Johnson & Johnson (JNJ)vsRhythm Pharmaceuticals Inc (RYTM)
JNJ
Johnson & Johnson
$232.77
+1.07%
HEALTHCARE · Cap: $536.54B
RYTM
Rhythm Pharmaceuticals Inc
$86.40
-1.38%
HEALTHCARE · Cap: $6.06B
Smart Verdict
WallStSmart Research — data-driven comparison
Johnson & Johnson generates 44273% more annual revenue ($96.36B vs $217.16M). JNJ leads profitability with a 21.8% profit margin vs -93.3%. JNJ earns a higher WallStSmart Score of 59/100 (C).
JNJ
Buy59
out of 100
Grade: C
RYTM
Avoid30
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-71.4%
Fair Value
$135.80
Current Price
$232.77
$96.97 premium
Intrinsic value data unavailable for RYTM.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 26 in profit
Keeps 22 of every $100 in revenue as profit
Strong operational efficiency at 27.4%
Generating 1.5B in free cash flow
Revenue surging 83.8% year-over-year
Areas to Watch
Moderate valuation
Expensive relative to growth rate
Earnings declined 52.9%
0.0% earnings growth
Elevated debt levels
Trading at 48.0x book value
ROE of -164.9% — below average capital efficiency
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 21.8% and operating margin at 27.4%.
Bull Case : RYTM
The strongest argument for RYTM centers on Revenue Growth. Revenue growth of 83.8% demonstrates continued momentum.
Bear Case : JNJ
The primary concerns for JNJ are P/E Ratio, PEG Ratio, EPS Growth.
Bear Case : RYTM
The primary concerns for RYTM are EPS Growth, Debt/Equity, Price/Book. Debt-to-equity of 1.85 is elevated, increasing financial risk.
Key Dynamics to Monitor
JNJ profiles as a mature stock while RYTM is a hypergrowth play — different risk/reward profiles.
RYTM carries more volatility with a beta of 1.92 — expect wider price swings.
RYTM is growing revenue faster at 83.8% — sustainability is the question.
JNJ generates stronger free cash flow (1.5B), providing more financial flexibility.
Bottom Line
JNJ scores higher overall (59/100 vs 30/100), backed by strong 21.8% margins. 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 →Rhythm Pharmaceuticals Inc
HEALTHCARE · BIOTECHNOLOGY · USA
Rhythm Pharmaceuticals, Inc., a commercial-stage biopharmaceutical company, focuses on the development and commercialization of therapies for the treatment of rare genetic diseases of obesity. The company is headquartered in Boston, Massachusetts.
Visit Website →Compare with Other DRUG MANUFACTURERS - GENERAL Stocks
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