Yacktman Asset Management LP Cuts Stake in Johnson & Johnson $JNJ

Key Points

• Yacktman Asset Management trimmed its Johnson & Johnson stake by 2.7% in the fourth quarter, though JNJ still remains its ninth-largest holding and 3.6% of the portfolio.
• Johnson & Johnson reported better-than-expected first-quarter results, with EPS of $2.70 on revenue of $24.06 billion, and reiterated FY 2026 guidance of $11.45 to $11.65 per share.
• The company also raised its quarterly dividend to $1.34 per share from $1.30, bringing the annualized payout to $5.36 and the yield to about 2.4%.

Yacktman Asset Management LP decreased its holdings in shares of Johnson & Johnson (NYSE:JNJ - Free Report) by 2.7% during the fourth quarter, according to the company in its most recent disclosure with the SEC. The fund owned 1,252,646 shares of the company's stock after selling 34,588 shares during the quarter. Johnson & Johnson accounts for about 3.6% of Yacktman Asset Management LP's investment portfolio, making the stock its 9th biggest position. Yacktman Asset Management LP owned 0.05% of Johnson & Johnson worth $259,235,000 at the end of the most recent quarter.

A number of other hedge funds have also recently modified their holdings of the business. Vanguard Group Inc. grew its stake in shares of Johnson & Johnson by 1.6% during the fourth quarter. Vanguard Group Inc. now owns 240,349,660 shares of the company's stock valued at $49,740,362,000 after buying an additional 3,731,074 shares during the last quarter. Wellington Management Group LLP grew its stake in Johnson & Johnson by 3.8% in the third quarter. Wellington Management Group LLP now owns 25,832,777 shares of the company's stock worth $4,789,914,000 after purchasing an additional 956,239 shares in the last quarter. Bank of New York Mellon Corp grew its stake in Johnson & Johnson by 3.5% in the third quarter. Bank of New York Mellon Corp now owns 24,637,649 shares of the company's stock worth $4,568,313,000 after purchasing an additional 835,146 shares in the last quarter. Legal & General Group Plc increased its holdings in Johnson & Johnson by 2.8% during the 3rd quarter. Legal & General Group Plc now owns 19,450,064 shares of the company's stock worth $3,606,431,000 after purchasing an additional 532,790 shares during the period. Finally, Amundi raised its position in Johnson & Johnson by 19.3% during the 3rd quarter. Amundi now owns 13,354,936 shares of the company's stock valued at $2,512,719,000 after purchasing an additional 2,163,838 shares in the last quarter. Institutional investors own 69.55% of the company's stock.

Johnson & Johnson Stock Down 0.6%

Shares of NYSE JNJ opened at $221.17 on Friday. The company has a current ratio of 1.03, a quick ratio of 0.77 and a debt-to-equity ratio of 0.46. The stock has a market capitalization of $532.41 billion, a PE ratio of 25.57, a price-to-earnings-growth ratio of 2.17 and a beta of 0.27. The stock's fifty day simple moving average is $237.59 and its two-hundred day simple moving average is $220.58. Johnson & Johnson has a 12-month low of $146.12 and a 12-month high of $251.71.

Johnson & Johnson (NYSE:JNJ - Get Free Report) last announced its earnings results on Tuesday, April 14th. The company reported $2.70 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.68 by $0.02. The business had revenue of $24.06 billion for the quarter, compared to analysts' expectations of $23.60 billion. Johnson & Johnson had a return on equity of 32.60% and a net margin of 21.83%.The business's revenue for the quarter was up 9.9% on a year-over-year basis. During the same quarter last year, the firm earned $2.77 EPS. Johnson & Johnson has set its FY 2026 guidance at 11.450-11.650 EPS. As a group, analysts expect that Johnson & Johnson will post 11.57 EPS for the current fiscal year.

Johnson & Johnson Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, June 9th. Shareholders of record on Tuesday, May 26th will be given a dividend of $1.34 per share. This is a boost from Johnson & Johnson's previous quarterly dividend of $1.30. The ex-dividend date of this dividend is Tuesday, May 26th. This represents a $5.36 annualized dividend and a yield of 2.4%. Johnson & Johnson's payout ratio is 61.97%.

Analyst Ratings Changes

A number of equities analysts have recently issued reports on the company. Freedom Capital downgraded Johnson & Johnson from a "strong-buy" rating to a "hold" rating in a research report on Friday, January 16th. Wall Street Zen downgraded Johnson & Johnson from a "buy" rating to a "hold" rating in a research report on Saturday, February 14th. Scotiabank reissued an "outperform" rating on shares of Johnson & Johnson in a research report on Thursday, January 22nd. Daiwa Securities Group increased their price target on Johnson & Johnson from $237.00 to $246.00 and gave the stock an "outperform" rating in a research report on Thursday, April 16th. Finally, Morgan Stanley set a $283.00 price target on Johnson & Johnson in a research report on Wednesday, April 15th. Eighteen research analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $252.48.

Trending Headlines about Johnson & Johnson

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

• Positive Sentiment: Erste Group Bank raised its FY2027 earnings estimate for Johnson & Johnson to $12.66 per share from $12.63, reinforcing the view that earnings power remains solid and slightly better than expected. Johnson & Johnson analyst estimate update
• Positive Sentiment: J&J’s cancer business continues to be a growth driver, with reports highlighting Darzalex, Erleada, and newer launches helping oncology sales grow strongly in the latest quarter and supporting the company’s long-term target of $50 billion in cancer sales by 2030. Darzalex, Erleada & New Drugs Keep J&J's Oncology Engine Charged in Q1
• Positive Sentiment: Several articles also pointed to Johnson & Johnson as a favored dividend compounder, which can appeal to income investors looking for stability and long-term payouts. This Dividend Pro Likes Banks, Semi-Equipment Stocks, Altria, and J&J
• Neutral Sentiment: J&J also launched its “Generation Fine” mental health campaign, which is more of a brand and awareness initiative than a direct earnings catalyst, though it underscores continued investment in neuropsychiatry. Johnson & Johnson launches Generation Fine
• Neutral Sentiment: At the same time, recent pipeline commentary was mixed: J&J reported positive progress in some programs, but one mid-stage inflammatory bowel disease candidate did not meet its main endpoint, creating some offsetting uncertainty. Johnson And Johnson Balances Mental Health Push With Mixed Pipeline Outlook

Insider Buying and Selling at Johnson & Johnson

In other Johnson & Johnson news, EVP Vanessa Broadhurst sold 6,197 shares of the stock in a transaction on Tuesday, February 17th. The stock was sold at an average price of $243.39, for a total transaction of $1,508,287.83. Following the sale, the executive vice president owned 23,003 shares of the company's stock, valued at approximately $5,598,700.17. This trade represents a 21.22% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Timothy Schmid sold 1,322 shares of the stock in a transaction on Friday, February 20th. The shares were sold at an average price of $245.66, for a total value of $324,762.52. Following the sale, the executive vice president directly owned 25,447 shares in the company, valued at $6,251,310.02. This trade represents a 4.94% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 30,142 shares of company stock worth $7,360,528 in the last ninety days. Insiders own 0.16% of the company's stock.

Johnson & Johnson 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.

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