News about JNJ

Johnson & Johnson (JNJ) shares fell significantly after its third-quarter results, even though the company beat expectations and slightly raised its full-year guidance. Revenue reached $25.4 billion, up 5.9%, while adjusted EPS of $2.59 fell 7.5%, a decline the company attributed mostly to acquisitions. Innovative medicine sales rose 7.7% to $16.8 billion, led by Darzalex and Tremfya, but medtech revenue of $8.6 billion, up 2.5%, fell short of expectations and drove the post-earnings dip, with the cardiovascular unit hurt by safety and efficacy concerns about the Impella heart pumps. The article points to new drugs such as ICOTYDE and Imaavy as medium-term growth drivers and says the Ottava robotic surgery device could help medtech recover. The author argues investors should hold the stock for the long term, citing JNJ's 64 consecutive years of dividend increases.

Johnson & Johnson's third-quarter revenue rose 6% to $25.9 billion and adjusted EPS of $2.59 fell 7.5% year over year, both topping most analyst estimates, and the company raised its full-year 2026 operational sales growth guidance to 6.4% to 6.8%. However, MedTech revenue rose only 2.5% to $8.6 billion, short of the consensus of just over $8.7 billion, and the stock fell nearly 6% after the release; CFO Joe Wolk called the division's results 'disappointing,' and the company floated a spinoff of its DePuy Synthes orthopedics business sometime in 2027. The article notes MedTech accounts for about one-third of sales and under 20% of adjusted net income, while oncology grew more than 16% to $7.6 billion in the quarter, with J&J targeting at least $50 billion in oncology sales by 2030. It also highlights a forward dividend yield of about 2% backed by a 64-year dividend growth streak as a reason the stock may be easier to hold through volatility.