Johnson & Johnson (JNJ)vsXOMA Corp (XOMA)
JNJ
Johnson & Johnson
$229.85
+1.10%
HEALTHCARE · Cap: $547.28B
XOMA
XOMA Corp
$40.94
-0.12%
HEALTHCARE · Cap: $497.18M
Smart Verdict
WallStSmart Research — data-driven comparison
Johnson & Johnson generates 184682% more annual revenue ($96.36B vs $52.15M). XOMA leads profitability with a 60.8% profit margin vs 21.8%. JNJ trades at a lower P/E of 26.3x. JNJ earns a higher WallStSmart Score of 59/100 (C).
JNJ
Buy59
out of 100
Grade: C
XOMA
Buy52
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-43.5%
Fair Value
$160.13
Current Price
$229.85
$69.72 premium
Margin of Safety
+2.2%
Fair Value
$23.79
Current Price
$40.94
$17.15 discount
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
Every $100 of equity generates 34 in profit
Keeps 61 of every $100 in revenue as profit
Revenue surging 57.9% year-over-year
Areas to Watch
Moderate valuation
Expensive relative to growth rate
Earnings declined 52.9%
Moderate valuation
Smaller company, higher risk/reward
Elevated debt levels
Earnings declined 47.8%
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 : XOMA
The strongest argument for XOMA centers on Return on Equity, Profit Margin, Revenue Growth. Profitability is solid with margins at 60.8% and operating margin at 15.9%. Revenue growth of 57.9% demonstrates continued momentum.
Bear Case : JNJ
The primary concerns for JNJ are P/E Ratio, PEG Ratio, EPS Growth.
Bear Case : XOMA
The primary concerns for XOMA are P/E Ratio, Market Cap, Debt/Equity.
Key Dynamics to Monitor
JNJ profiles as a mature stock while XOMA is a growth play — different risk/reward profiles.
XOMA carries more volatility with a beta of 0.68 — expect wider price swings.
XOMA is growing revenue faster at 57.9% — sustainability is the question.
JNJ generates stronger free cash flow (1.5B), providing more financial flexibility.
Bottom Line
JNJ scores higher overall (59/100 vs 52/100), backed by strong 21.8% margins. 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 →XOMA Corp
HEALTHCARE · BIOTECHNOLOGY · USA
XOMA Corporation, a biotech royalty aggregator, discovers and develops therapeutic candidates in the United States, Europe, and Asia Pacific. The company is headquartered in Emeryville, California.
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