WallStSmart

Deciphera Pharmaceuticals LLC (DCPH)vsJohnson & Johnson (JNJ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 54992% more annual revenue ($96.36B vs $174.91M). JNJ leads profitability with a 21.8% profit margin vs -108.9%. JNJ earns a higher WallStSmart Score of 59/100 (C).

DCPH

Avoid

30

out of 100

Grade: F

Growth: 8.0Profit: 2.0Value: 6.7Quality: 5.0

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

DCPHUndervalued (+52.3%)

Margin of Safety

+52.3%

Fair Value

$53.59

Current Price

$25.59

$28.00 discount

UndervaluedFair: $53.59Overvalued
JNJSignificantly Overvalued (-43.5%)

Margin of Safety

-43.5%

Fair Value

$160.13

Current Price

$229.85

$69.72 premium

UndervaluedFair: $160.13Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DCPH1 strengths · Avg: 10.0/10
Revenue GrowthGrowth
34.5%10/10

Revenue surging 34.5% year-over-year

JNJ5 strengths · Avg: 8.8/10
Market CapQuality
$547.28B10/10

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

DCPH4 concerns · Avg: 2.3/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Return on EquityProfitability
-50.4%2/10

ROE of -50.4% — below average capital efficiency

Free Cash FlowQuality
$-54.73M2/10

Negative free cash flow — burning cash

Profit MarginProfitability
-108.9%1/10

Currently unprofitable

JNJ3 concerns · Avg: 2.7/10
P/E RatioValuation
26.3x4/10

Moderate valuation

PEG RatioValuation
2.962/10

Expensive relative to growth rate

EPS GrowthGrowth
-52.9%2/10

Earnings declined 52.9%

Comparative Analysis Report

WallStSmart Research

Bull Case : DCPH

The strongest argument for DCPH centers on Revenue Growth. Revenue growth of 34.5% 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 : DCPH

The primary concerns for DCPH are EPS Growth, Return on Equity, Free Cash Flow.

Bear Case : JNJ

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

Key Dynamics to Monitor

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

JNJ carries more volatility with a beta of 0.33 — expect wider price swings.

DCPH is growing revenue faster at 34.5% — 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 30/100), backed by strong 21.8% margins. DCPH offers better value entry with a 52.3% margin of safety. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

Deciphera Pharmaceuticals LLC

HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA

Deciphera Pharmaceuticals, Inc., a biopharmaceutical company, develops drugs to improve the lives of cancer patients by addressing key drug resistance mechanisms that limit the rate and durability of response to existing cancer therapies. The company is headquartered in Waltham, 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.

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