WallStSmart

Alnylam Pharmaceuticals Inc (ALNY)vsJohnson & Johnson (JNJ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 2436% more annual revenue ($94.19B vs $3.71B). JNJ leads profitability with a 28.5% profit margin vs 8.4%. ALNY appears more attractively valued with a PEG of 0.64. JNJ earns a higher WallStSmart Score of 71/100 (B).

ALNY

Buy

59

out of 100

Grade: C

Growth: 8.0Profit: 7.0Value: 4.0Quality: 5.0

JNJ

Strong Buy

71

out of 100

Grade: B

Growth: 7.3Profit: 9.0Value: 6.7Quality: 6.0
Piotroski: 4/9Altman Z: 2.62
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ALNYSignificantly Overvalued (-1942.3%)

Margin of Safety

-1942.3%

Fair Value

$15.78

Current Price

$317.36

$301.58 premium

UndervaluedFair: $15.78Overvalued
JNJUndervalued (+53.5%)

Margin of Safety

+53.5%

Fair Value

$516.67

Current Price

$240.45

$276.22 discount

UndervaluedFair: $516.67Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ALNY3 strengths · Avg: 9.3/10
Return on EquityProfitability
73.3%10/10

Every $100 of equity generates 73 in profit

Revenue GrowthGrowth
84.9%10/10

Revenue surging 84.9% year-over-year

PEG RatioValuation
0.648/10

Growing faster than its price suggests

JNJ6 strengths · Avg: 8.8/10
Market CapQuality
$579.46B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
35.0%10/10

Every $100 of equity generates 35 in profit

Profit MarginProfitability
28.5%9/10

Keeps 29 of every $100 in revenue as profit

Operating MarginProfitability
24.0%8/10

Strong operational efficiency at 24.0%

EPS GrowthGrowth
48.6%8/10

Earnings expanding 48.6% YoY

Free Cash FlowQuality
$5.47B8/10

Generating 5.5B in free cash flow

Areas to Watch

ALNY3 concerns · Avg: 2.7/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

P/E RatioValuation
136.8x2/10

Premium valuation, high expectations priced in

Price/BookValuation
53.2x2/10

Trading at 53.2x book value

JNJ1 concerns · Avg: 4.0/10
PEG RatioValuation
1.684/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : ALNY

The strongest argument for ALNY centers on Return on Equity, Revenue Growth, PEG Ratio. Revenue growth of 84.9% demonstrates continued momentum. PEG of 0.64 suggests the stock is reasonably priced for its growth.

Bull Case : JNJ

The strongest argument for JNJ centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 28.5% and operating margin at 24.0%.

Bear Case : ALNY

The primary concerns for ALNY are EPS Growth, P/E Ratio, Price/Book. A P/E of 136.8x leaves little room for execution misses.

Bear Case : JNJ

The primary concerns for JNJ are PEG Ratio.

Key Dynamics to Monitor

ALNY profiles as a hypergrowth stock while JNJ is a mature play — different risk/reward profiles.

ALNY carries more volatility with a beta of 0.38 — expect wider price swings.

ALNY is growing revenue faster at 84.9% — sustainability is the question.

JNJ generates stronger free cash flow (5.5B), providing more financial flexibility.

Bottom Line

JNJ scores higher overall (71/100 vs 59/100), backed by strong 28.5% margins. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Alnylam Pharmaceuticals Inc

HEALTHCARE · BIOTECHNOLOGY · USA

Alnylam Pharmaceuticals, Inc., a biopharmaceutical company, focuses on discovering, developing and commercializing RNA interference (RNAi) therapies. The company is headquartered in Cambridge, Massachusetts.

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 →

Want to dig deeper into these stocks?