Johnson & Johnson (JNJ)vsTakeda Pharmaceutical Co Ltd ADR (TAK)
JNJ
Johnson & Johnson
$222.51
-0.94%
HEALTHCARE · Cap: $535.63B
TAK
Takeda Pharmaceutical Co Ltd ADR
$16.46
-1.08%
HEALTHCARE · Cap: $52.57B
Smart Verdict
WallStSmart Research — data-driven comparison
Takeda Pharmaceutical Co Ltd ADR generates 4533% more annual revenue ($4.46T vs $96.36B). JNJ leads profitability with a 21.8% profit margin vs 2.5%. TAK appears more attractively valued with a PEG of 0.33. TAK earns a higher WallStSmart Score of 60/100 (C).
JNJ
Buy59
out of 100
Grade: C
TAK
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-38.5%
Fair Value
$160.72
Current Price
$222.51
$61.79 premium
Intrinsic value data unavailable for TAK.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 26 in profit
Keeps 22 of every $100 in revenue as profit
Strong operational efficiency at 27.4%
Generating 1.5B in free cash flow
Growing faster than its price suggests
Reasonable price relative to book value
Earnings expanding 330.2% YoY
Generating 317.5B in free cash flow
Large-cap with strong market position
Areas to Watch
Moderate valuation
Expensive relative to growth rate
Earnings declined 52.9%
4.2% revenue growth
ROE of 1.5% — below average capital efficiency
2.5% margin — thin
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull 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 : TAK
The strongest argument for TAK centers on PEG Ratio, Price/Book, EPS Growth. PEG of 0.33 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 : TAK
The primary concerns for TAK are Revenue Growth, Return on Equity, Profit Margin. A P/E of 75.6x leaves little room for execution misses. Thin 2.5% margins leave little buffer for downturns.
Key Dynamics to Monitor
JNJ profiles as a mature stock while TAK is a value play — different risk/reward profiles.
JNJ carries more volatility with a beta of 0.26 — expect wider price swings.
JNJ is growing revenue faster at 9.9% — sustainability is the question.
TAK generates stronger free cash flow (317.5B), providing more financial flexibility.
Bottom Line
TAK scores higher overall (60/100 vs 59/100). 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.
Visit Website →Takeda Pharmaceutical Co Ltd ADR
HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA
Takeda Pharmaceutical Company Limited is engaged in the research, development, manufacture and marketing of pharmaceuticals, over-the-counter drugs and quasi-drug consumer products, and other health care products. The company is headquartered in Tokyo, Japan.
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