WallStSmart

Johnson & Johnson (JNJ)vsRegeneron Pharmaceuticals Inc (REGN)

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Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 530% more annual revenue ($97.93B vs $15.53B). REGN leads profitability with a 27.9% profit margin vs 21.5%. REGN appears more attractively valued with a PEG of 1.34. REGN earns a higher WallStSmart Score of 66/100 (B-).

JNJ

Buy

57

out of 100

Grade: C

Growth: 4.7Profit: 8.5Value: 3.3Quality: 6.0
Piotroski: 4/9Altman Z: 2.64

REGN

Strong Buy

66

out of 100

Grade: B-

Growth: 5.3Profit: 8.0Value: 7.3Quality: 8.5
Piotroski: 2/9Altman Z: 4.44
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

JNJSignificantly Overvalued (-87.3%)

Margin of Safety

-87.3%

Fair Value

$139.75

Current Price

$260.86

$121.11 premium

UndervaluedFair: $139.75Overvalued
REGNUndervalued (+42.8%)

Margin of Safety

+42.8%

Fair Value

$1411.61

Current Price

$797.99

$613.62 discount

UndervaluedFair: $1411.61Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

JNJ5 strengths · Avg: 8.8/10
Market CapQuality
$614.36B10/10

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

REGN6 strengths · Avg: 9.3/10
Operating MarginProfitability
33.1%10/10

Strong operational efficiency at 33.1%

Debt/EquityHealth
0.0610/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.4410/10

Safe zone — low bankruptcy risk

Market CapQuality
$78.31B9/10

Large-cap with strong market position

Profit MarginProfitability
27.9%9/10

Keeps 28 of every $100 in revenue as profit

Price/BookValuation
2.6x8/10

Reasonable price relative to book value

Areas to Watch

JNJ3 concerns · Avg: 2.7/10
P/E RatioValuation
29.5x4/10

Moderate valuation

PEG RatioValuation
4.232/10

Expensive relative to growth rate

EPS GrowthGrowth
-0.9%2/10

Earnings declined 0.9%

REGN2 concerns · Avg: 2.5/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

EPS GrowthGrowth
-4.5%2/10

Earnings declined 4.5%

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 : REGN

The strongest argument for REGN centers on Operating Margin, Debt/Equity, Altman Z-Score. Profitability is solid with margins at 27.9% and operating margin at 33.1%. Revenue growth of 16.7% demonstrates continued momentum.

Bear Case : JNJ

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

Bear Case : REGN

The primary concerns for REGN are Piotroski F-Score, EPS Growth.

Key Dynamics to Monitor

JNJ profiles as a mature stock while REGN is a growth play — different risk/reward profiles.

JNJ carries more volatility with a beta of 0.23 — expect wider price swings.

REGN is growing revenue faster at 16.7% — sustainability is the question.

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

Bottom Line

REGN scores higher overall (66/100 vs 57/100), backed by strong 27.9% margins and 16.7% revenue growth. Both earn "Strong 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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Regeneron Pharmaceuticals Inc

HEALTHCARE · BIOTECHNOLOGY · USA

Regeneron Pharmaceuticals, Inc. is an American biotechnology company headquartered in Westchester County, New York. Originally focused on neurotrophic factors and their regenerative capabilities, giving rise to its name, the company then branched out into the study of both cytokine and tyrosine kinase receptors.

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