JNJ vs NFLX: Which Is the Better Buy?
Side-by-side comparison of Johnson & Johnson and Netflix, Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-07-16.
Johnson & Johnson · Healthcare
$253.85
-21.7% upside to fair value
Grade D
High Quality
VS
Netflix, Inc. · Communication Services
$73.68
+45.0% upside to fair value
Grade B
High Quality
QuantHub Verdict
NFLX has more upside to fair value
(+45.0%).
NFLX trades at a lower forward P/E
(23.3x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
JNJ |
NFLX |
| Current Price |
$253.85 |
$73.68 |
| Fair Value Estimate |
$198.76 |
$106.84 |
| Upside to Fair Value |
-21.7%
|
+45.0%
|
| Market Cap |
$611.1B |
$310.2B |
| Forward P/E |
29.3x
|
23.3x
|
| EV / EBITDA |
19.2x
|
9.2x
|
| Price / Sales |
6.3x
|
6.6x
|
| Price / FCF |
34.3x
|
26.1x
|
| Revenue Growth YoY |
+9.9%
|
+16.2%
|
| Gross Margin |
69.1%
|
49.0%
|
| Operating Margin |
26.9%
|
29.7%
|
| Return on Equity |
26.3%
|
49.2%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
2.91%
|
3.83%
|
| Analyst Consensus |
Buy
|
Strong Buy
|
Investment Thesis
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,…
Netflix, Inc. operates as a leading global streaming entertainment service, delivering a wide variety of TV series, documentaries, and feature films across multiple genres and languages. The company exhibits high business quality with a durable competitive moat supported by strong brand recognition, intangible assets, and network effects. Its recent financial performance shows robust earnings gro…
Accumulation Zones
| Metric |
JNJ |
NFLX |
| Zone Low |
$149.07 |
$80.13 |
| Zone High |
$168.95 |
$90.81 |
| In Buy Zone? |
No
|
Yes
|