WallStSmart

Johnson & Johnson (JNJ)vsQuidel Corporation (QDEL)

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Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 3615% more annual revenue ($99.33B vs $2.67B). JNJ leads profitability with a 16.2% profit margin vs -39.2%. QDEL appears more attractively valued with a PEG of 2.06. JNJ earns a higher WallStSmart Score of 54/100 (C-).

JNJ

Buy

54

out of 100

Grade: C-

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

QDEL

Hold

42

out of 100

Grade: D

Growth: 2.7Profit: 2.5Value: 6.3Quality: 4.0
Piotroski: 5/9Altman Z: 0.10
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for JNJ.

QDELUndervalued (+87.7%)

Margin of Safety

+87.7%

Fair Value

$235.00

Current Price

$10.70

$224.30 discount

UndervaluedFair: $235.00Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

JNJ3 strengths · Avg: 8.7/10
Market CapQuality
$657.68B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
25.7%8/10

Strong operational efficiency at 25.7%

Free Cash FlowQuality
$6.36B8/10

Generating 6.4B in free cash flow

QDEL1 strengths · Avg: 10.0/10
Price/BookValuation
0.4x10/10

Reasonable price relative to book value

Areas to Watch

JNJ4 concerns · Avg: 2.8/10
Price/BookValuation
8.2x4/10

Trading at 8.2x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
3.072/10

Expensive relative to growth rate

P/E RatioValuation
41.5x2/10

Premium valuation, high expectations priced in

QDEL4 concerns · Avg: 3.5/10
PEG RatioValuation
2.064/10

Expensive relative to growth rate

Revenue GrowthGrowth
2.8%4/10

2.8% revenue growth

Market CapQuality
$943.60M3/10

Smaller company, higher risk/reward

Debt/EquityHealth
1.733/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull 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 : QDEL

The strongest argument for QDEL centers on Price/Book.

Bear Case : JNJ

The primary concerns for JNJ are Price/Book, Piotroski F-Score, PEG Ratio. A P/E of 41.5x leaves little room for execution misses.

Bear Case : QDEL

The primary concerns for QDEL are PEG Ratio, Revenue Growth, Market Cap. Debt-to-equity of 1.73 is elevated, increasing financial risk.

Key Dynamics to Monitor

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

QDEL carries more volatility with a beta of 0.78 — expect wider price swings.

JNJ is growing revenue faster at 5.9% — 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 42/100), backed by strong 16.2% margins. QDEL offers better value entry with a 87.7% margin of safety. 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.

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Quidel Corporation

HEALTHCARE · MEDICAL DEVICES · USA

Quidel Corporation develops, manufactures, and markets diagnostic testing solutions for infectious disease, cardiology, thyroid, general and women's health, eye health, gastrointestinal disease, and toxicology applications globally. The company is headquartered in San Diego, California.

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