CluenexJohnson & Johnson JNJ
Johnson & Johnson scores good on business quality (7.0 of 10). Here is why, in plain words, and what our sealed record shows.
Why it matters
- What Johnson & Johnson does
Johnson & Johnson develops innovative pharmaceuticals and medical technology, generating revenue globally from hospitals, physicians, and patients who rely on its specialized treatments. The enterprise is steering its pipeline toward advanced immunology and oncology therapies, highlighted by recent Phase 3 skin clearance results for ICOTYDE.
- What it does best
Johnson & Johnson dominates global healthcare delivery through an unmatched medical technology and pharmaceutical scale, posting a gross margin of 68.1% that anchors its pricing power. Rivals struggle to match this breadth because deep regulatory hurdles and entrenched hospital relationships create massive barriers.
- The main risk
Patent cliffs and trial setbacks threaten its core drug portfolio, directly exposing billions in revenue as generic competition looms over aging blockbusters without immediate replacements of equal scale.
Quality, check by check
Scored against its own industry, from company filings.
Operating margin stands at 27.9% with a robust return on equity of 25.7%, expanding steadily on high-margin drug sales and disciplined cost execution.
Operating in the top quartile of its sector with a 78 operating margin percentile, its moat rests on regulatory approvals and global clinical trust that lock in hospitals and physicians for years.
Revenue grew 6.0% to $97.9B, marking a steady continuation above historical baselines as pharmaceutical innovations offset sluggish segments.
Total debt sits at $47.9B against $20.1B in cash, while interest coverage of 27x means debt costs are well managed. Free cash flow reached $22.2B, getting stronger as operations scale.
Insiders
Executives and directors, from SEC Form 4 filings we read ourselves. Open market trades only; grants, option exercises and pre-planned sales left out.
5 sold $67.8M outside pre-planned sales.
Our sealed record on JNJ
Verdicts appear here 30 days after we publish them; members see today's. Each one is in the nightly ledger, fingerprinted the night it was made.
The first sealed verdicts appear here on Oct 11, 2026.
Questions
Johnson & Johnson scores good on the Cluenex quality check (7.0 of 10), measured against its own industry. Profitability is strong, moat strong, growth slow and financial health strong.
In the last 90 days of SEC Form 4 filings: 5 sold $67.8M outside pre-planned sales.
Oct 13, 2026, before the open.
See JNJ today
- Today's verdict on JNJ, and why
- Fair value with cautious, base and optimistic cases
- The exact price that would change the verdict
- Which stocks each signal names, the night it fires
Cite this page: Cluenex, “Johnson & Johnson (JNJ)”, https://cluenex.com/stocks/jnj/, data as of Oct 10, 2026.