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

Key Points

• Johnson & Johnson shares fell 1.7% in mid-day trading, with the stock dipping as low as $229.08 before last trading around $230.37.
• Fresh talc litigation is the biggest headwind, as a Minnesota jury included J&J in a $10.2 million mesothelioma verdict, adding to ongoing legal and reputational risk.
• Despite the pullback, analysts remain upbeat: the stock carries a “Moderate Buy” consensus, with 20 Buy ratings, a target price of $253.04, and recent dividend and earnings strength supporting the case.

Johnson & Johnson (NYSE:JNJ - Get Free Report) was down 1.7% during mid-day trading on Tuesday . The company traded as low as $229.08 and last traded at $230.37. Approximately 6,427,275 shares traded hands during trading, a decline of 23% from the average daily volume of 8,388,652 shares. The stock had previously closed at $234.34.

Key Johnson & Johnson News

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

• Positive Sentiment: Johnson & Johnson’s DePuy Synthes unit struck an exclusive distribution deal for the NOVOSIS bone graft product in the U.S., Canada, and Australia, a small but potentially helpful growth catalyst for its MedTech business. Article Title
• Positive Sentiment: Several recent articles argue that J&J remains an attractive large-cap pharma name, citing its diversified pharma/MedTech mix, defensive business model, and “Dividend King” appeal. Article Title
• Positive Sentiment: Another piece highlights J&J’s innovation push through its new NJ Innovation Hub partnership, which could support longer-term pipeline and ecosystem development. Article Title
• Neutral Sentiment: Analysts continue to frame J&J as a value-and-quality name after strong Q1 results and raised guidance, suggesting fundamentals remain solid even after the latest move. Article Title
• Negative Sentiment: Fresh talc litigation remains the biggest overhang: a Minnesota jury included J&J in a $10.2 million mesothelioma verdict, adding to ongoing legal and reputational risk tied to asbestos-contaminated cosmetic talc products. Article Title
• Negative Sentiment: Broader healthcare weakness also weighed on sentiment, with the sector dragging on the Dow as investors rotated into other parts of the market. Article Title

Wall Street Analyst Weigh In

JNJ has been the topic of a number of analyst reports. HSBC lifted their price objective on Johnson & Johnson from $265.00 to $280.00 and gave the company a "buy" rating in a report on Tuesday, March 17th. Leerink Partners upgraded Johnson & Johnson from a "market perform" rating to an "outperform" rating and set a $265.00 price objective for the company in a research report on Wednesday, May 13th. The Goldman Sachs Group lifted their price objective on Johnson & Johnson from $265.00 to $275.00 and gave the stock a "buy" rating in a research report on Wednesday, April 15th. Sanford C. Bernstein raised their price target on Johnson & Johnson from $225.00 to $251.00 and gave the stock a "market perform" rating in a research note on Wednesday, April 15th. Finally, Bank of America boosted their price objective on shares of Johnson & Johnson from $253.00 to $254.00 and gave the company a "neutral" rating in a research note on Wednesday, April 15th. Twenty equities research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the stock. Based on data from MarketBeat, Johnson & Johnson currently has an average rating of "Moderate Buy" and a consensus target price of $253.04.

Johnson & Johnson Trading 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 stock has a market cap of $554.55 billion, a price-to-earnings ratio of 26.63, a price-to-earnings-growth ratio of 2.29 and a beta of 0.27. The firm's 50 day moving average is $233.87 and its two-hundred day moving average is $223.88.

Johnson & Johnson (NYSE:JNJ - Get Free Report) last posted its earnings results on Tuesday, April 14th. The company reported $2.70 EPS for the quarter, topping the consensus estimate of $2.68 by $0.02. The firm had revenue of $24.06 billion during the quarter, compared to analysts' expectations of $23.60 billion. Johnson & Johnson had a net margin of 21.83% and a return on equity of 32.60%. Johnson & Johnson's quarterly revenue was up 9.9% on a year-over-year basis. During the same quarter in the prior year, the firm earned $2.77 EPS. Johnson & Johnson has set its FY 2026 guidance at 11.450-11.650 EPS. Equities analysts anticipate that Johnson & Johnson will post 11.57 EPS for the current 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 $1.34 dividend. This represents a $5.36 dividend on an annualized basis and a yield of 2.3%. The ex-dividend date is Tuesday, May 26th. This is a positive change from Johnson & Johnson's previous quarterly dividend of $1.30. Johnson & Johnson's payout ratio is currently 60.12%.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Blueline Advisors LLC bought a new position in Johnson & Johnson during the 4th quarter valued at about $25,000. Abich Financial Wealth Management LLC acquired a new position in Johnson & Johnson during the third quarter valued at approximately $26,000. Cresta Advisors Ltd. acquired a new position in shares of Johnson & Johnson in the fourth quarter valued at approximately $26,000. DecisionPoint Financial LLC boosted its holdings in shares of Johnson & Johnson by 104.2% in the fourth quarter. DecisionPoint Financial LLC now owns 147 shares of the company's stock valued at $30,000 after buying an additional 75 shares during the period. Finally, Family CFO Inc bought a new stake in shares of Johnson & Johnson in the fourth quarter worth $31,000. 69.55% of the stock is currently owned by institutional investors and hedge funds.

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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