Johnson & Johnson (NYSE:JNJ) Stock Falls 1.4% – Here’s Why

Johnson & Johnson (NYSE:JNJ)’s share price fell 1.4% on Thursday. The company traded as low as $271.64 and last traded at $272.4910. 9,643,708 shares changed hands during trading, an increase of 21% from the average session volume of 7,957,145 shares. The stock had previously closed at $276.32.

Key Headlines Impacting Johnson & Johnson

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

• Positive Sentiment: Dividend-focused articles highlight J&J as an established income stock with a long history of annual payout increases, supporting its appeal to long-term investors. 4 Dividend Kings That Could Pay You for the Rest of Your Retirement
• Positive Sentiment: The State Street Health Care SPDR (XLV) added J&J shares as part of a $175.3 million round of purchases that increased all of the fund’s positions, providing a modest demand signal. State Street Health Care SPDR Adds Eli Lilly and J&J
• Neutral Sentiment: Wall Street analysts remain moderately bullish, according to a recent review, although the article notes J&J has already rallied over the past year. Are Wall Street Analysts Predicting Johnson & Johnson Stock Will Climb or Sink?
• Neutral Sentiment: A comparison with Bayer frames JNJ as a potential value stock but provides no clear conclusion in the supplied summary. BAYRY vs. JNJ: Which Stock Is the Better Value Option?
• Negative Sentiment: Rate-hike expectations and Treasury yields above the dividend yields of stocks discussed in recent income coverage could make dividend shares less attractive. This is a broader market risk, not a J&J-specific development. Rate Hikes Could Be Coming: History Likes These 4 Dividend Stocks
• Negative Sentiment: Smith+Nephew confirmed merger talks with J&J’s orthopaedics unit failed. This removes a potential transaction, though the supplied report does not indicate a direct financial impact on J&J. Smith+Nephew cuts outlook, confirms failed merger talks

Analyst Ratings Changes

A number of research analysts have recently issued reports on the company. Argus set a $300.00 target price on Johnson & Johnson in a report on Wednesday, July 29th. The Goldman Sachs Group reiterated a “buy” rating and issued a $282.00 price objective on shares of Johnson & Johnson in a research report on Thursday, July 16th. Stifel Nicolaus set a $260.00 price objective on shares of Johnson & Johnson in a research report on Wednesday, July 15th. TD Cowen restated a “buy” rating on shares of Johnson & Johnson in a research report on Tuesday, October 20th. Finally, Royal Bank Of Canada reduced their target price on shares of Johnson & Johnson from $290.00 to $280.00 and set an “outperform” rating for the company in a research note on Wednesday, October 14th. One investment analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and eight have given a Hold rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $275.92.

Johnson & Johnson Trading Down 1.4%

The company has a quick ratio of 0.74, a current ratio of 1.02 and a debt-to-equity ratio of 0.44. The business’s fifty day moving average is $265.67 and its 200 day moving average is $247.74. The stock has a market cap of $655.97 billion, a PE ratio of 41.29, a P/E/G ratio of 2.63 and a beta of 0.22.

Johnson & Johnson (NYSE:JNJ) last posted its earnings results on Tuesday, October 13th. The company reported $2.59 EPS for the quarter, topping analysts’ consensus estimates of $2.53 by $0.06. Johnson & Johnson had a return on equity of 31.64% and a net margin of 16.20%. The company had revenue of $25.40 billion for the quarter, compared to the consensus estimate of $25.38 billion. During the same period in the previous year, the business earned $2.80 earnings per share. Johnson & Johnson’s quarterly revenue was up 5.9% compared to the same quarter last year. Johnson & Johnson has set its FY 2026 guidance at 11.050-11.150 EPS. As a group, analysts predict that Johnson & Johnson will post 11.12 earnings per share for the current year.

Johnson & Johnson Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, December 8th. Shareholders of record on Tuesday, November 24th will be given a dividend of $1.34 per share. The ex-dividend date is Tuesday, November 24th. This represents a $5.36 dividend on an annualized basis and a yield of 2.0%. Johnson & Johnson’s payout ratio is presently 81.21%.

Insider Activity

In other news, EVP Jennifer L. Taubert sold 15,000 shares of the firm’s stock in a transaction that occurred on Monday, August 17th. The shares were sold at an average price of $263.36, for a total transaction of $3,950,400.00. Following the completion of the transaction, the executive vice president directly owned 194,451 shares of the company’s stock, valued at $51,210,615.36. This trade represents a 7.16% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, EVP Timothy Schmid sold 33,597 shares of the company’s stock in a transaction that occurred on Wednesday, September 2nd. The shares were sold at an average price of $274.74, for a total value of $9,230,439.78. Following the completion of the sale, the executive vice president directly owned 25,447 shares in the company, valued at approximately $6,991,308.78. The trade was a 56.90% decrease in their position. The SEC filing for this sale provides additional information. 0.16% of the stock is owned by corporate insiders.

Institutional Trading of Johnson & Johnson

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Outlook Capital Management LLC acquired a new stake in Johnson & Johnson in the 2nd quarter worth about $28,000. Matrix Trust Co grew its holdings in Johnson & Johnson by 56.2% in the 2nd quarter. Matrix Trust Co now owns 150 shares of the company’s stock valued at $38,000 after buying an additional 54 shares during the period. Navigoe LLC increased its stake in shares of Johnson & Johnson by 60.4% during the 3rd quarter. Navigoe LLC now owns 146 shares of the company’s stock valued at $38,000 after acquiring an additional 55 shares during the last quarter. Montgomery Financial Services LLC acquired a new position in shares of Johnson & Johnson during the 2nd quarter valued at about $43,000. Finally, Hanseatic Management Services Inc. purchased a new position in shares of Johnson & Johnson during the 3rd quarter worth about $52,000. Hedge funds and other institutional investors own 69.55% of the company’s stock.

Johnson & Johnson Company Profile

Johnson & Johnson (NYSE: JNJ) is a global healthcare company headquartered in New Brunswick, New Jersey. Founded in 1886, the company develops and markets products and services for patients, healthcare professionals and institutions worldwide.

Johnson & Johnson operates through two principal segments: Innovative Medicine and MedTech. Innovative Medicine focuses on pharmaceuticals for areas such as immunology, oncology, neuroscience, infectious diseases and cardiovascular conditions.