Johnson & Johnson (NYSE:JNJ) Shares Down 1.9% - What's Next?

Key Points

• Q1 beat and raised guidance: J&J reported Q1 EPS $2.70 and revenue $24.06B (beating estimates), set FY2026 guidance of $11.45–11.65 EPS and raised the quarterly dividend to $1.34 (annualized $5.36, ~2.4% yield).
• Stock pulled back despite the beat: Shares fell about 1.9% on Tuesday with volume up ~26%, as investor concerns persist over recent insider/institutional selling and loss‑of‑exclusivity/competitive risks (notably Stelara) that could limit upside.
• Analyst backdrop is mostly positive: MarketBeat shows a consensus rating of "Moderate Buy" with an average price target around $252.48, and several firms have recently lifted targets (e.g., Guggenheim to $266, Morgan Stanley $283).

Johnson & Johnson (NYSE:JNJ - Get Free Report) was down 1.9% during trading on Tuesday . The company traded as low as $224.70 and last traded at $226.2070. Approximately 10,941,982 shares were traded during mid-day trading, an increase of 26% from the average daily volume of 8,667,540 shares. The stock had previously closed at $230.69.

Trending Headlines about Johnson & Johnson

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

• Positive Sentiment: Q1 beat and raised guidance — J&J reported a revenue and EPS beat for Q1, raised full‑year revenue/earnings guidance and increased the dividend, which supports the company's income-investor appeal and underpins medium-term cash flow expectations. How to Play J&J Stock Post a Beat-and-Raise Performance in Q1
• Positive Sentiment: Analyst upside — Guggenheim raised its price target to $266 and kept a Buy, reflecting confidence in drug pipeline upside (Icotyde cited) and giving the stock a valuation boost. Guggenheim Raises Johnson & Johnson Target on Icotyde Upside, Keeps Buy Rating
• Positive Sentiment: Dividend tailwind and investor interest — J&J is being highlighted in dividend roundups and by prominent investors (e.g., Ray Dalio lists it among high-dividend picks), reinforcing demand from income-oriented funds. 3 Giant Dividend Stocks Raising Payouts With Yields Up to 4%
• Positive Sentiment: MedTech product news — J&J debuted CARTOSOUND SONATA at HRS 2026, showing ongoing innovation in its MedTech unit that can help offset drug revenue pressures. Johnson & Johnson Showcases CARTO-Powered Innovation, Including Debut of CARTOSOUND SONATA
• Neutral Sentiment: Celebrity endorsement / flow — Jim Cramer said he prefers J&J over hot AI stocks, a retail-positive signal but not a major fundamental catalyst. Jim Cramer Ditches Hot AI Stocks for Johnson & Johnson (JNJ) — Here’s Why
• Neutral Sentiment: Customer mention / ecosystem noise — A Mindtickle product launch notes J&J as a customer; relevant for brand validation but unlikely to move the stock materially. Mindtickle launches ElevateOS™ -- the first agentic operating system for revenue enablement
• Negative Sentiment: Insider and institutional selling — Data shows significant insider sales and large institutional reductions at times recently, which can sap investor confidence and create near-term selling pressure. Johnson & Johnson Stock (JNJ) Opinions on Q1 Earnings Release
• Negative Sentiment: Stelara LOE and pipeline/competitive risk — Analysts and coverage note loss of exclusivity for Stelara and ongoing drug pricing/LOE headwinds; these risks temper upside despite the quarter’s beat. How to Play J&J Stock Post a Beat-and-Raise Performance in Q1

Analyst Ratings Changes

A number of equities research analysts have recently weighed in on JNJ shares. Sanford C. Bernstein lifted their target price on Johnson & Johnson from $225.00 to $251.00 and gave the stock a "market perform" rating in a report on Wednesday, April 15th. Leerink Partners raised their price target on shares of Johnson & Johnson from $232.00 to $252.00 and gave the stock a "market perform" rating in a research report on Wednesday, April 15th. Morgan Stanley set a $283.00 price objective on shares of Johnson & Johnson in a report on Wednesday, April 15th. Scotiabank restated an "outperform" rating on shares of Johnson & Johnson in a research report on Thursday, January 22nd. Finally, UBS Group reiterated a "buy" rating on shares of Johnson & Johnson in a research report on Monday, January 5th. One research analyst has rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating and nine have assigned a Hold rating to the company. According to data from MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $252.48.

