Johnson & Johnson, together with its subsidiaries, engages in the research and development, manufacture, and sale of a range of products in the healthcare field worldwide. It operates in two segments, Innovative Medicine and MedTech.
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.
| Parameter | BaseValue |
|---|---|
Initial Cash Flow | |
| Growth Rate (Yr 1-5) | % |
| Growth Rate (Yr 6-10) | % |
| Terminal Growth Rate | % |
| Discount Rate | % |
Base Case $244.77 Implied EV: $619.10B |
What growth rate is the market pricing in at $238?
The market implies +9.3% Owner Earnings growth, below historical trends — potential opportunity.
Standard FCF implies a more demanding +15.8%, reflecting heavy growth investment expected to generate future returns.
Wide moat with strength across all dimensions. Revenue Predictability is the standout factor.
"Market is pricing this stock without strong emotion in either direction"
The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.