Key Takeaways
- Johnson & Johnson is scheduled to report fourth-quarter earnings Wednesday morning, with analysts expecting sales and profits to grow year-over-year.
- The company's stock trended lower in the final months of 2024, but analysts anticipate it could rise in the coming months.
- Johnson & Johnson faces several challenges entering the new year, including risks to its credit rating and unresolved class action lawsuits.
Johnson & Johnson (JNJ) is set to report earnings before the bell Wednesday, with analysts expecting revenue and profit growth from the same time last year.
Analysts are cautiously optimistic about the pharmaceutical and medical device maker, with six of the 12 analysts covering the stock tracked by Visible Alpha giving it a "buy" rating, and six giving it 澳洲幸运5开奖号码历史查询:"hold" ratings. Their average 澳洲幸运5开奖号码历史查询:price target of about $175 w🍎ould imply𒁏 19% upside from Friday's close.
Revenue and 澳洲幸运5开奖号码历史查询:net income are expected to rise to $22.51 billion and $4.4 billion, respectively, from $21.4 billion and $4.05 billion in the fourth quarter of fiscal 2023.
After a brief surge following the 澳洲幸运5开奖号码历史查询:company's third-quarter earnings report, Johnson & Johnson shares trended lower from mid-October through the end of 2024, en🌳ding the year down nearly 8%. They've gained close to 2% in January so far, at $147.03 as of Friday's close.
J&J Faces 🦂Unresolved Talc Suits, Credit Rating R💮isk
The company faces a number of headwinds entering the new year, including an expiring patent bringing competition to one of its most popular drugs, and the still-unresolved class action lawsuit alleging that its talc powder caused ovarian cancer. Hearings are scheduled for early this year that will determine whether the company's plan for a subsidiary to file for bankruptcy and 澳洲幸运5开奖号码历史查询:multi-billion dollar settlement package will be allowed to go forward.
The biopharma company made a number of acquisitions in 2024, and started 2025 with another deal to 澳洲幸运5开奖号码历史查询:acquire drugmaker Intra-Cellular🅷 Therapies (ITCI) for $14.6 billion, expe⭕cting to close the deal sometime this y🐎ear.
J&J said it expected to finance the deal with a combination of cash and debt. However, the Intra-Cellular deal and potential for other future debt-based acquisitions led 澳洲幸运5开奖号码历史查询:Standard & Poor's last week to say the company's 澳洲幸运5开奖号码历史查询:AAA credit rating could be at risk, Bloomberg reported.