WallStSmart

Johnson & Johnson (JNJ)vsSoleno Therapeutics Inc (SLNO)

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Smart Verdict

WallStSmart Research — data-driven comparison

Johnson & Johnson generates 34753% more annual revenue ($99.33B vs $285.01M). SLNO leads profitability with a 33.7% profit margin vs 16.2%. SLNO trades at a lower P/E of 27.4x. JNJ earns a higher WallStSmart Score of 54/100 (C-).

JNJ

Buy

54

out of 100

Grade: C-

Growth: 4.7Profit: 8.5Value: 2.7Quality: 5.5
Piotroski: 3/9Altman Z: 2.64

SLNO

Buy

52

out of 100

Grade: C-

Growth: 4.3Profit: 9.5Value: 5.3Quality: 6.8
Piotroski: 5/9Altman Z: 1.64
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

JNJSignificantly Overvalued (-89.3%)

Margin of Safety

-89.3%

Fair Value

$144.28

Current Price

$276.32

$132.04 premium

UndervaluedFair: $144.28Overvalued

Intrinsic value data unavailable for SLNO.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

JNJ3 strengths · Avg: 8.7/10
Market CapQuality
$657.68B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
25.7%8/10

Strong operational efficiency at 25.7%

Free Cash FlowQuality
$6.36B8/10

Generating 6.4B in free cash flow

SLNO3 strengths · Avg: 9.7/10
Profit MarginProfitability
33.7%10/10

Keeps 34 of every $100 in revenue as profit

Operating MarginProfitability
33.6%10/10

Strong operational efficiency at 33.6%

Return on EquityProfitability
26.4%9/10

Every $100 of equity generates 26 in profit

Areas to Watch

JNJ4 concerns · Avg: 2.8/10
Price/BookValuation
8.2x4/10

Trading at 8.2x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
3.072/10

Expensive relative to growth rate

P/E RatioValuation
41.5x2/10

Premium valuation, high expectations priced in

SLNO4 concerns · Avg: 4.0/10
P/E RatioValuation
27.4x4/10

Moderate valuation

Revenue GrowthGrowth
0.0%4/10

0.0% revenue growth

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Altman Z-ScoreHealth
1.644/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : JNJ

The strongest argument for JNJ centers on Market Cap, Operating Margin, Free Cash Flow. Profitability is solid with margins at 16.2% and operating margin at 25.7%.

Bull Case : SLNO

The strongest argument for SLNO centers on Profit Margin, Operating Margin, Return on Equity. Profitability is solid with margins at 33.7% and operating margin at 33.6%.

Bear Case : JNJ

The primary concerns for JNJ are Price/Book, Piotroski F-Score, PEG Ratio. A P/E of 41.5x leaves little room for execution misses.

Bear Case : SLNO

The primary concerns for SLNO are P/E Ratio, Revenue Growth, EPS Growth.

Key Dynamics to Monitor

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

JNJ carries more volatility with a beta of 0.21 — expect wider price swings.

JNJ is growing revenue faster at 5.9% — sustainability is the question.

JNJ generates stronger free cash flow (6.4B), providing more financial flexibility.

Bottom Line

JNJ scores higher overall (54/100 vs 52/100), backed by strong 16.2% 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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Soleno Therapeutics Inc

HEALTHCARE · BIOTECHNOLOGY · USA

Soleno Therapeutics, Inc., a clinical-stage biopharmaceutical company, focuses on the development and commercialization of novel therapies for the treatment of rare diseases. The company is headquartered in Redwood City, California.

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