Johnson & Johnson (JNJ)vsSTERIS plc (STE)
JNJ
Johnson & Johnson
$266.38
+0.30%
HEALTHCARE · Cap: $640.02B
STE
STERIS plc
$210.76
-0.80%
HEALTHCARE · Cap: $21.30B
Smart Verdict
WallStSmart Research — data-driven comparison
Johnson & Johnson generates 1522% more annual revenue ($97.93B vs $6.04B). JNJ leads profitability with a 21.5% profit margin vs 13.3%. STE appears more attractively valued with a PEG of 1.87. STE earns a higher WallStSmart Score of 60/100 (C).
JNJ
Buy59
out of 100
Grade: C
STE
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-88.9%
Fair Value
$140.57
Current Price
$266.38
$125.81 premium
Margin of Safety
-48.8%
Fair Value
$163.58
Current Price
$210.76
$47.18 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 25 in profit
Keeps 22 of every $100 in revenue as profit
Strong operational efficiency at 29.2%
Generating 3.4B in free cash flow
Conservative balance sheet, low leverage
Reasonable price relative to book value
Areas to Watch
Premium valuation, high expectations priced in
Expensive relative to growth rate
Earnings declined 0.9%
Expensive relative to growth rate
Moderate valuation
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 21.5% and operating margin at 29.2%.
Bull Case : STE
The strongest argument for STE centers on Debt/Equity, Price/Book.
Bear Case : JNJ
The primary concerns for JNJ are P/E Ratio, PEG Ratio, EPS Growth.
Bear Case : STE
The primary concerns for STE are PEG Ratio, P/E Ratio.
Key Dynamics to Monitor
JNJ profiles as a mature stock while STE is a value play — different risk/reward profiles.
STE carries more volatility with a beta of 0.91 — expect wider price swings.
STE is growing revenue faster at 7.3% — sustainability is the question.
JNJ generates stronger free cash flow (3.4B), providing more financial flexibility.
Bottom Line
STE scores higher overall (60/100 vs 59/100). 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.
Visit Website →STERIS plc
HEALTHCARE · MEDICAL DEVICES · USA
Steris Corporation is an American Irish-domiciled medical equipment company specializing in sterilization and surgical products for the US healthcare system.
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