WallStSmart

The Boeing Company (BA)vsJohnson & Johnson (JNJ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 5% more annual revenue ($96.36B vs $92.18B). JNJ leads profitability with a 21.8% profit margin vs 2.5%. JNJ appears more attractively valued with a PEG of 2.92. JNJ earns a higher WallStSmart Score of 59/100 (C).

BA

Hold

48

out of 100

Grade: D+

Growth: 5.3Profit: 5.0Value: 2.0Quality: 4.0
Piotroski: 5/9Altman Z: 1.01

JNJ

Buy

59

out of 100

Grade: C

Growth: 4.7Profit: 9.0Value: 3.3Quality: 6.0
Piotroski: 4/9Altman Z: 2.64
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BASignificantly Overvalued (-43.0%)

Margin of Safety

-43.0%

Fair Value

$161.59

Current Price

$237.36

$75.77 premium

UndervaluedFair: $161.59Overvalued
JNJSignificantly Overvalued (-37.5%)

Margin of Safety

-37.5%

Fair Value

$160.99

Current Price

$221.32

$60.33 premium

UndervaluedFair: $160.99Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BA2 strengths · Avg: 9.5/10
Return on EquityProfitability
170.0%10/10

Every $100 of equity generates 170 in profit

Market CapQuality
$182.12B9/10

Large-cap with strong market position

JNJ5 strengths · Avg: 8.8/10
Market CapQuality
$535.63B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
26.4%9/10

Every $100 of equity generates 26 in profit

Profit MarginProfitability
21.8%9/10

Keeps 22 of every $100 in revenue as profit

Operating MarginProfitability
27.4%8/10

Strong operational efficiency at 27.4%

Free Cash FlowQuality
$1.47B8/10

Generating 1.5B in free cash flow

Areas to Watch

BA4 concerns · Avg: 2.5/10
Profit MarginProfitability
2.5%3/10

2.5% margin — thin

Operating MarginProfitability
1.7%3/10

Operating margin of 1.7%

PEG RatioValuation
24.312/10

Expensive relative to growth rate

P/E RatioValuation
91.0x2/10

Premium valuation, high expectations priced in

JNJ3 concerns · Avg: 2.7/10
P/E RatioValuation
25.8x4/10

Moderate valuation

PEG RatioValuation
2.922/10

Expensive relative to growth rate

EPS GrowthGrowth
-52.9%2/10

Earnings declined 52.9%

Comparative Analysis Report

WallStSmart Research

Bull Case : BA

The strongest argument for BA centers on Return on Equity, Market Cap. Revenue growth of 14.0% 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 : BA

The primary concerns for BA are Profit Margin, Operating Margin, PEG Ratio. A P/E of 91.0x leaves little room for execution misses. Debt-to-equity of 9.92 is elevated, increasing financial risk.

Bear Case : JNJ

The primary concerns for JNJ are P/E Ratio, PEG Ratio, EPS Growth.

Key Dynamics to Monitor

BA profiles as a value stock while JNJ is a mature play — different risk/reward profiles.

BA carries more volatility with a beta of 1.21 — expect wider price swings.

BA is growing revenue faster at 14.0% — 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 48/100), backed by strong 21.8% margins. 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.

The Boeing Company

INDUSTRIALS · AEROSPACE & DEFENSE · USA

The Boeing Company is an American multinational corporation that designs, manufactures, and sells airplanes, rotorcraft, rockets, satellites, telecommunications equipment, and missiles worldwide. The company also provides leasing and product support services.

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.

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