Would It Be A Good Move Today To Sell Johnson & Johnson (JNJ) Stock?

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As of Wednesday close, Johnson & Johnson’s (NYSE:JNJ) stock was up $0.19, moving up 0.11 percent to $177.01. The average number of shares traded per day over the past five days has been 5,365,080 shares. 4 times new highs have been achieved over the past 5 days, with a $3.55 gain in that time frame. In the last twenty days, the average volume was 6,419,450, while in the previous 50 days, it was 7,151,402.

Since last month, JNJ stock rose 3.69%. Shares of the company fell to $166.82 on 11/11/22, the lowest level in the past month. A 52-week high of $186.69 was reached on 04/25/22 after having rallying from a 52-week low of $155.72. Since the beginning of this year, JNJ’s stock price has risen by 3.47% or $5.94, and marked a new high 19 times. However, the stock has declined by -5.19% since its 52-week high.


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JNJ stock investors should be aware that Johnson & Johnson (JNJ) stock had its last reported insider trading activity 3 days ago on Nov 22. Taubert Jennifer L, the EVP, WW Chair, Pharmaceuticals of the company, disposed of 76,923 shares for $176.78 on Nov 22. It resulted in a $13,598,402 divestment by the insider. Decker Robert J sold 16,928 shares at an average price of $175.00 on Nov 18. The insider now owns 15,473 shares following the transaction. On Nov 09, EVP, Chief GSC Officer Wengel Kathryn E sold 16,410 shares at $173.42 apiece. The transaction was valued at $2,845,773.

Valuation Metrics

Right now, Johnson & Johnson (JNJ) has a P/E ratio of about 24.64. The stock’s beta is 0.57. Besides these, the trailing price-to-sales (P/S) ratio of 4.78, the price-to-book (PB) ratio of 6.23, and the price-to-cash flow ratio of 73.84 may also be considered.

The latest dividend of $1.13 per share was paid out, remained unchanged from last year’s $1.13. On Tuesday April 19 2022, a $0.07 dividend increase was announced.

Financial Health

In the three months ended September 29, Johnson & Johnson’s quick ratio stood at 1.20, while its current ratio was 1.40, showing that the company is able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending September 29 was 0.37, and the total debt-to-equity ratio was 0.43. On the profitability front, the trailing twelve-month gross margin is 67.50% percent. In the year ended September 29, operating margins totaled 23.30%. Based on annual data, JNJ earned $63.92 billion in gross profit and brought in $93.78 billion in revenue.

A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was 19.40%. Return on equity (ROE) for the past 12 months was 25.60%.

In Johnson & Johnson’s quarter-end financial report for September 29, it reported total debt of $27.6 billion against cash and short-term investments of $22.72 billion. According to the earnings report, the company had a lower net income in the recent quarter than it did in the previous quarter. JNJ’s revenue rose 1.9% to $24.02 billion during the quarter, while net income inched up to $23.79 billion. While analysts expected Johnson & Johnson to report $2.47 quarterly earnings, the actual figure was $2.55 per share, beating the consensus estimate by 3.20%. During the quarter, the company generated $7.71 billion in EBITDA. The liabilities of Johnson & Johnson were 100.53 billion at the end of its most recent quarter ended September 29, and its total debt was $32.6 billion. The value of shareholders’ equity is $2.61 billion.

Technical Picture

This quick technical analysis looks at Johnson & Johnson’s (JNJ) price momentum. With a historical volatility rate of 20.60%, the RSI 9-day stood at 67.04% on 23 November.

With respect to its five-day moving average, the current Johnson & Johnson price is up by +2.05% percent or $3.55. At present, JNJ shares trade +2.79% above its 20-day simple moving average and -0.63% percent below its 100-day simple moving average. However, the stock is currently trading approximately +7.50% above its SMA50 and +3.21% above its SMA200.

Stochastic coefficient K was 95.31% and Stochastic coefficient D was 95.13%, while ATR was 2.52. Given the Stochastic reading of 96.31% for the 14-day period, the RSI (14) reading has been calculated as 63.86%. As of today, the MACD Oscillator reading stands at 2.39, while the 14-day reading stands at 2.81.

Analyst Ratings

Credit Suisse launched its rating on Johnson & Johnson (NYSE: JNJ) to a Neutral in a note to investors on November 18, 2022. Johnson & Johnson (JNJ) has been rated Overweight by analysts. According to 0 brokerage firms, JNJ is a sell, and 14 firms recommend it is a Hold. There are 0 analysts who say the stock is underweight. A total of 2 analysts rate Johnson & Johnson stock as buy, with 6 recommending it as overweight.

With a median target price of $180.50, the current consensus forecast for the stock is $160.00 – $215.00. Based on these forecasts, analysts predict Johnson & Johnson (JNJ) will achieve an average price target of $184.70.

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