Alkermes Plc (ALKS)vsJohnson & Johnson (JNJ)
ALKS
Alkermes Plc
$42.80
-1.34%
HEALTHCARE · Cap: $7.38B
JNJ
Johnson & Johnson
$232.77
+1.07%
HEALTHCARE · Cap: $536.54B
Smart Verdict
WallStSmart Research — data-driven comparison
Johnson & Johnson generates 6068% more annual revenue ($96.36B vs $1.56B). JNJ leads profitability with a 21.8% profit margin vs 9.8%. ALKS appears more attractively valued with a PEG of 1.96. JNJ earns a higher WallStSmart Score of 59/100 (C).
ALKS
Hold44
out of 100
Grade: D
JNJ
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+52.3%
Fair Value
$73.21
Current Price
$42.80
$30.41 discount
Margin of Safety
-71.4%
Fair Value
$135.80
Current Price
$232.77
$96.97 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 28.2% year-over-year
Mega-cap, among the largest globally
Every $100 of equity generates 26 in profit
Keeps 22 of every $100 in revenue as profit
Strong operational efficiency at 27.4%
Generating 1.5B in free cash flow
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
Earnings declined 67.0%
Negative free cash flow — burning cash
Moderate valuation
Expensive relative to growth rate
Earnings declined 52.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : ALKS
The strongest argument for ALKS centers on Revenue Growth. Revenue growth of 28.2% demonstrates continued momentum.
Bull Case : JNJ
The strongest argument for JNJ centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 21.8% and operating margin at 27.4%.
Bear Case : ALKS
The primary concerns for ALKS are PEG Ratio, P/E Ratio, EPS Growth. A P/E of 49.2x leaves little room for execution misses.
Bear Case : JNJ
The primary concerns for JNJ are P/E Ratio, PEG Ratio, EPS Growth.
Key Dynamics to Monitor
ALKS profiles as a growth stock while JNJ is a mature play — different risk/reward profiles.
ALKS carries more volatility with a beta of 0.33 — expect wider price swings.
ALKS is growing revenue faster at 28.2% — sustainability is the question.
JNJ generates stronger free cash flow (1.5B), providing more financial flexibility.
Bottom Line
JNJ scores higher overall (59/100 vs 44/100), backed by strong 21.8% margins. ALKS offers better value entry with a 52.3% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Alkermes Plc
HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA
Alkermes plc, a biopharmaceutical company, researches, develops and markets pharmaceutical products to address the unmet medical needs of patients in various therapeutic areas in the United States, Ireland and internationally. The company is headquartered in Dublin, Ireland.
Visit Website →Johnson & Johnson
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
Johnson & Johnson (J&J) is an American multinational corporation founded in 1886 that develops medical devices, pharmaceuticals, and consumer packaged goods. Its common stock is a component of the Dow Jones Industrial Average and the company is ranked No. 36 on the 2021 Fortune 500 list of the largest United States corporations by total revenue. Johnson & Johnson is one of the world's most valuable companies, and is one of only two U.S.-based companies that has a prime credit rating of AAA, higher than that of the United States government.
Visit Website →Compare with Other DRUG MANUFACTURERS - SPECIALTY & GENERIC Stocks
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