DE vs JNJ: Which Is the Better Buy?
Side-by-side comparison of Deere & Company and Johnson & Johnson — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-07-15.
Deere & Company · Industrials
$596.74
-29.8% upside to fair value
Grade C
High Quality
VS
Johnson & Johnson · Healthcare
$253.85
-21.7% upside to fair value
Grade D
High Quality
QuantHub Verdict
JNJ has more upside to fair value
(-21.7%).
JNJ trades at a lower forward P/E
(29.3x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
DE |
JNJ |
| Current Price |
$596.74 |
$253.85 |
| Fair Value Estimate |
$418.72 |
$198.76 |
| Upside to Fair Value |
-29.8%
|
-21.7%
|
| Market Cap |
$161.1B |
$611.1B |
| Forward P/E |
33.7x
|
29.3x
|
| EV / EBITDA |
19.0x
|
19.2x
|
| Price / Sales |
3.4x
|
6.3x
|
| Price / FCF |
42.8x
|
34.3x
|
| Revenue Growth YoY |
+6.7%
|
+9.9%
|
| Gross Margin |
35.4%
|
69.1%
|
| Operating Margin |
18.4%
|
26.9%
|
| Return on Equity |
18.3%
|
26.3%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
2.34%
|
2.91%
|
| Analyst Consensus |
Hold
|
Buy
|
Investment Thesis
Deere & Company operates in the agricultural machinery sector, providing durable equipment critical to farming and construction industries. The business quality is high, supported by a strong 18.3% return on equity and solid gross and operating margins of 35.4% and 18.4%, respectively. However, the stock is currently overvalued, trading approximately 30% above its fair value estimate of $418.72, …
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 |
DE |
JNJ |
| Zone Low |
$314.04 |
$149.07 |
| Zone High |
$355.91 |
$168.95 |
| In Buy Zone? |
No
|
No
|