DHR vs JNJ: Which Is the Better Buy?
Side-by-side comparison of Danaher Corporation and Johnson & Johnson — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-05-04.
Danaher Corporation · Healthcare
$174.04
+13.2% upside to fair value
Grade B
VS
Johnson & Johnson · Healthcare
$230.69
+14.0% upside to fair value
Grade C
High Quality
QuantHub Verdict
JNJ has more upside to fair value
(+14.0%).
JNJ trades at a lower forward P/E
(26.8x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
DHR |
JNJ |
| Current Price |
$174.04 |
$230.69 |
| Fair Value Estimate |
$197.01 |
$263.05 |
| Upside to Fair Value |
+13.2%
|
+14.0%
|
| Market Cap |
$123.2B |
$555.9B |
| Forward P/E |
33.4x
|
26.8x
|
| EV / EBITDA |
20.3x
|
18.5x
|
| Price / Sales |
5.0x
|
5.8x
|
| Price / FCF |
23.3x
|
28.2x
|
| Revenue Growth YoY |
+3.7%
|
+9.9%
|
| Gross Margin |
60.7%
|
69.1%
|
| Operating Margin |
21.0%
|
26.9%
|
| Return on Equity |
7.1%
|
26.5%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
4.3%
|
3.54%
|
| Analyst Consensus |
Strong Buy
|
Buy
|
Investment Thesis
Danaher Corporation is a diversified healthcare company focused on medical diagnostics, life sciences, and biotechnology, generating approximately $24 billion in revenue with a strong recurring revenue base of over 81%. The company benefits from a high gross margin of 60.7% and solid operating margin of 21%, supported by a seasoned management team with a proven capital allocation track record inc…
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 |
DHR |
JNJ |
| Zone Low |
$147.76 |
$197.29 |
| Zone High |
$167.46 |
$223.59 |
| In Buy Zone? |
No
|
No
|