Johnson & Johnson (NYSE:JNJ) Shares Down 1.7% - Here's Why

Key Points

• Johnson & Johnson shares fell 1.7% on Friday, trading as low as $226.44 after closing at $230.80 the prior day. Trading volume was also elevated at about 10.3 million shares, above the daily average.
• Despite the stock dip, sentiment around J&J was helped by a series of bullish analyst actions, including upgrades from Leerink Partners and Johnson Rice, while Wall Street’s consensus remains a Moderate Buy with a target price of $253.04.
• Fundamentals remain solid: J&J recently beat quarterly earnings and revenue estimates and raised its dividend to $1.34 per share, while investors are watching its newer drugs and pipeline developments as potential long-term growth drivers.

Shares of Johnson & Johnson (NYSE:JNJ - Get Free Report) were down 1.7% during trading on Friday . The stock traded as low as $226.44 and last traded at $226.8090. Approximately 10,303,178 shares traded hands during trading, an increase of 22% from the average daily volume of 8,433,221 shares. The stock had previously closed at $230.80.

Key Stories Impacting Johnson & Johnson

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

• Positive Sentiment: Leerink Partners upgraded Johnson & Johnson (JNJ) to Outperform, which can help investor sentiment and suggests the firm sees more upside from current levels. Leerink Partners upgrades Johnson & Johnson (JNJ)
• Positive Sentiment: A new article says J&J’s story is shifting as newer drugs such as Icotyde, Inlexzo, Tecvayli and Tremfya gain attention, while a valuation update nudged fair value slightly higher. That points to continued pipeline progress as a key long-term driver. How The Story For Johnson & Johnson (JNJ) Is Shifting With New Drugs And Legal Twists
• Positive Sentiment: CAPLYTA data highlighted favorable efficacy and safety versus competing antipsychotics, reinforcing the value of J&J’s mental-health franchise and broader pipeline depth. CAPLYTA Data Highlights Johnson & Johnson Valuation And Mental Health Story
• Neutral Sentiment: MeiraGTx reported an asset purchase agreement with Johnson & Johnson for bota-vec, a transaction that appears more strategic than immediately material for earnings, but it shows J&J remains active in bolt-on pipeline deals. MeiraGTx Reports First Quarter 2026 Financial and Operational Results
• Neutral Sentiment: Recent bladder-cancer survey coverage reinforces the need for better therapies, which supports the market’s broader view that J&J’s oncology and urology pipeline could have room to grow, though the report itself does not change fundamentals immediately. Groundbreaking global survey captures the significant patient burden experienced with current standard-of-care bladder cancer treatments, underscoring urgency for continued innovation
• Negative Sentiment: Articles note Johnson & Johnson has been down since its last earnings report, indicating some investors remain cautious despite the company’s stable fundamentals and defensive profile. Why Is Johnson & Johnson (JNJ) Down 3.5% Since Last Earnings Report?

Wall Street Analysts Forecast Growth

A number of brokerages have commented on JNJ. Johnson Rice raised Johnson & Johnson from a "hold" rating to an "outperform" rating in a research note on Wednesday. Loop Capital set a $220.00 price target on Johnson & Johnson in a research note on Tuesday, January 27th. Wells Fargo & Company lifted their price target on Johnson & Johnson from $240.00 to $263.00 and gave the stock an "overweight" rating in a research note on Wednesday, April 15th. Rothschild & Co Redburn boosted their target price on Johnson & Johnson from $180.00 to $210.00 and gave the company a "neutral" rating in a research note on Thursday, February 19th. Finally, Bank of America boosted their target price on Johnson & Johnson from $253.00 to $254.00 and gave the company a "neutral" rating in a research note on Wednesday, April 15th. Twenty investment analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company's stock. According to MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $253.04.

Johnson & Johnson Stock Down 1.7%

The company has a quick ratio of 0.77, a current ratio of 1.03 and a debt-to-equity ratio of 0.46. The company has a market capitalization of $545.98 billion, a P/E ratio of 26.22, a price-to-earnings-growth ratio of 2.26 and a beta of 0.27. The company has a 50-day moving average of $235.49 and a two-hundred day moving average of $221.76.

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

Johnson & Johnson Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, June 9th. Investors 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. This represents a $5.36 annualized dividend and a dividend yield of 2.4%. The ex-dividend date is Tuesday, May 26th. Johnson & Johnson's dividend payout ratio is presently 60.12%.

Insider Activity at Johnson & Johnson

In related news, EVP Timothy Schmid sold 1,322 shares of Johnson & Johnson stock in a transaction that occurred on Friday, February 20th. The stock was sold at an average price of $245.66, for a total transaction 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. The trade was a 4.94% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP Vanessa Broadhurst sold 6,197 shares of the business's stock in a transaction on Tuesday, February 17th. The stock was sold at an average price of $243.39, for a total value of $1,508,287.83. Following the completion of the sale, the executive vice president directly owned 23,003 shares in the company, valued at $5,598,700.17. This trade represents a 21.22% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 30,142 shares of company stock worth $7,360,528 over the last 90 days. 0.16% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Johnson & Johnson

A number of institutional investors have recently modified their holdings of JNJ. Brighton Jones LLC grew its stake in shares of Johnson & Johnson by 13.9% in the fourth quarter. Brighton Jones LLC now owns 51,876 shares of the company's stock worth $7,502,000 after acquiring an additional 6,332 shares during the last quarter. United Bank lifted its holdings in shares of Johnson & Johnson by 110.7% during the first quarter. United Bank now owns 9,279 shares of the company's stock valued at $1,539,000 after purchasing an additional 4,876 shares in the last quarter. Sivia Capital Partners LLC lifted its holdings in shares of Johnson & Johnson by 13.4% during the second quarter. Sivia Capital Partners LLC now owns 5,863 shares of the company's stock valued at $896,000 after purchasing an additional 692 shares in the last quarter. Wealth Group Ltd. lifted its holdings in shares of Johnson & Johnson by 12.8% during the second quarter. Wealth Group Ltd. now owns 1,482 shares of the company's stock valued at $226,000 after purchasing an additional 168 shares in the last quarter. Finally, Schnieders Capital Management LLC. lifted its holdings in shares of Johnson & Johnson by 9.8% during the second quarter. Schnieders Capital Management LLC. now owns 73,680 shares of the company's stock valued at $11,255,000 after purchasing an additional 6,584 shares in the last quarter. 69.55% of the stock is owned by hedge funds and other institutional investors.

About Johnson & Johnson

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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