Emergent Biosolutions Inc (EBS)vsJohnson & Johnson (JNJ)
EBS
Emergent Biosolutions Inc
$5.90
-5.60%
HEALTHCARE · Cap: $330.20M
JNJ
Johnson & Johnson
$276.32
+3.81%
HEALTHCARE · Cap: $657.68B
Smart Verdict
WallStSmart Research — data-driven comparison
Johnson & Johnson generates 12797% more annual revenue ($99.33B vs $770.20M). JNJ leads profitability with a 16.2% profit margin vs -23.0%. EBS appears more attractively valued with a PEG of 0.38. EBS earns a higher WallStSmart Score of 62/100 (C+).
EBS
Buy62
out of 100
Grade: C+
JNJ
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+67.2%
Fair Value
$33.61
Current Price
$5.90
$27.71 discount
Margin of Safety
-89.3%
Fair Value
$144.28
Current Price
$276.32
$132.04 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Reasonable price relative to book value
Revenue surging 66.3% year-over-year
Strong operational efficiency at 28.3%
Mega-cap, among the largest globally
Strong operational efficiency at 25.7%
Generating 6.4B in free cash flow
Areas to Watch
Distress zone — elevated risk
Smaller company, higher risk/reward
Elevated debt levels
ROE of -1.6% — below average capital efficiency
Trading at 8.2x book value
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : EBS
The strongest argument for EBS centers on PEG Ratio, Price/Book, Revenue Growth. Revenue growth of 66.3% demonstrates continued momentum. PEG of 0.38 suggests the stock is reasonably priced for its growth.
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 25.7%.
Bear Case : EBS
The primary concerns for EBS are Altman Z-Score, Market Cap, Debt/Equity. Debt-to-equity of 1.70 is elevated, increasing financial risk.
Bear Case : JNJ
The primary concerns for JNJ are Price/Book, Piotroski F-Score, PEG Ratio. A P/E of 41.5x leaves little room for execution misses.
Key Dynamics to Monitor
EBS profiles as a hypergrowth stock while JNJ is a mature play — different risk/reward profiles.
EBS carries more volatility with a beta of 2.37 — expect wider price swings.
EBS is growing revenue faster at 66.3% — sustainability is the question.
JNJ generates stronger free cash flow (6.4B), providing more financial flexibility.
Bottom Line
EBS scores higher overall (62/100 vs 54/100) and 66.3% revenue growth. Both earn "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.
Emergent Biosolutions Inc
HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA
Emergent BioSolutions Inc., a life sciences company, focuses on providing preparedness and response products and solutions for civilian and military populations that address accidental, deliberate, and naturally occurring public health threats (PHT). The company is headquartered in Gaithersburg, Maryland.
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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