Johnson & Johnson is rated HOLD for the next 6-12 months due to balanced risks. Its drug portfolio growth offsets losses from Stelara, but the MedTech segment remains a weak growth driver. The company's valuation is above historical averages, reflecting expectations of competent execution, with further upside dependent on clear growth acceleration in both Innovative Medicine and MedTech. While free cash flow and profitability are strong, dividends and buybacks have exceeded free cash flow, and recent acquisitions have yet to prove commercial success. Key risks include biosimilar competition, delayed MedTech recovery, uncertain returns from mergers and acquisitions, and ongoing talc litigation that could impact cash flow and credit rating.
Procter & Gamble (P&G) and Johnson & Johnson (J&J) both recently increased their long-standing dividends, but P&G's dividend appears more stable due to no planned corporate changes. J&J is preparing a mid-2027 spinoff of its DePuy Synthes unit, which...
JPMorgan's JEPI ETF has seen its monthly payouts decrease throughout 2026 despite the S&P 500 rallying strongly. JEPI's strategy of selling option premiums on low-volatility stocks limits upside gains, making it underperform in a calm, rising market....
The Health Care Select Sector SPDR Fund (XLV) offers broad healthcare exposure but delivers a low dividend yield around 1.5% due to its cap-weighted structure favoring large, lower-yield stocks like Eli Lilly. Directly owning top XLV holdings AbbVie,...
Despite two major recessions in the past two decades, four healthcare companies—Johnson & Johnson, Abbott Laboratories, Medtronic, and Becton Dickinson—consistently raised their dividends each quarter. Their strong cash flows and inelastic demand for...
Coca-Cola, Johnson & Johnson, and Procter & Gamble have consistently increased their dividends through every U.S. recession since 1970, making them reliable income sources for retirees. These companies boast strong cash flows, solid balance sheets, a...
