WallStSmart

Johnson & Johnson (JNJ)vsVisa Inc. Class A (V)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 124% more annual revenue ($96.36B vs $43.03B). V leads profitability with a 51.7% profit margin vs 21.8%. V appears more attractively valued with a PEG of 1.71. V earns a higher WallStSmart Score of 72/100 (B).

JNJ

Buy

59

out of 100

Grade: C

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

V

Strong Buy

72

out of 100

Grade: B

Growth: 8.7Profit: 10.0Value: 5.0Quality: 5.5
Piotroski: 4/9Altman Z: 1.84
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

JNJSignificantly Overvalued (-38.5%)

Margin of Safety

-38.5%

Fair Value

$160.72

Current Price

$221.32

$60.60 premium

UndervaluedFair: $160.72Overvalued

Intrinsic value data unavailable for V.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

JNJ5 strengths · Avg: 8.8/10
Market CapQuality
$535.63B10/10

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

V6 strengths · Avg: 9.3/10
Market CapQuality
$610.99B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
60.4%10/10

Every $100 of equity generates 60 in profit

Profit MarginProfitability
51.7%10/10

Keeps 52 of every $100 in revenue as profit

Operating MarginProfitability
67.3%10/10

Strong operational efficiency at 67.3%

Revenue GrowthGrowth
17.1%8/10

17.1% revenue growth

EPS GrowthGrowth
35.5%8/10

Earnings expanding 35.5% YoY

Areas to Watch

JNJ3 concerns · Avg: 2.7/10
P/E RatioValuation
25.8x4/10

Moderate valuation

PEG RatioValuation
2.922/10

Expensive relative to growth rate

EPS GrowthGrowth
-52.9%2/10

Earnings declined 52.9%

V4 concerns · Avg: 4.0/10
PEG RatioValuation
1.714/10

Expensive relative to growth rate

P/E RatioValuation
28.0x4/10

Moderate valuation

Price/BookValuation
15.9x4/10

Trading at 15.9x book value

Altman Z-ScoreHealth
1.844/10

Grey zone — moderate 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 : V

The strongest argument for V centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 51.7% and operating margin at 67.3%. Revenue growth of 17.1% demonstrates continued momentum.

Bear Case : JNJ

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

Bear Case : V

The primary concerns for V are PEG Ratio, P/E Ratio, Price/Book.

Key Dynamics to Monitor

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

V carries more volatility with a beta of 0.78 — expect wider price swings.

V is growing revenue faster at 17.1% — sustainability is the question.

V generates stronger free cash flow (2.6B), providing more financial flexibility.

Bottom Line

V scores higher overall (72/100 vs 59/100), backed by strong 51.7% margins and 17.1% 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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Visa Inc. Class A

FINANCIAL SERVICES · CREDIT SERVICES · USA

Visa Inc. is an American multinational financial services corporation headquartered in Foster City, California, United States. It facilitates electronic funds transfers throughout the world, most commonly through Visa-branded credit cards, debit cards and prepaid cards. Visa is one of the world's most valuable companies.

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