Centene Corp (CNC)vsJohnson & Johnson (JNJ)
CNC
Centene Corp
$32.00
-4.65%
HEALTHCARE · Cap: $15.74B
JNJ
Johnson & Johnson
$240.45
+0.85%
HEALTHCARE · Cap: $579.46B
Smart Verdict
WallStSmart Research — data-driven comparison
Centene Corp generates 87% more annual revenue ($176.15B vs $94.19B). JNJ leads profitability with a 28.5% profit margin vs -3.8%. CNC appears more attractively valued with a PEG of 0.77. JNJ earns a higher WallStSmart Score of 71/100 (B).
CNC
Strong Buy65
out of 100
Grade: B-
JNJ
Strong Buy71
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for CNC.
Margin of Safety
+53.5%
Fair Value
$516.67
Current Price
$240.45
$276.22 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Growing faster than its price suggests
Revenue surging 23.2% year-over-year
Earnings expanding 21.8% YoY
Mega-cap, among the largest globally
Every $100 of equity generates 35 in profit
Keeps 29 of every $100 in revenue as profit
Strong operational efficiency at 24.0%
Earnings expanding 48.6% YoY
Generating 5.5B in free cash flow
Areas to Watch
ROE of -28.7% — below average capital efficiency
Currently unprofitable
Operating margin of -1.9%
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : CNC
The strongest argument for CNC centers on Price/Book, PEG Ratio, Revenue Growth. Revenue growth of 23.2% demonstrates continued momentum. PEG of 0.77 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 : CNC
The primary concerns for CNC are Return on Equity, Profit Margin, Operating Margin.
Bear Case : JNJ
The primary concerns for JNJ are PEG Ratio.
Key Dynamics to Monitor
CNC profiles as a growth stock while JNJ is a mature play — different risk/reward profiles.
CNC carries more volatility with a beta of 0.46 — expect wider price swings.
CNC is growing revenue faster at 23.2% — 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 65/100), backed by strong 28.5% margins. Both earn "Strong Buy" and "Strong 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.
Centene Corp
HEALTHCARE · HEALTHCARE PLANS · USA
Centene Corporation is a large publicly traded company and a multi-line managed care enterprise that serves as a major intermediary for both government-sponsored and privately insured health care programs. It is a healthcare insurer that focuses on managed care for uninsured, underinsured, and low-income individuals.
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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