WallStSmart

Johnson & Johnson (JNJ)vsSanofi ADR (SNY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 102% more annual revenue ($94.19B vs $46.72B). JNJ leads profitability with a 28.5% profit margin vs 16.7%. JNJ appears more attractively valued with a PEG of 1.70. JNJ earns a higher WallStSmart Score of 71/100 (B).

JNJ

Strong Buy

71

out of 100

Grade: B

Growth: 7.3Profit: 9.0Value: 10.0Quality: 7.0
Piotroski: 4/9Altman Z: 2.62

SNY

Hold

49

out of 100

Grade: D+

Growth: 4.7Profit: 6.0Value: 4.7Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

JNJUndervalued (+53.9%)

Margin of Safety

+53.9%

Fair Value

$515.74

Current Price

$235.37

$280.37 discount

UndervaluedFair: $515.74Overvalued
SNYSignificantly Overvalued (-91.3%)

Margin of Safety

-91.3%

Fair Value

$24.58

Current Price

$44.60

$20.02 premium

UndervaluedFair: $24.58Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

JNJ6 strengths · Avg: 8.8/10
Market CapQuality
$573.82B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
35.0%10/10

Every $100 of equity generates 35 in profit

Profit MarginProfitability
28.5%9/10

Keeps 29 of every $100 in revenue as profit

Operating MarginProfitability
24.0%8/10

Strong operational efficiency at 24.0%

EPS GrowthGrowth
48.6%8/10

Earnings expanding 48.6% YoY

Free Cash FlowQuality
$5.47B8/10

Generating 5.5B in free cash flow

SNY3 strengths · Avg: 9.0/10
Price/BookValuation
0.7x10/10

Reasonable price relative to book value

Market CapQuality
$108.62B9/10

Large-cap with strong market position

Free Cash FlowQuality
$1.59B8/10

Generating 1.6B in free cash flow

Areas to Watch

JNJ1 concerns · Avg: 4.0/10
PEG RatioValuation
1.704/10

Expensive relative to growth rate

SNY3 concerns · Avg: 3.0/10
EPS GrowthGrowth
2.4%4/10

2.4% earnings growth

Return on EquityProfitability
6.7%3/10

ROE of 6.7% — below average capital efficiency

PEG RatioValuation
4.322/10

Expensive relative to growth rate

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 28.5% and operating margin at 24.0%.

Bull Case : SNY

The strongest argument for SNY centers on Price/Book, Market Cap, Free Cash Flow. Profitability is solid with margins at 16.7% and operating margin at 14.3%.

Bear Case : JNJ

The primary concerns for JNJ are PEG Ratio.

Bear Case : SNY

The primary concerns for SNY are EPS Growth, Return on Equity, PEG Ratio.

Key Dynamics to Monitor

SNY carries more volatility with a beta of 0.36 — expect wider price swings.

JNJ is growing revenue faster at 9.1% — sustainability is the question.

JNJ generates stronger free cash flow (5.5B), providing more financial flexibility.

Monitor DRUG MANUFACTURERS - GENERAL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

JNJ scores higher overall (71/100 vs 49/100), backed by strong 28.5% margins. Both earn "Strong 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 →

Sanofi ADR

HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA

Sanofi, a healthcare company, is engaged in the research, development, manufacture, and marketing of therapeutic solutions in the United States, Europe, and internationally. The company is headquartered in Paris, France.

Want to dig deeper into these stocks?