Johnson & Johnson (JNJ)vsSotera Health Co (SHC)
JNJ
Johnson & Johnson
$221.32
-0.53%
HEALTHCARE · Cap: $535.63B
SHC
Sotera Health Co
$15.78
+0.70%
HEALTHCARE · Cap: $4.47B
Smart Verdict
WallStSmart Research — data-driven comparison
Johnson & Johnson generates 8004% more annual revenue ($96.36B vs $1.19B). JNJ leads profitability with a 21.8% profit margin vs 9.9%. SHC appears more attractively valued with a PEG of 1.68. SHC earns a higher WallStSmart Score of 68/100 (B-).
JNJ
Buy59
out of 100
Grade: C
SHC
Strong Buy68
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-38.5%
Fair Value
$160.72
Current Price
$221.32
$60.60 premium
Margin of Safety
+2.9%
Fair Value
$17.89
Current Price
$15.78
$2.11 discount
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
Strong operational efficiency at 31.3%
Earnings expanding 175.4% YoY
Every $100 of equity generates 23 in profit
Areas to Watch
Moderate valuation
Expensive relative to growth rate
Earnings declined 52.9%
Expensive relative to growth rate
Premium valuation, high expectations priced in
Elevated debt levels
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 : SHC
The strongest argument for SHC centers on Operating Margin, EPS Growth, Return on Equity.
Bear Case : JNJ
The primary concerns for JNJ are P/E Ratio, PEG Ratio, EPS Growth.
Bear Case : SHC
The primary concerns for SHC are PEG Ratio, P/E Ratio, Debt/Equity. Debt-to-equity of 4.14 is elevated, increasing financial risk.
Key Dynamics to Monitor
JNJ profiles as a mature stock while SHC is a value play — different risk/reward profiles.
SHC carries more volatility with a beta of 1.82 — expect wider price swings.
SHC is growing revenue faster at 10.0% — sustainability is the question.
Monitor DRUG MANUFACTURERS - GENERAL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
SHC scores higher overall (68/100 vs 59/100). 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 →Sotera Health Co
HEALTHCARE · DIAGNOSTICS & RESEARCH · USA
Sotera Health Company provides sterilization, laboratory testing, and advisory services to the medical device, pharmaceutical, and food industries in the Americas, Europe, and Asia. The company is headquartered in Broadview Heights, Ohio.
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