Washburn Capital Management Inc. Makes New Investment in Johnson & Johnson $JNJ

Key Points

• Washburn Capital Management initiated a Johnson & Johnson position, buying 4,157 shares valued at approximately $1.1 million. Institutional investors and hedge funds collectively own 69.55% of J&J.
• J&J reported quarterly EPS of $2.59, beating estimates by $0.06, while revenue rose 5.9% year over year to $25.4 billion. Analysts maintain a generally positive outlook, with a consensus “Moderate Buy” rating and an average price target of $275.92.
• The company declared a quarterly dividend of $1.34 per share, equivalent to an annualized $5.36 payout and a 2.1% yield. However, insiders have sold 64,515 shares worth $17.3 million over the past 90 days, and valuation and competitive pressures remain risks.

Washburn Capital Management Inc. purchased a new stake in Johnson & Johnson (NYSE:JNJ - Free Report) during the third quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor purchased 4,157 shares of the company's stock, valued at approximately $1,101,000. Johnson & Johnson accounts for 0.5% of Washburn Capital Management Inc.'s portfolio, making the stock its 27th largest position.

Several other hedge funds have also added to or reduced their stakes in JNJ. National Pension Service increased its position in Johnson & Johnson by 1.3% during the 2nd quarter. National Pension Service now owns 5,226,968 shares of the company's stock worth $1,327,493,000 after buying an additional 67,484 shares during the period. IFP Advisors Inc boosted its position in shares of Johnson & Johnson by 8.8% in the second quarter. IFP Advisors Inc now owns 38,760 shares of the company's stock valued at $9,844,000 after acquiring an additional 3,133 shares during the period. Elefante Mark B boosted its position in shares of Johnson & Johnson by 9.8% in the second quarter. Elefante Mark B now owns 28,686 shares of the company's stock valued at $7,285,000 after acquiring an additional 2,563 shares during the period. Signal Advisors Wealth LLC boosted its position in shares of Johnson & Johnson by 76.1% in the first quarter. Signal Advisors Wealth LLC now owns 15,126 shares of the company's stock valued at $3,697,000 after acquiring an additional 6,539 shares during the period. Finally, Gradient Investments LLC grew its stake in shares of Johnson & Johnson by 9.9% in the second quarter. Gradient Investments LLC now owns 152,831 shares of the company's stock valued at $38,815,000 after acquiring an additional 13,737 shares in the last quarter. Institutional investors and hedge funds own 69.55% of the company's stock.

Insider Buying and Selling

In other Johnson & Johnson news, EVP Elizabeth Forminard sold 15,918 shares of the company's stock in a transaction on Thursday, August 6th. The stock was sold at an average price of $257.00, for a total transaction of $4,090,926.00. Following the completion of the sale, the executive vice president directly owned 16,994 shares in the company, valued at $4,367,458. This represents a 48.37% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Jennifer L. Taubert sold 15,000 shares of the company's stock in a transaction on Monday, August 17th. The stock was sold at an average price of $263.36, for a total value of $3,950,400.00. Following the sale, the executive vice president owned 194,451 shares of the company's stock, valued at $51,210,615.36. The trade was a 7.16% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 64,515 shares of company stock worth $17,271,766. Corporate insiders own 0.16% of the company's stock.

Johnson & Johnson Trading Up 2.2%

JNJ opened at $259.42 on Wednesday. The stock has a market capitalization of $625.17 billion, a price-to-earnings ratio of 39.31, a P/E/G ratio of 2.51 and a beta of 0.21. The company has a quick ratio of 0.81, a current ratio of 1.09 and a debt-to-equity ratio of 0.44. Johnson & Johnson has a twelve month low of $184.66 and a twelve month high of $281.07. The company has a 50-day simple moving average of $265.53 and a 200 day simple moving average of $249.84.

