Johnson & Johnson(JNJ, $142.90) gets rating boost, price target hike from Morgan Stanley
Johnson & Johnson shares rose Tuesday, following a rating upgrade from Morgan Stanley.
Morgan Stanley David Lewis raised his rating on the pharma & medical devices maker's stock to overweight from equal weight.
Lewis also boosted his price target for the shares to $170 a share from $145.
In a note to investors, Lewis called Johnson & Johnson shares "the most under-owned stock in healthcare" . The analyst cited the following factors behind his optimism for JNJ’s attractiveness in 2020: “(1) multiple regulatory actions aimed at controlling pharmaceutical pricing are more reflected, (2) pharma growth like accelerates in 2020, which historically has lifted the multiple and (3) the portfolio is now more balanced with consumer stabilizing and medical devices and diagnostics coming off six consecutive quarters of momentum improvement."
Major growth drivers include the cooling off of pharma headwinds, strong performances by franchises such as Stelara and Darzalex, and pipeline drivers such as Tremfya and Spravato – according to Lewis.
JNJ saw its Stochastic Oscillator recovers from the overbought zone
The Stochastic Oscillator for JNJ moved out of overbought territory on September 09, 2025. This could be a bearish sign for the stock and investors may want to consider selling or taking a defensive position. A.I.dvisor looked at 60 similar instances where the indicator exited the overbought zone. In of the 60 cases the stock moved lower. This puts the odds of a downward move at .
Technical Analysis (Indicators)
Bearish Trend Analysis
The 10-day RSI Indicator for JNJ moved out of overbought territory on September 05, 2025. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 37 similar instances where the indicator moved out of overbought territory. In of the 37 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Moving Average Convergence Divergence Histogram (MACD) for JNJ turned negative on August 26, 2025. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 45 similar instances when the indicator turned negative. In of the 45 cases the stock turned lower in the days that followed. This puts the odds of success at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where JNJ declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on September 11, 2025. You may want to consider a long position or call options on JNJ as a result. In of 83 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where JNJ advanced for three days, in of 346 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 249 cases where JNJ Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 80, placing this stock better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (5.464) is normal, around the industry mean (9.666). P/E Ratio (19.064) is within average values for comparable stocks, (23.899). Projected Growth (PEG Ratio) (1.027) is also within normal values, averaging (1.753). Dividend Yield (0.029) settles around the average of (0.028) among similar stocks. P/S Ratio (4.769) is also within normal values, averaging (3.444).
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. JNJ’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
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General Information
an investment holding company with interests in health care products
Industry PharmaceuticalsMajor
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