Johnson & Johnson (JNJ)vsMerit Medical Systems Inc (MMSI)
JNJ
Johnson & Johnson
$266.19
-1.62%
HEALTHCARE · Cap: $657.68B
MMSI
Merit Medical Systems Inc
$84.16
-0.18%
HEALTHCARE · Cap: $5.58B
Smart Verdict
WallStSmart Research — data-driven comparison
Johnson & Johnson generates 6192% more annual revenue ($99.33B vs $1.58B). JNJ leads profitability with a 16.2% profit margin vs 9.2%. MMSI appears more attractively valued with a PEG of 1.67. MMSI earns a higher WallStSmart Score of 54/100 (C-).
JNJ
Buy54
out of 100
Grade: C-
MMSI
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-89.3%
Fair Value
$144.28
Current Price
$266.19
$121.91 premium
Margin of Safety
-44.8%
Fair Value
$56.16
Current Price
$84.16
$28.00 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Strong operational efficiency at 25.7%
Generating 6.4B in free cash flow
Reasonable price relative to book value
Earnings expanding 20.4% YoY
Areas to Watch
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
Earnings declined 95.9%
Expensive relative to growth rate
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : JNJ
The strongest argument for JNJ centers on Market Cap, Operating Margin, Free Cash Flow. Profitability is solid with margins at 16.2% and operating margin at 25.7%.
Bull Case : MMSI
The strongest argument for MMSI centers on Price/Book, EPS Growth.
Bear Case : JNJ
The primary concerns for JNJ are Piotroski F-Score, PEG Ratio, P/E Ratio. A P/E of 41.5x leaves little room for execution misses.
Bear Case : MMSI
The primary concerns for MMSI are PEG Ratio, P/E Ratio.
Key Dynamics to Monitor
JNJ profiles as a mature stock while MMSI is a value play — different risk/reward profiles.
MMSI carries more volatility with a beta of 0.51 — expect wider price swings.
MMSI is growing revenue faster at 9.5% — sustainability is the question.
JNJ generates stronger free cash flow (6.4B), providing more financial flexibility.
Bottom Line
JNJ scores higher overall (54/100 vs 54/100), backed by strong 16.2% margins. 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 →Merit Medical Systems Inc
HEALTHCARE · MEDICAL INSTRUMENTS & SUPPLIES · USA
Merit Medical Systems, Inc. manufactures and markets disposable medical devices for interventional, diagnostic, and therapeutic procedures in cardiology, radiology, oncology, intensive care, and endoscopy. The company is headquartered in South Jordan, Utah.
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