Johnson & Johnson (JNJ)vsMedpace Holdings Inc (MEDP)
JNJ
Johnson & Johnson
$265.58
-0.29%
HEALTHCARE · Cap: $640.02B
MEDP
Medpace Holdings Inc
$587.52
+0.75%
HEALTHCARE · Cap: $16.49B
Smart Verdict
WallStSmart Research — data-driven comparison
Johnson & Johnson generates 3420% more annual revenue ($97.93B vs $2.78B). JNJ leads profitability with a 21.5% profit margin vs 17.7%. JNJ appears more attractively valued with a PEG of 2.79. MEDP earns a higher WallStSmart Score of 68/100 (B-).
JNJ
Buy59
out of 100
Grade: C
MEDP
Strong Buy68
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-88.9%
Fair Value
$140.57
Current Price
$265.58
$125.01 premium
Margin of Safety
-39.2%
Fair Value
$304.57
Current Price
$587.52
$282.95 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 25 in profit
Keeps 22 of every $100 in revenue as profit
Strong operational efficiency at 29.2%
Generating 3.4B in free cash flow
Every $100 of equity generates 113 in profit
Conservative balance sheet, low leverage
Strong operational efficiency at 20.8%
17.2% revenue growth
Earnings expanding 37.1% YoY
Areas to Watch
Premium valuation, high expectations priced in
Expensive relative to growth rate
Earnings declined 0.9%
Premium valuation, high expectations priced in
Grey zone — moderate risk
Expensive relative to growth rate
Trading at 37.8x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : JNJ
The strongest argument for JNJ centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 21.5% and operating margin at 29.2%.
Bull Case : MEDP
The strongest argument for MEDP centers on Return on Equity, Debt/Equity, Operating Margin. Profitability is solid with margins at 17.7% and operating margin at 20.8%. Revenue growth of 17.2% demonstrates continued momentum.
Bear Case : JNJ
The primary concerns for JNJ are P/E Ratio, PEG Ratio, EPS Growth.
Bear Case : MEDP
The primary concerns for MEDP are P/E Ratio, Altman Z-Score, PEG Ratio.
Key Dynamics to Monitor
JNJ profiles as a mature stock while MEDP is a growth play — different risk/reward profiles.
MEDP carries more volatility with a beta of 1.15 — expect wider price swings.
MEDP is growing revenue faster at 17.2% — sustainability is the question.
JNJ generates stronger free cash flow (3.4B), providing more financial flexibility.
Bottom Line
MEDP scores higher overall (68/100 vs 59/100), backed by strong 17.7% margins and 17.2% revenue growth. 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.
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 →Medpace Holdings Inc
HEALTHCARE · DIAGNOSTICS & RESEARCH · USA
Medpace Holdings, Inc. provides clinical research-based drug and medical device development services in North America, Europe, and Asia. The company is headquartered in Cincinnati, Ohio.
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