WallStSmart

Johnson & Johnson (JNJ)vsPrestige Brand Holdings Inc (PBH)

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Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 8763% more annual revenue ($97.93B vs $1.10B). JNJ leads profitability with a 21.5% profit margin vs 15.6%. PBH appears more attractively valued with a PEG of 1.52. PBH earns a higher WallStSmart Score of 59/100 (C).

JNJ

Buy

59

out of 100

Grade: C

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

PBH

Buy

59

out of 100

Grade: C

Growth: 3.3Profit: 7.0Value: 4.7Quality: 6.5
Piotroski: 2/9Altman Z: 2.06
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
PBHSignificantly Overvalued (-52.5%)

Margin of Safety

-52.5%

Fair Value

$43.25

Current Price

$46.95

$3.70 premium

UndervaluedFair: $43.25Overvalued

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

PBH3 strengths · Avg: 8.7/10
Price/BookValuation
1.2x10/10

Reasonable price relative to book value

P/E RatioValuation
13.6x8/10

Attractively priced relative to earnings

Operating MarginProfitability
20.8%8/10

Strong operational efficiency at 20.8%

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%

PBH4 concerns · Avg: 3.0/10
PEG RatioValuation
1.524/10

Expensive relative to growth rate

Debt/EquityHealth
1.083/10

Elevated debt levels

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

EPS GrowthGrowth
-35.8%2/10

Earnings declined 35.8%

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 : PBH

The strongest argument for PBH centers on Price/Book, P/E Ratio, Operating Margin. Profitability is solid with margins at 15.6% and operating margin at 20.8%.

Bear Case : JNJ

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

Bear Case : PBH

The primary concerns for PBH are PEG Ratio, Debt/Equity, Piotroski F-Score.

Key Dynamics to Monitor

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

JNJ is growing revenue faster at 6.6% — sustainability is the question.

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

Monitor DRUG MANUFACTURERS - GENERAL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

JNJ scores higher overall (59/100 vs 59/100), backed by strong 21.5% margins. 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.

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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Prestige Brand Holdings Inc

HEALTHCARE · DRUG MANUFACTURERS - SPECIALTY & GENERIC · USA

Prestige Consumer Healthcare Inc., develops, manufactures, markets, distributes and sells over-the-counter (OTC) healthcare products in the United States and internationally. The company is headquartered in Tarrytown, New York.

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