WallStSmart

Johnson & Johnson (JNJ)vsNeurocrine Biosciences Inc (NBIX)

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Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 2803% more annual revenue ($97.93B vs $3.37B). JNJ leads profitability with a 21.5% profit margin vs 20.9%. NBIX appears more attractively valued with a PEG of 0.31. NBIX earns a higher WallStSmart Score of 81/100 (A-).

JNJ

Buy

59

out of 100

Grade: C

Growth: 4.7Profit: 8.5Value: 2.7Quality: 6.0
Piotroski: 4/9Altman Z: 2.64

NBIX

Exceptional Buy

81

out of 100

Grade: A-

Growth: 10.0Profit: 8.0Value: 7.0Quality: 7.5
Piotroski: 3/9Altman Z: 3.08
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

JNJSignificantly Overvalued (-88.9%)

Margin of Safety

-88.9%

Fair Value

$140.57

Current Price

$265.58

$125.01 premium

UndervaluedFair: $140.57Overvalued

Intrinsic value data unavailable for NBIX.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

JNJ5 strengths · Avg: 8.8/10
Market CapQuality
$640.02B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
24.8%9/10

Every $100 of equity generates 25 in profit

Profit MarginProfitability
21.5%9/10

Keeps 22 of every $100 in revenue as profit

Operating MarginProfitability
29.2%8/10

Strong operational efficiency at 29.2%

Free Cash FlowQuality
$3.39B8/10

Generating 3.4B in free cash flow

NBIX6 strengths · Avg: 9.3/10
PEG RatioValuation
0.3110/10

Growing faster than its price suggests

Revenue GrowthGrowth
39.5%10/10

Revenue surging 39.5% year-over-year

Altman Z-ScoreHealth
3.0810/10

Safe zone — low bankruptcy risk

Profit MarginProfitability
20.9%9/10

Keeps 21 of every $100 in revenue as profit

Debt/EquityHealth
0.119/10

Conservative balance sheet, low leverage

Operating MarginProfitability
22.2%8/10

Strong operational efficiency at 22.2%

Areas to Watch

JNJ3 concerns · Avg: 2.7/10
P/E RatioValuation
30.9x4/10

Premium valuation, high expectations priced in

PEG RatioValuation
2.792/10

Expensive relative to growth rate

EPS GrowthGrowth
-0.9%2/10

Earnings declined 0.9%

NBIX1 concerns · Avg: 3.0/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull 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 : NBIX

The strongest argument for NBIX centers on PEG Ratio, Revenue Growth, Altman Z-Score. Profitability is solid with margins at 20.9% and operating margin at 22.2%. Revenue growth of 39.5% demonstrates continued momentum.

Bear Case : JNJ

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

Bear Case : NBIX

The primary concerns for NBIX are Piotroski F-Score.

Key Dynamics to Monitor

JNJ profiles as a mature stock while NBIX is a growth play — different risk/reward profiles.

NBIX carries more volatility with a beta of 0.38 — expect wider price swings.

NBIX is growing revenue faster at 39.5% — sustainability is the question.

JNJ generates stronger free cash flow (3.4B), providing more financial flexibility.

Bottom Line

NBIX scores higher overall (81/100 vs 59/100), backed by strong 20.9% margins and 39.5% revenue growth. Both earn "Exceptional 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.

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Neurocrine Biosciences Inc

HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA

Neurocrine Biosciences, Inc., a biopharmaceutical company, discovers, develops, and markets pharmaceutical products for the treatment of neurological, endocrine, and psychiatric diseases and disorders in the United States. The company is headquartered in San Diego, California.

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