Johnson & Johnson (JNJ) Stock Moves -0.61%: What You Should Know

Johnson & Johnson (JNJ) closed the most recent trading day at $165.70, moving -0.61% from the previous trading session. This move was narrower than the S&P 500's daily loss of 1.03%. Elsewhere, the Dow lost 1.11%, while the tech-heavy Nasdaq lost 0.12%.

Heading into today, shares of the world's biggest maker of health care products had gained 1.49% over the past month, outpacing the Medical sector's loss of 6.55% and the S&P 500's loss of 10.4% in that time.

Johnson & Johnson will be looking to display strength as it nears its next earnings release, which is expected to be October 18, 2022. In that report, analysts expect Johnson & Johnson to post earnings of $2.57 per share. This would mark a year-over-year decline of 1.15%. Meanwhile, our latest consensus estimate is calling for revenue of $23.58 billion, up 1.03% from the prior-year quarter.

JNJ's full-year Zacks Consensus Estimates are calling for earnings of $10.05 per share and revenue of $95.13 billion. These results would represent year-over-year changes of +2.55% and +1.45%, respectively.

Investors should also note any recent changes to analyst estimates for Johnson & Johnson. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 6.46% higher. Johnson & Johnson is currently a Zacks Rank #3 (Hold).

Valuation is also important, so investors should note that Johnson & Johnson has a Forward P/E ratio of 16.59 right now. For comparison, its industry has an average Forward P/E of 12.19, which means Johnson & Johnson is trading at a premium to the group.

It is also worth noting that JNJ currently has a PEG ratio of 3.17. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. JNJ's industry had an average PEG ratio of 1.75 as of yesterday's close.

The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 83, which puts it in the top 33% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow JNJ in the coming trading sessions, be sure to utilize Zacks.com.

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