The strongest argument for EOG centers on Operating Margin, Market Cap, Profit Margin. Profitability is solid with margins at 23.3% and operating margin at 37.9%. Revenue growth of 15.6% 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 : EOG

The primary concerns for EOG are Piotroski F-Score.

Bear Case : JNJ

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

Key Dynamics to Monitor

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

EOG carries more volatility with a beta of 0.28 — expect wider price swings.

EOG is growing revenue faster at 15.6% — sustainability is the question.

EOG generates stronger free cash flow (1.5B), providing more financial flexibility.

Bottom Line

EOG scores higher overall (80/100 vs 59/100), backed by strong 23.3% margins and 15.6% revenue growth. Both earn "Exceptional 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.

EOG Resources Inc

ENERGY · OIL & GAS E&P · USA

EOG Resources, Inc. is an American energy company engaged in hydrocarbon exploration. It is organized in Delaware and headquartered in the Heritage Plaza building in Houston, Texas.

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?