WallStSmart

Johnson & Johnson (JNJ)vsPfizer Inc (PFE)

VS
⚡

Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 54% more annual revenue ($97.93B vs $63.70B). JNJ leads profitability with a 21.5% profit margin vs 6.8%. JNJ appears more attractively valued with a PEG of 2.82. JNJ earns a higher WallStSmart Score of 59/100 (C).

JNJ

Buy

59

out of 100

Grade: C

Growth: 4.7Profit: 8.5Value: 3.7Quality: 5.5
Piotroski: 3/9Altman Z: 2.64

PFE

Hold

49

out of 100

Grade: D+

Growth: 2.7Profit: 6.0Value: 4.0Quality: 5.5
Piotroski: 4/9Altman Z: 1.70
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for JNJ.

PFEUndervalued (+5.5%)

Margin of Safety

+5.5%

Fair Value

$30.07

Current Price

$28.67

$1.40 discount

UndervaluedFair: $30.07Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

JNJ5 strengths · Avg: 8.8/10
Market CapQuality
$648.67B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
24.8%9/10

Every $100 of equity generates 25 in profit

Profit MarginProfitability
21.5%9/10

Keeps 22 of every $100 in revenue as profit

Operating MarginProfitability
29.2%8/10

Strong operational efficiency at 29.2%

Free Cash FlowQuality
$3.39B8/10

Generating 3.4B in free cash flow

PFE3 strengths · Avg: 8.3/10
Market CapQuality
$160.62B9/10

Large-cap with strong market position

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Operating MarginProfitability
27.9%8/10

Strong operational efficiency at 27.9%

Areas to Watch

JNJ4 concerns · Avg: 2.8/10
P/E RatioValuation
31.3x4/10

Premium valuation, high expectations priced in

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.822/10

Expensive relative to growth rate

EPS GrowthGrowth
-0.9%2/10

Earnings declined 0.9%

PFE4 concerns · Avg: 3.8/10
P/E RatioValuation
36.6x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
2.6%4/10

2.6% revenue growth

Altman Z-ScoreHealth
1.704/10

Distress zone — elevated risk

Return on EquityProfitability
5.1%3/10

ROE of 5.1% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

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%.

Bull Case : PFE

The strongest argument for PFE centers on Market Cap, Price/Book, Operating Margin.

Bear Case : JNJ

The primary concerns for JNJ are P/E Ratio, Piotroski F-Score, PEG Ratio.

Bear Case : PFE

The primary concerns for PFE are P/E Ratio, Revenue Growth, Altman Z-Score.

Key Dynamics to Monitor

JNJ profiles as a mature stock while PFE is a value play — different risk/reward profiles.

PFE carries more volatility with a beta of 0.30 — expect wider price swings.

JNJ is growing revenue faster at 6.6% — sustainability is the question.

JNJ generates stronger free cash flow (3.4B), providing more financial flexibility.

Bottom Line

JNJ scores higher overall (59/100 vs 49/100), backed by strong 21.5% margins. Both earn "Buy" and "Hold" 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 →

Pfizer Inc

HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA

Pfizer Inc. is an American multinational pharmaceutical and biotechnology corporation headquartered on 42nd Street in Manhattan, New York City. The name of the company commemorates its co-founder, Charles Pfizer (1824-1906). Pfizer develops and produces medicines and vaccines for immunology, oncology, cardiology, endocrinology, and neurology. The company has several blockbuster drugs or products that each generate more than 1 billion USD in annual revenues.

Visit Website →

Want to dig deeper into these stocks?