ABBV vs JNJ: Which Is the Better Buy?

Side-by-side comparison of AbbVie Inc. and Johnson & Johnson β€” fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-07-15.
AbbVie Inc. Β· Healthcare
$261.07
+1.2% upside to fair value
Grade C High Quality
VS
Johnson & Johnson Β· Healthcare
$253.85
-21.7% upside to fair value
Grade D High Quality
QuantHub Verdict
ABBV has more upside to fair value (+1.2%). JNJ trades at a lower forward P/E (29.3x). These are model outputs β€” not personalized investment advice. See all research β†’
Valuation & Fundamentals
Metric ABBV JNJ
Current Price $261.07 $253.85
Fair Value Estimate $264.30 $198.76
Upside to Fair Value +1.2% -21.7%
Market Cap $461.3B $611.1B
Forward P/E 128.0x 29.3x
EV / EBITDA 31.0x 19.2x
Price / Sales 7.3x 6.3x
Price / FCF 22.1x 34.3x
Revenue Growth YoY +12.4% +9.9%
Gross Margin 70.7% 69.1%
Operating Margin 27.6% 26.9%
Return on Equity 68.0% 26.3%
Dividend Yield 0% 0%
FCF Yield 4.52% 2.91%
Analyst Consensus Strong Buy Buy
Investment Thesis
ABBV β€” AbbVie Inc.
AbbVie Inc. is a leading healthcare company specializing in drug manufacturing with a strong focus on immunology and aesthetics. The company is transitioning from its historical Humira dominance, which has faced loss of exclusivity, toward high-growth assets like Skyrizi and Rinvoq that are driving robust revenue growth of 12.4% in the most recent quarter. Despite strong revenue growth and a dura…
JNJ β€” Johnson & Johnson
Johnson & Johnson is a leading healthcare conglomerate operating primarily in the drug manufacturing sector, known for its durable competitive moat supported by strong brand recognition and intangible assets. The company exhibits high business quality with a 26.3% return on equity and robust gross and net margins of 69.1% and 21.8%, respectively. However, earnings have faced significant pressure,…
Accumulation Zones
Metric ABBV JNJ
Zone Low $198.23 $149.07
Zone High $224.66 $168.95
In Buy Zone? No No
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