WallStSmart

Johnson & Johnson (JNJ)vsQ32 Bio Inc (QTTB)

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Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 179222% more annual revenue ($96.36B vs $53.74M). QTTB leads profitability with a 61.9% profit margin vs 21.8%. QTTB trades at a lower P/E of 4.3x. JNJ earns a higher WallStSmart Score of 57/100 (C).

JNJ

Buy

57

out of 100

Grade: C

Growth: 4.7Profit: 9.0Value: 3.3Quality: 6.0
Piotroski: 4/9Altman Z: 2.64

QTTB

Buy

54

out of 100

Grade: C-

Growth: 6.0Profit: 10.0Value: 6.7Quality: 7.0
Piotroski: 5/9Altman Z: -0.75
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

JNJSignificantly Overvalued (-67.8%)

Margin of Safety

-67.8%

Fair Value

$136.12

Current Price

$231.29

$95.17 premium

UndervaluedFair: $136.12Overvalued

Intrinsic value data unavailable for QTTB.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

JNJ5 strengths · Avg: 8.8/10
Market CapQuality
$567.28B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
25.9%9/10

Every $100 of equity generates 26 in profit

Profit MarginProfitability
21.8%9/10

Keeps 22 of every $100 in revenue as profit

Operating MarginProfitability
27.4%8/10

Strong operational efficiency at 27.4%

Free Cash FlowQuality
$1.47B8/10

Generating 1.5B in free cash flow

QTTB5 strengths · Avg: 9.8/10
P/E RatioValuation
4.3x10/10

Attractively priced relative to earnings

Return on EquityProfitability
71.8%10/10

Every $100 of equity generates 72 in profit

Profit MarginProfitability
61.9%10/10

Keeps 62 of every $100 in revenue as profit

Operating MarginProfitability
39.8%10/10

Strong operational efficiency at 39.8%

Debt/EquityHealth
0.299/10

Conservative balance sheet, low leverage

Areas to Watch

JNJ3 concerns · Avg: 2.7/10
P/E RatioValuation
27.3x4/10

Moderate valuation

PEG RatioValuation
3.062/10

Expensive relative to growth rate

EPS GrowthGrowth
-52.9%2/10

Earnings declined 52.9%

QTTB4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
0.0%4/10

0.0% revenue growth

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$218.23M3/10

Smaller company, higher risk/reward

Free Cash FlowQuality
$-6.34M2/10

Negative free cash flow — burning cash

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 21.8% and operating margin at 27.4%.

Bull Case : QTTB

The strongest argument for QTTB centers on P/E Ratio, Return on Equity, Profit Margin. Profitability is solid with margins at 61.9% and operating margin at 39.8%.

Bear Case : JNJ

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

Bear Case : QTTB

The primary concerns for QTTB are Revenue Growth, EPS Growth, Market Cap.

Key Dynamics to Monitor

JNJ profiles as a mature stock while QTTB is a value play — different risk/reward profiles.

JNJ carries more volatility with a beta of 0.26 — expect wider price swings.

JNJ is growing revenue faster at 9.9% — sustainability is the question.

JNJ generates stronger free cash flow (1.5B), providing more financial flexibility.

Bottom Line

JNJ scores higher overall (57/100 vs 54/100), backed by strong 21.8% 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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Q32 Bio Inc

HEALTHCARE · BIOTECHNOLOGY · USA

Q32 Bio Inc. (QTTB) is an innovative biotechnology company specializing in the development of cutting-edge antibody-based therapies aimed at treating autoimmune diseases and optimizing immune responses. With its proprietary technology platform, Q32 Bio is advancing a diverse pipeline of therapeutic candidates poised to restore immune balance and address critical unmet medical needs. Supported by a highly experienced management team and strategic partnerships, Q32 Bio is strategically positioned to drive meaningful advancements in healthcare, ultimately creating long-term value for shareholders through its commitment to ongoing research and development excellence.

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