BAC vs JNJ: Which Is the Better Buy?

Side-by-side comparison of Bank of America Corporation and Johnson & Johnson — fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-04-20.
Bank of America Corporation · Financial Services
$53.95
-41.2% upside to fair value
Grade C
VS
Johnson & Johnson · Healthcare
$230.69
+10.8% upside to fair value
Grade C High Quality
QuantHub Verdict
JNJ has more upside to fair value (+10.8%). BAC trades at a lower forward P/E (12.3x). These are model outputs — not personalized investment advice. See all research →
Valuation & Fundamentals
Metric BAC JNJ
Current Price $53.95 $230.69
Fair Value Estimate $31.74 $255.61
Upside to Fair Value -41.2% +10.8%
Market Cap $387.2B $555.9B
Forward P/E 12.3x 26.8x
EV / EBITDA 12.7x 18.5x
Price / Sales 2.2x 5.8x
Price / FCF 30.7x 28.2x
Revenue Growth YoY -35.6% +9.9%
Gross Margin 63.2% 69.1%
Operating Margin 22.9% 26.9%
Return on Equity 10.5% 26.5%
Dividend Yield 0% 0%
FCF Yield 3.26% 3.54%
Analyst Consensus Strong Buy Buy
Investment Thesis
BAC — Bank of America Corporation
Bank of America Corporation is a leading diversified bank with $3.41 trillion in assets and a broad footprint across consumer banking, global markets, wealth management, and corporate banking. The company benefits from a strong market position and experienced leadership under CEO Brian T. Moynihan. However, the stock is currently overvalued, trading approximately 36% above its fair value estimate…
JNJ — Johnson & Johnson
Johnson & Johnson is a leading healthcare company focused on pharmaceuticals and medical devices following its consumer health spin-off. The business quality is high due to its durable competitive moat, diversified portfolio, and strong management with deep institutional knowledge. Despite a 52.4% decline in earnings in the most recent quarter, revenue grew 9.9% year-over-year in the same period,…
Accumulation Zones
Metric BAC JNJ
Zone Low $23.80 $191.71
Zone High $26.98 $217.27
In Buy Zone? No No
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