Johnson & Johnson (NYSE:JNJ) Shares Up 3.6% - Still a Buy?

Key Points

• Johnson & Johnson shares rose 3.6% in mid-day trading Tuesday, reaching as high as $239.80 on volume well above average.
• The company is making a more than $1 billion investment to expand Vision manufacturing, packaging, and distribution in Jacksonville, Florida, supporting domestic ACUVUE production and its broader $55 billion U.S. investment plan.
• Wall Street sentiment remains constructive: several analysts raised targets or upgraded the stock, and J&J reported earnings and revenue that beat expectations while also increasing its quarterly dividend to $1.34 per share.

Shares of Johnson & Johnson (NYSE:JNJ - Get Free Report) rose 3.6% during mid-day trading on Tuesday . The company traded as high as $239.80 and last traded at $239.66. Approximately 11,694,858 shares changed hands during trading, an increase of 39% from the average daily volume of 8,389,777 shares. The stock had previously closed at $231.29.

Key Johnson & Johnson News

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

• Positive Sentiment: Johnson & Johnson announced it will spend more than $1 billion to expand its Vision manufacturing, packaging, and distribution operations in Jacksonville, Florida, supporting domestic ACUVUE contact lens production and reinforcing its broader $55 billion U.S. investment plan. Johnson & Johnson (JNJ) Is Spending More Than $1 Billion On Jacksonville Vision Expansion
• Positive Sentiment: Analysts and market commentators published upbeat takes on J&J, including a piece arguing the stock is an attractive portfolio holding for defensive, dividend-focused investors. Johnson & Johnson: An Excellent Portfolio Option To Barbell AI, Initiate Buy Rating
• Positive Sentiment: Another article highlighted how J&J is using U.S. manufacturing investment to strengthen its Vision business, reinforcing confidence in the company’s long-term growth strategy. How Johnson & Johnson (JNJ) Is Using U.S. Manufacturing Investment to Strengthen Its Vision Business
• Neutral Sentiment: There were also broader healthcare industry stories about drugmakers banding together to address employment challenges, but these did not appear to directly affect J&J’s fundamentals. BIO 2026: Drug manufacturers band together to tackle employment challenges

Analyst Upgrades and Downgrades

Several equities analysts have recently weighed in on the company. Stifel Nicolaus lifted their price objective on Johnson & Johnson from $220.00 to $250.00 and gave the company a "hold" rating in a research note on Wednesday, April 15th. Johnson Rice raised shares of Johnson & Johnson from a "hold" rating to an "outperform" rating in a research report on Wednesday, May 13th. Sanford C. Bernstein lifted their price target on shares of Johnson & Johnson from $225.00 to $251.00 and gave the company a "market perform" rating in a research report on Wednesday, April 15th. TD Cowen assumed coverage on shares of Johnson & Johnson in a research note on Wednesday, April 8th. They set a "buy" rating and a $250.00 price objective for the company. Finally, Barclays increased their price objective on shares of Johnson & Johnson from $234.00 to $255.00 and gave the stock an "equal weight" rating in a research report on Wednesday, April 15th. Twenty research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company's stock. According to MarketBeat, the company has an average rating of "Moderate Buy" and a consensus target price of $253.04.

Johnson & Johnson Trading Up 3.6%

The firm has a market capitalization of $576.91 billion, a PE ratio of 27.71, a P/E/G ratio of 2.24 and a beta of 0.26. The company has a debt-to-equity ratio of 0.46, a quick ratio of 0.77 and a current ratio of 1.03. The firm has a fifty day moving average of $230.41 and a 200 day moving average of $228.43.

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, topping analysts' consensus estimates 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 return on equity of 32.60% and a net margin of 21.83%.Johnson & Johnson's quarterly revenue was up 9.9% compared to the same quarter last year. During the same quarter in the prior year, the business earned $2.77 EPS. Johnson & Johnson has set its FY 2026 guidance at 11.450-11.650 EPS. Equities research analysts expect 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 was paid on Tuesday, June 9th. Investors of record on Tuesday, May 26th were issued a dividend of $1.34 per share. This represents a $5.36 dividend on an annualized basis and a yield of 2.2%. The ex-dividend date of this dividend was Tuesday, May 26th. This is a positive change from Johnson & Johnson's previous quarterly dividend of $1.30. Johnson & Johnson's dividend payout ratio (DPR) is 61.97%.

Insider Transactions at Johnson & Johnson

In related news, EVP Kathryn E. Wengel sold 10,000 shares of Johnson & Johnson stock in a transaction on Thursday, June 11th. The shares were sold at an average price of $241.15, for a total transaction of $2,411,500.00. Following the sale, the executive vice president owned 114,288 shares of the company's stock, valued at $27,560,551.20. The trade was a 8.05% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. 0.16% of the stock is owned by company insiders.

Institutional Trading of Johnson & Johnson

Large investors have recently modified their holdings of the business. Brighton Jones LLC increased its position in shares of Johnson & Johnson by 13.9% in the 4th quarter. Brighton Jones LLC now owns 51,876 shares of the company's stock worth $7,502,000 after purchasing an additional 6,332 shares during the last quarter. United Bank lifted its position in shares of Johnson & Johnson by 110.7% during the first quarter. United Bank now owns 9,279 shares of the company's stock worth $1,539,000 after purchasing an additional 4,876 shares during the last quarter. Sivia Capital Partners LLC grew its stake in Johnson & Johnson by 13.4% in the second quarter. Sivia Capital Partners LLC now owns 5,863 shares of the company's stock worth $896,000 after purchasing an additional 692 shares in the last quarter. Wealth Group Ltd. increased its holdings in Johnson & Johnson by 12.8% in the second quarter. Wealth Group Ltd. now owns 1,482 shares of the company's stock valued at $226,000 after buying an additional 168 shares during the last quarter. Finally, Schnieders Capital Management LLC. raised its stake in 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 buying an additional 6,584 shares in the last quarter. 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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