WallStSmart

Johnson & Johnson (JNJ)vsTwist Bioscience Corp (TWST)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 23433% more annual revenue ($96.36B vs $409.48M). JNJ leads profitability with a 21.8% profit margin vs -19.9%. JNJ earns a higher WallStSmart Score of 57/100 (C).

JNJ

Buy

57

out of 100

Grade: C

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

TWST

Avoid

26

out of 100

Grade: F

Growth: 7.3Profit: 2.0Value: 6.7Quality: 6.5
Piotroski: 4/9Altman Z: -0.56
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

JNJSignificantly Overvalued (-67.8%)

Margin of Safety

-67.8%

Fair Value

$136.12

Current Price

$231.29

$95.17 premium

UndervaluedFair: $136.12Overvalued
TWSTUndervalued (+58.3%)

Margin of Safety

+58.3%

Fair Value

$119.02

Current Price

$85.17

$33.85 discount

UndervaluedFair: $119.02Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

JNJ5 strengths · Avg: 8.8/10
Market CapQuality
$567.28B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
25.9%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

TWST2 strengths · Avg: 8.5/10
Debt/EquityHealth
0.219/10

Conservative balance sheet, low leverage

Revenue GrowthGrowth
19.3%8/10

19.3% revenue growth

Areas to Watch

JNJ3 concerns · Avg: 2.7/10
P/E RatioValuation
27.3x4/10

Moderate valuation

PEG RatioValuation
3.062/10

Expensive relative to growth rate

EPS GrowthGrowth
-52.9%2/10

Earnings declined 52.9%

TWST4 concerns · Avg: 3.0/10
Price/BookValuation
11.6x4/10

Trading at 11.6x book value

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Return on EquityProfitability
-17.9%2/10

ROE of -17.9% — below average capital efficiency

Free Cash FlowQuality
$-25.55M2/10

Negative free cash flow — burning cash

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 : TWST

The strongest argument for TWST centers on Debt/Equity, Revenue Growth. Revenue growth of 19.3% demonstrates continued momentum.

Bear Case : JNJ

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

Bear Case : TWST

The primary concerns for TWST are Price/Book, EPS Growth, Return on Equity.

Key Dynamics to Monitor

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

TWST carries more volatility with a beta of 2.21 — expect wider price swings.

TWST is growing revenue faster at 19.3% — sustainability is the question.

JNJ generates stronger free cash flow (1.5B), providing more financial flexibility.

Bottom Line

JNJ scores higher overall (57/100 vs 26/100), backed by strong 21.8% margins. TWST offers better value entry with a 58.3% margin of safety. Both earn "Buy" and "Avoid" 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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Twist Bioscience Corp

HEALTHCARE · DIAGNOSTICS & RESEARCH · USA

Twist Bioscience Corporation, a synthetic biology company, manufactures and sells synthetic DNA-based products. The company is headquartered in South San Francisco, California.

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