Johnson & Johnson (NYSE:JNJ) Trading Down 1.4% – Here’s Why

Johnson & Johnson (NYSE:JNJ)’s share price dropped 1.4% during mid-day trading on Thursday . The stock traded as low as $263.83 and last traded at $266.0960. 7,125,367 shares were traded during trading, a decline of 13% from the average session volume of 8,207,116 shares. The stock had previously closed at $270.00.

More Johnson & Johnson News

Here are the key news stories impacting Johnson & Johnson this week:

• Positive Sentiment: China approved JNJ’s oral psoriasis treatment, expanding the drug’s commercial opportunity in a major pharmaceutical market. However, competition from AbbVie and Bristol Myers Squibb could limit its eventual market share. China approves J&J’s oral psoriasis pill
• Positive Sentiment: The FDA approved JNJ’s Imaavy for patients aged 12 and older with warm autoimmune hemolytic anemia, giving the company a second FDA win in two months and opening a new rare-disease market. Johnson & Johnson Just Got a Big FDA Win
• Positive Sentiment: Analysts and investment commentary highlight JNJ’s defensive dividend profile, broad healthcare portfolio and growth outside STELARA. One report said the remainder of Innovative Medicine is growing at more than 14%, potentially offsetting some patent-cliff concerns. How Much Upside Is Left in JNJ Stock?
• Neutral Sentiment: Imaavy’s approval is strategically useful, but the initial indication addresses a rare disease and is unlikely by itself to materially change JNJ’s valuation. Investors will focus on adoption, additional indications and revenue scale. J&J’s First Anemia Approval Meets a $652 Billion Reality
• Negative Sentiment: Investors remain focused on the STELARA patent cliff and the competitive environment in immunology and psoriasis, risks that may weigh on sentiment even as newer medicines and approvals provide growth opportunities.
• Negative Sentiment: Recent commentary notes that JNJ’s shares declined more than the broader market, suggesting some investors may be taking profits or reassessing the stock’s valuation after its strong run. JNJ Sees a More Significant Dip Than Broader Market

Analyst Ratings Changes

JNJ has been the subject of a number of analyst reports. Wells Fargo & Company lifted their target price on shares of Johnson & Johnson from $272.00 to $282.00 and gave the company an “overweight” rating in a research note on Monday, August 3rd. TD Cowen raised their price target on shares of Johnson & Johnson from $250.00 to $300.00 and gave the company a “buy” rating in a report on Monday, July 13th. Stifel Nicolaus set a $260.00 price objective on shares of Johnson & Johnson in a research note on Wednesday, July 15th. Citigroup upped their price objective on shares of Johnson & Johnson from $285.00 to $298.00 and gave the stock a “buy” rating in a report on Wednesday, July 8th. Finally, Freedom Capital raised shares of Johnson & Johnson from a “hold” rating to a “strong-buy” rating in a research report on Thursday, July 16th. One research analyst has rated the stock with a Strong Buy rating, eighteen have issued a Buy rating and six have given a Hold rating to the stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $268.22.

Johnson & Johnson Trading Down 1.4%

The company has a debt-to-equity ratio of 0.44, a current ratio of 1.09 and a quick ratio of 0.81. The company has a market capitalization of $641.26 billion, a price-to-earnings ratio of 30.83, a price-to-earnings-growth ratio of 2.61 and a beta of 0.24. The business has a fifty day moving average price of $257.32 and a 200 day moving average price of $243.59.

Johnson & Johnson (NYSE:JNJ) last announced its quarterly earnings data on Wednesday, July 15th. The company reported $2.90 EPS for the quarter, beating analysts’ consensus estimates of $2.84 by $0.06. Johnson & Johnson had a net margin of 21.48% and a return on equity of 32.42%. The business had revenue of $25.31 billion during the quarter, compared to analyst estimates of $25.06 billion. During the same quarter in the prior year, the business earned $2.77 earnings per share. The firm’s revenue for the quarter was up 6.6% on a year-over-year basis. Johnson & Johnson has set its FY 2026 guidance at 11.600-11.750 EPS. On average, equities analysts expect that Johnson & Johnson will post 11.61 EPS for the current fiscal year.

Johnson & Johnson Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 8th. Shareholders of record on Tuesday, August 25th will be issued a dividend of $1.34 per share. The ex-dividend date of this dividend is Tuesday, August 25th. This represents a $5.36 dividend on an annualized basis and a dividend yield of 2.0%. Johnson & Johnson’s dividend payout ratio (DPR) is presently 62.11%.

Insiders Place Their Bets

In other news, EVP Vanessa Broadhurst sold 23,054 shares of the firm’s stock in a transaction on Monday, July 20th. The stock was sold at an average price of $251.27, for a total value of $5,792,778.58. Following the completion of the sale, the executive vice president directly owned 23,003 shares in the company, valued at approximately $5,779,963.81. This trade represents a 50.06% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, EVP Jennifer L. Taubert sold 15,000 shares of the business’s stock in a transaction dated Monday, August 17th. The stock was sold at an average price of $263.36, for a total transaction of $3,950,400.00. Following the completion of the transaction, the executive vice president directly owned 194,451 shares of the company’s stock, valued at approximately $51,210,615.36. This represents a 7.16% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders sold 63,972 shares of company stock valued at $16,245,605. Company insiders own 0.16% of the company’s stock.

Hedge Funds Weigh In On Johnson & Johnson

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Silver Coast Investments LLC raised its position in Johnson & Johnson by 3.8% in the 2nd quarter. Silver Coast Investments LLC now owns 1,066 shares of the company’s stock valued at $271,000 after buying an additional 39 shares during the last quarter. Townsend Asset Management Corp NC ADV grew its stake in shares of Johnson & Johnson by 0.6% during the 2nd quarter. Townsend Asset Management Corp NC ADV now owns 6,418 shares of the company’s stock worth $1,630,000 after acquiring an additional 39 shares in the last quarter. Triumph Capital Management raised its holdings in shares of Johnson & Johnson by 1.6% in the second quarter. Triumph Capital Management now owns 2,531 shares of the company’s stock valued at $643,000 after purchasing an additional 39 shares during the last quarter. Denali Advisors LLC boosted its holdings in Johnson & Johnson by 1.2% during the second quarter. Denali Advisors LLC now owns 3,305 shares of the company’s stock worth $839,000 after purchasing an additional 40 shares during the last quarter. Finally, Sierra Capital LLC boosted its holdings in Johnson & Johnson by 0.5% during the fourth quarter. Sierra Capital LLC now owns 8,144 shares of the company’s stock worth $1,685,000 after purchasing an additional 41 shares during the last quarter. Institutional investors own 69.55% of the company’s stock.

Johnson & Johnson Company Profile

Johnson & Johnson is a multinational healthcare company headquartered in New Brunswick, New Jersey, that develops, manufactures and markets a broad range of products across pharmaceuticals, medical devices and previously consumer health. Founded in 1886 by the Johnson family, the company has grown into a global healthcare organization with operations and sales in many countries around the world.

The company’s pharmaceuticals business, organized largely under its Janssen research and development organization, focuses on prescription medicines across therapeutic areas such as immunology, infectious disease, oncology and neuroscience.