It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.
Many investors also have a go-to methodology that helps guide their buy and sell decisions. One way to find winning stocks based on your preferred way of investing is to use the Zacks Style Scores, which are indicators that rate stocks based on three widely-followed investing types: value, growth, and momentum.
Different than value or growth investors, momentum-oriented investors live by the saying "the trend is your friend." This investing style is all about taking advantage of upward or downward trends in a stock's price or earnings outlook. Employing factors like one-week price change and the monthly percentage change in earnings estimates, the Momentum Style Score can indicate favorable times to build a position in high-momentum stocks.
Johnson & Johnson’s biggest strength is its diversified business model. It operates through pharmaceuticals and medical devices divisions. It has more than 275 subsidiaries, which clearly means that the business is extremely well diversified. Its diversification helps it to withstand economic cycles more effectively. J&J has 26 platforms with more than $1 billion in annual sales. Meanwhile, J&J has one of the largest R&D budgets among pharma companies.
JNJ boasts a Momentum Style Score of B and VGM Score of B, and holds a Zacks Rank #3 (Hold) rating. Shares of Johnson & Johnson has seen some interesting price action recently; the stock is up 1.3% over the past one week and up 8% over the past four weeks. And in the last one-year period, JNJ has gained 4.4%. As for the stock's trading volume, 8,762,698 shares on average were traded over the last 20 days.
A company's earnings performance is important for momentum investors as well. For fiscal 2025, four analysts revised their earnings estimate higher in the last 60 days for JNJ, while the Zacks Consensus Estimate has increased $0.03 to $10.58 per share. JNJ also boasts an average earnings surprise of 4.4%.
Investors should take the time to consider JNJ for their portfolios due to its solid Zacks Ranks, notable earnings metrics, and impressive Momentum and VGM Style Scores.
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Johnson & Johnson (JNJ) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
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