WallStSmart

Jazz Pharmaceuticals PLC (JAZZ)vsJohnson & Johnson (JNJ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 2158% more annual revenue ($96.36B vs $4.27B). JNJ leads profitability with a 21.8% profit margin vs -8.3%. JAZZ appears more attractively valued with a PEG of 0.66. JNJ earns a higher WallStSmart Score of 59/100 (C).

JAZZ

Buy

55

out of 100

Grade: C

Growth: 5.3Profit: 5.0Value: 7.7Quality: 4.8
Piotroski: 3/9Altman Z: 1.04

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

JAZZUndervalued (+56.4%)

Margin of Safety

+56.4%

Fair Value

$381.38

Current Price

$199.92

$181.46 discount

UndervaluedFair: $381.38Overvalued
JNJSignificantly Overvalued (-43.5%)

Margin of Safety

-43.5%

Fair Value

$160.13

Current Price

$229.85

$69.72 premium

UndervaluedFair: $160.13Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

JAZZ3 strengths · Avg: 8.0/10
PEG RatioValuation
0.668/10

Growing faster than its price suggests

Price/BookValuation
2.8x8/10

Reasonable price relative to book value

Operating MarginProfitability
27.1%8/10

Strong operational efficiency at 27.1%

JNJ5 strengths · Avg: 8.8/10
Market CapQuality
$547.28B10/10

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

JAZZ4 concerns · Avg: 2.8/10
EPS GrowthGrowth
3.2%4/10

3.2% earnings growth

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Return on EquityProfitability
-8.5%2/10

ROE of -8.5% — below average capital efficiency

Altman Z-ScoreHealth
1.042/10

Distress zone — elevated risk

JNJ3 concerns · Avg: 2.7/10
P/E RatioValuation
26.3x4/10

Moderate valuation

PEG RatioValuation
2.962/10

Expensive relative to growth rate

EPS GrowthGrowth
-52.9%2/10

Earnings declined 52.9%

Comparative Analysis Report

WallStSmart Research

Bull Case : JAZZ

The strongest argument for JAZZ centers on PEG Ratio, Price/Book, Operating Margin. Revenue growth of 10.1% demonstrates continued momentum. PEG of 0.66 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 : JAZZ

The primary concerns for JAZZ are EPS Growth, Piotroski F-Score, Return on Equity.

Bear Case : JNJ

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

Key Dynamics to Monitor

JAZZ profiles as a turnaround stock while JNJ is a mature play — different risk/reward profiles.

JNJ carries more volatility with a beta of 0.33 — expect wider price swings.

JAZZ is growing revenue faster at 10.1% — 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 55/100), backed by strong 21.8% margins. JAZZ offers better value entry with a 56.4% margin of safety. 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.

Jazz Pharmaceuticals PLC

HEALTHCARE · BIOTECHNOLOGY · USA

Jazz Pharmaceuticals plc, a biopharmaceutical company, identifies, develops, and markets pharmaceutical products for various unmet medical needs in the United States, Europe, and internationally. The company is headquartered in Dublin, Ireland.

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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