Johnson & Johnson Earnings: Here’s Why Investors are Buying Shares Now

Johnson & Johnson (NYSE:JNJ) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 1.51%.

Markets are at 5-year highs! Discover the best stocks to own. Click here for our fresh Feature Stock Pick now!

Johnson & Johnson Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 5.11% to $1.44 in the quarter versus EPS of $1.37 in the year-earlier quarter.

Revenue: Rose 8.46% to $17.51 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Johnson & Johnson reported adjusted EPS income of $1.44 per share. By that measure, the company beat the mean analyst estimate of $1.4. It beat the average revenue estimate of $17.44 billion.

Quoting Management: “We delivered solid first quarter results led by the success of many of our recently launched pharmaceutical products and the addition of Synthes to our orthopaedics business. Also of note is the growth in our over-the-counter medicines business as we continue to make progress in returning a reliable supply of high quality products to our customers,” said Alex Gorsky, Chairman and Chief Executive Officer. “Our investments to advance our pipelines and expand our global presence, along with the outstanding efforts of our talented people, will enable us to continue to deliver sustainable growth and meaningful innovations to patients and customers around the world.”

Key Stats (on next page)…

Revenue decreased 0.3% from $17.56 billion in the previous quarter. EPS increased 21.01% from $1.19 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $1.4 to a profit $1.39. For the current year, the average estimate has moved down from a profit of $5.49 to a profit of $5.4 over the last ninety days.

Stocks with improving earnings metrics are worthy of your extra attention. In fact, “E = Earnings Are Increasing Quarter-Over-Quarter” is a core component of our CHEAT SHEET investing framework for this very reason. Don’t waste another minute – click here and get our CHEAT SHEET stock picks now.

(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at]