Bristol-Myers Squibb Company (BMY)vsJohnson & Johnson (JNJ)
BMY
Bristol-Myers Squibb Company
$61.39
+1.35%
HEALTHCARE · Cap: $120.17B
JNJ
Johnson & Johnson
$275.19
+1.53%
HEALTHCARE · Cap: $615.87B
Smart Verdict
WallStSmart Research — data-driven comparison
Johnson & Johnson generates 102% more annual revenue ($99.33B vs $49.19B). BMY leads profitability with a 18.9% profit margin vs 16.2%. JNJ appears more attractively valued with a PEG of 2.82. BMY earns a higher WallStSmart Score of 68/100 (B-).
BMY
Strong Buy68
out of 100
Grade: B-
JNJ
Buy57
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+17.1%
Fair Value
$72.27
Current Price
$61.39
$10.88 discount
Margin of Safety
-83.0%
Fair Value
$144.12
Current Price
$275.19
$131.07 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 42 in profit
Strong operational efficiency at 34.4%
Earnings expanding 153.1% YoY
Large-cap with strong market position
Attractively priced relative to earnings
Generating 3.1B in free cash flow
Mega-cap, among the largest globally
Strong operational efficiency at 25.1%
Generating 6.4B in free cash flow
Areas to Watch
Elevated debt levels
Expensive relative to growth rate
Distress zone — elevated risk
Premium valuation, high expectations priced in
Weak financial health signals
Expensive relative to growth rate
Earnings declined 96.0%
Comparative Analysis Report
WallStSmart ResearchBull Case : BMY
The strongest argument for BMY centers on Return on Equity, Operating Margin, EPS Growth. Profitability is solid with margins at 18.9% and operating margin at 34.4%.
Bull Case : JNJ
The strongest argument for JNJ centers on Market Cap, Operating Margin, Free Cash Flow. Profitability is solid with margins at 16.2% and operating margin at 25.1%.
Bear Case : BMY
The primary concerns for BMY are Debt/Equity, PEG Ratio, Altman Z-Score. Debt-to-equity of 1.93 is elevated, increasing financial risk.
Bear Case : JNJ
The primary concerns for JNJ are P/E Ratio, Piotroski F-Score, PEG Ratio.
Key Dynamics to Monitor
JNJ carries more volatility with a beta of 0.21 — expect wider price swings.
JNJ is growing revenue faster at 5.9% — sustainability is the question.
JNJ generates stronger free cash flow (6.4B), providing more financial flexibility.
Monitor DRUG MANUFACTURERS - GENERAL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
BMY scores higher overall (68/100 vs 57/100), backed by strong 18.9% 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.
Bristol-Myers Squibb Company
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
Bristol Myers Squibb (BMS) is an American multinational pharmaceutical company, headquartered in New York City. Bristol Myers Squibb manufactures prescription pharmaceuticals and biologics in several therapeutic areas, including cancer, AIDS, cardiovascular disease, diabetes, hepatitis, rheumatoid arthritis and psychiatric disorders.
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 - GENERAL Stocks
Want to dig deeper into these stocks?