Johnson & Johnson Stock Performance

The stock has a 50 day moving average of $241.32 and a 200 day moving average of $217.78. The company has a quick ratio of 0.77, a current ratio of 1.03 and a debt-to-equity ratio of 0.48. The firm has a market cap of $544.84 billion, a price-to-earnings ratio of 26.15, a P/E/G ratio of 2.29 and a beta of 0.34.

Johnson & Johnson (NYSE:JNJ - Get Free Report) last released its earnings results on Tuesday, April 14th. The company reported $2.70 EPS for the quarter, beating the consensus estimate of $2.68 by $0.02. The firm had revenue of $24.06 billion for the quarter, compared to analyst estimates of $23.60 billion. Johnson & Johnson had a net margin of 21.83% and a return on equity of 32.75%. The business's quarterly revenue was up 9.9% compared to the same quarter last year. During the same period 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 anticipate that Johnson & Johnson will post 11.57 EPS for the current fiscal year.

Johnson & Johnson Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, June 9th. Shareholders of record on Tuesday, May 26th will be issued a $1.34 dividend. The ex-dividend date of this dividend is Tuesday, May 26th. This represents a $5.36 dividend on an annualized basis and a dividend yield of 2.4%. This is a boost from Johnson & Johnson's previous quarterly dividend of $1.30. Johnson & Johnson's dividend payout ratio (DPR) is 60.12%.

Insider Buying and Selling at Johnson & Johnson

In related news, EVP Vanessa Broadhurst sold 6,197 shares of the firm's stock in a transaction dated 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 sale, the executive vice president directly owned 23,003 shares of the company's stock, valued at $5,598,700.17. This trade represents a 21.22% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, EVP Timothy Schmid sold 22,623 shares of Johnson & Johnson stock in a transaction dated Wednesday, February 18th. The shares were sold at an average price of $244.33, for a total value of $5,527,477.59. Following the completion of the transaction, the executive vice president owned 26,769 shares in the company, valued at approximately $6,540,469.77. This represents a 45.80% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders sold 30,142 shares of company stock worth $7,360,528. Corporate insiders own 0.16% of the company's stock.

Hedge Funds Weigh In On Johnson & Johnson

Institutional investors have recently added to or reduced their stakes in the stock. Sierra Capital LLC grew its position in Johnson & Johnson by 0.5% during the 4th quarter. Sierra Capital LLC now owns 8,144 shares of the company's stock worth $1,685,000 after acquiring an additional 41 shares during the last quarter. Beaird Harris Wealth Management LLC raised its position in Johnson & Johnson by 1.8% in the fourth quarter. Beaird Harris Wealth Management LLC now owns 2,422 shares of the company's stock valued at $501,000 after purchasing an additional 42 shares during the last quarter. Broadleaf Partners LLC boosted its stake in shares of Johnson & Johnson by 0.6% during the fourth quarter. Broadleaf Partners LLC now owns 7,348 shares of the company's stock valued at $1,521,000 after purchasing an additional 43 shares in the last quarter. Jessup Wealth Management Inc grew its holdings in shares of Johnson & Johnson by 0.6% during the fourth quarter. Jessup Wealth Management Inc now owns 7,574 shares of the company's stock worth $1,567,000 after purchasing an additional 44 shares during the last quarter. Finally, Plancorp LLC increased its stake in shares of Johnson & Johnson by 0.3% in the fourth quarter. Plancorp LLC now owns 15,889 shares of the company's stock valued at $3,288,000 after buying an additional 45 shares during the period. 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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