Johnson & Johnson (JNJ)vsLineage Cell Therapeutics Inc (LCTX)
JNJ
Johnson & Johnson
$272.65
-1.45%
HEALTHCARE · Cap: $657.68B
LCTX
Lineage Cell Therapeutics Inc
$0.98
-4.55%
HEALTHCARE · Cap: $248.63M
Smart Verdict
WallStSmart Research — data-driven comparison
Johnson & Johnson generates 759168% more annual revenue ($99.33B vs $13.08M). JNJ leads profitability with a 16.2% profit margin vs -246.6%. JNJ appears more attractively valued with a PEG of 3.07. JNJ earns a higher WallStSmart Score of 54/100 (C-).
JNJ
Buy54
out of 100
Grade: C-
LCTX
Avoid18
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-89.3%
Fair Value
$144.28
Current Price
$272.65
$128.37 premium
Margin of Safety
+84.0%
Fair Value
$11.28
Current Price
$0.98
$10.30 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Strong operational efficiency at 25.7%
Generating 6.4B in free cash flow
Conservative balance sheet, low leverage
Areas to Watch
Trading at 8.0x book value
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
0.0% earnings growth
Smaller company, higher risk/reward
Weak financial health signals
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull 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%.
Bull Case : LCTX
The strongest argument for LCTX centers on Debt/Equity.
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.
Bear Case : LCTX
The primary concerns for LCTX are EPS Growth, Market Cap, Piotroski F-Score.
Key Dynamics to Monitor
JNJ profiles as a mature stock while LCTX is a turnaround play — different risk/reward profiles.
LCTX carries more volatility with a beta of 1.69 — 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.
Bottom Line
JNJ scores higher overall (54/100 vs 18/100), backed by strong 16.2% margins. LCTX offers better value entry with a 84.0% 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.
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 →Lineage Cell Therapeutics Inc
HEALTHCARE · BIOTECHNOLOGY · USA
Lineage Cell Therapeutics, Inc., a clinical-stage biotechnology company, focuses on developing and commercializing therapeutics for the treatment of degenerative diseases in the United States and internationally. The company is headquartered in Carlsbad, California.
Visit Website →Compare with Other DRUG MANUFACTURERS - GENERAL Stocks
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