Johnson & Johnson (JNJ)vsMedtronic PLC (MDT)
JNJ
Johnson & Johnson
$259.24
+0.88%
HEALTHCARE · Cap: $614.36B
MDT
Medtronic PLC
$87.16
+1.44%
HEALTHCARE · Cap: $109.30B
Smart Verdict
WallStSmart Research — data-driven comparison
Johnson & Johnson generates 169% more annual revenue ($97.93B vs $36.36B). JNJ leads profitability with a 21.5% profit margin vs 13.2%. MDT appears more attractively valued with a PEG of 1.69. MDT earns a higher WallStSmart Score of 62/100 (C+).
JNJ
Buy57
out of 100
Grade: C
MDT
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-84.8%
Fair Value
$139.37
Current Price
$259.24
$119.87 premium
Margin of Safety
+6.2%
Fair Value
$91.63
Current Price
$87.16
$4.47 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Large-cap with strong market position
Reasonable price relative to book value
Strong operational efficiency at 22.1%
Generating 2.1B in free cash flow
Areas to Watch
Moderate valuation
Expensive relative to growth rate
Earnings declined 0.9%
Expensive relative to growth rate
Grey zone — moderate risk
Comparative Analysis Report
WallStSmart ResearchBull 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%.
Bull Case : MDT
The strongest argument for MDT centers on Market Cap, Price/Book, Operating Margin.
Bear Case : JNJ
The primary concerns for JNJ are P/E Ratio, PEG Ratio, EPS Growth.
Bear Case : MDT
The primary concerns for MDT are PEG Ratio, Altman Z-Score.
Key Dynamics to Monitor
JNJ profiles as a mature stock while MDT is a value play — different risk/reward profiles.
MDT carries more volatility with a beta of 0.57 — expect wider price swings.
MDT is growing revenue faster at 9.9% — sustainability is the question.
JNJ generates stronger free cash flow (3.4B), providing more financial flexibility.
Bottom Line
MDT scores higher overall (62/100 vs 57/100). 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.
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 →Medtronic PLC
HEALTHCARE · MEDICAL DEVICES · USA
Medtronic plc is an American-Irish registered medical device company that primarily operates in the United States. Medtronic has an operational and executive headquarters in Fridley, Minnesota in the US.
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