Johnson & Johnson (NYSE:JNJ - Get Free Report) last released its earnings results on Tuesday, October 13th. The company reported $2.59 EPS for the quarter, beating the consensus estimate of $2.53 by $0.06. The firm had revenue of $25.40 billion for the quarter, compared to analyst estimates of $25.38 billion. Johnson & Johnson had a net margin of 16.20% and a return on equity of 31.54%. The business's quarterly revenue was up 5.9% compared to the same quarter last year. During the same period last year, the firm earned $2.80 EPS. Johnson & Johnson has set its FY 2026 guidance at 11.050-11.150 EPS. Analysts predict that Johnson & Johnson will post 11.12 EPS for the current fiscal year.

Johnson & Johnson Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, December 8th. Investors of record on Tuesday, November 24th will be given a dividend of $1.34 per share. The ex-dividend date is Tuesday, November 24th. This represents a $5.36 annualized dividend and a dividend yield of 2.1%. Johnson & Johnson's dividend payout ratio (DPR) is currently 81.21%.

Johnson & Johnson News Roundup

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

• Positive Sentiment: MedTech launch supports growth: J&J introduced the next-generation Shockwave C2 Aero Fly coronary intravascular lithotripsy catheter in the U.S. The device delivers pulses at 2 Hz and is designed to reduce treatment time for calcified coronary lesions, potentially improving physician adoption and strengthening J&J’s cardiovascular portfolio. J&J launches Shockwave C2 Aero Fly catheter
• Positive Sentiment: Pipeline data remains constructive: TREMFYA maintained or improved remission in Crohn’s disease patients with perianal fistulas through 48 weeks, supporting the drug’s potential expansion and helping offset concerns about future competition to older products. J&J TREMFYA Crohn’s disease data
• Positive Sentiment: Supportive analyst view: TD Cowen reiterated a Buy rating and $300 price target, citing underappreciated pharmaceutical and MedTech growth. J&J’s latest quarterly results also exceeded EPS and revenue expectations, providing a favorable earnings backdrop.
• Neutral Sentiment: Acquisition strategy under review: Analysts see growing sales from acquired heart technologies and a larger hospital network, but competition, development costs and the need to convert revenue growth into stronger ownership returns remain concerns. J&J medical device deals analysis
• Negative Sentiment: Competitive and valuation risks: Rapport reported positive Phase II results for a novel oral bipolar drug licensed from J&J, potentially creating a future competitor to J&J’s Caplyta. Separately, JLPascual downgraded J&J to Sell, while commentary highlights that the stock trades at a premium multiple and must sustain earnings growth to justify it.

Analyst Upgrades and Downgrades

A number of equities analysts recently commented on the stock. Morgan Stanley lowered their price target on shares of Johnson & Johnson from $294.00 to $292.00 and set an "overweight" rating on the stock in a research report on Thursday, October 15th. The Goldman Sachs Group reiterated a "buy" rating and issued a $282.00 price objective on shares of Johnson & Johnson in a research note on Thursday, July 16th. Leerink Partners cut their price objective on shares of Johnson & Johnson from $276.00 to $272.00 and set an "outperform" rating for the company in a report on Wednesday, October 14th. Argus set a $300.00 target price on shares of Johnson & Johnson in a research report on Wednesday, July 29th. Finally, Weiss Ratings upgraded shares of Johnson & Johnson from a "buy (b)" rating to a "buy (b+)" rating in a research report on Thursday, October 8th. One investment analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating and six have given a Hold rating to the company's stock. According to data from MarketBeat.com, Johnson & Johnson presently has a consensus rating of "Moderate Buy" and an average target price of $275.92.

Johnson & Johnson Company Profile

Johnson & Johnson NYSE: JNJ is a global healthcare company headquartered in New Brunswick, New Jersey. Founded in 1886, the company develops and markets products and services for patients, healthcare professionals and institutions worldwide.

Johnson & Johnson operates through two principal segments: Innovative Medicine and MedTech. Innovative Medicine focuses on pharmaceuticals for areas such as immunology, oncology, neuroscience, infectious diseases and cardiovascular conditions.

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