WallStSmart

Johnson & Johnson (JNJ)vsRadNet Inc (RDNT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 4623% more annual revenue ($96.36B vs $2.04B). JNJ leads profitability with a 21.8% profit margin vs -0.9%. RDNT appears more attractively valued with a PEG of 0.96. JNJ earns a higher WallStSmart Score of 59/100 (C).

JNJ

Buy

59

out of 100

Grade: C

Growth: 4.7Profit: 9.0Value: 3.3Quality: 6.0
Piotroski: 4/9Altman Z: 2.64

RDNT

Buy

54

out of 100

Grade: C-

Growth: 8.0Profit: 4.0Value: 5.0Quality: 4.8
Piotroski: 2/9Altman Z: 1.19
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

JNJSignificantly Overvalued (-43.5%)

Margin of Safety

-43.5%

Fair Value

$160.13

Current Price

$229.85

$69.72 premium

UndervaluedFair: $160.13Overvalued
RDNTSignificantly Overvalued (-71.2%)

Margin of Safety

-71.2%

Fair Value

$40.59

Current Price

$55.89

$15.30 premium

UndervaluedFair: $40.59Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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

RDNT2 strengths · Avg: 9.0/10
EPS GrowthGrowth
75.0%10/10

Earnings expanding 75.0% YoY

PEG RatioValuation
0.968/10

Growing faster than its price suggests

Areas to Watch

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%

RDNT4 concerns · Avg: 2.5/10
Return on EquityProfitability
1.4%3/10

ROE of 1.4% — below average capital efficiency

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Free Cash FlowQuality
$-230.86M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
1.192/10

Distress zone — elevated risk

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 21.8% and operating margin at 27.4%.

Bull Case : RDNT

The strongest argument for RDNT centers on EPS Growth, PEG Ratio. Revenue growth of 14.8% demonstrates continued momentum. PEG of 0.96 suggests the stock is reasonably priced for its growth.

Bear Case : JNJ

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

Bear Case : RDNT

The primary concerns for RDNT are Return on Equity, Piotroski F-Score, Free Cash Flow.

Key Dynamics to Monitor

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

RDNT carries more volatility with a beta of 1.53 — expect wider price swings.

RDNT is growing revenue faster at 14.8% — 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 54/100), backed by strong 21.8% 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.

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RadNet Inc

HEALTHCARE · DIAGNOSTICS & RESEARCH · USA

RadNet, Inc., provides outpatient imaging services in the United States. The company is headquartered in Los Angeles, California.

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