Johnson & Johnson (JNJ)vsTarsus Pharmaceuticals Inc (TARS)
JNJ
Johnson & Johnson
$232.77
-2.08%
HEALTHCARE · Cap: $536.54B
TARS
Tarsus Pharmaceuticals Inc
$59.28
-1.76%
HEALTHCARE · Cap: $2.67B
Smart Verdict
WallStSmart Research — data-driven comparison
Johnson & Johnson generates 17909% more annual revenue ($96.36B vs $535.08M). JNJ leads profitability with a 21.8% profit margin vs -9.0%. JNJ earns a higher WallStSmart Score of 59/100 (C).
JNJ
Buy59
out of 100
Grade: C
TARS
Avoid32
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 TARS.
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 106.9% year-over-year
Conservative balance sheet, low leverage
Areas to Watch
Moderate valuation
Expensive relative to growth rate
Earnings declined 52.9%
0.0% earnings growth
ROE of -13.8% — below average capital efficiency
Negative free cash flow — burning cash
Distress zone — elevated risk
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 : TARS
The strongest argument for TARS centers on Revenue Growth, Debt/Equity. Revenue growth of 106.9% demonstrates continued momentum.
Bear Case : JNJ
The primary concerns for JNJ are P/E Ratio, PEG Ratio, EPS Growth.
Bear Case : TARS
The primary concerns for TARS are EPS Growth, Return on Equity, Free Cash Flow.
Key Dynamics to Monitor
JNJ profiles as a mature stock while TARS is a hypergrowth play — different risk/reward profiles.
TARS carries more volatility with a beta of 0.51 — expect wider price swings.
TARS is growing revenue faster at 106.9% — 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 32/100), 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 →Tarsus Pharmaceuticals Inc
HEALTHCARE · BIOTECHNOLOGY · USA
Tarsus Pharmaceuticals, Inc., a clinical-stage biopharmaceutical company, focuses on the development and commercialization of new therapeutic candidates for ophthalmic conditions. The company is headquartered in Irvine, California.
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