JNJ vs NOW: Which Is the Better Buy?
Side-by-side comparison of Johnson & Johnson and ServiceNow, Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-07-18.
Johnson & Johnson · Healthcare
$253.85
-21.7% upside to fair value
Grade D
High Quality
VS
ServiceNow, Inc. · Technology
$103.24
+45.0% upside to fair value
Grade B
High Quality
QuantHub Verdict
NOW has more upside to fair value
(+45.0%).
JNJ trades at a lower forward P/E
(29.3x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
JNJ |
NOW |
| Current Price |
$253.85 |
$103.24 |
| Fair Value Estimate |
$198.76 |
$149.70 |
| Upside to Fair Value |
-21.7%
|
+45.0%
|
| Market Cap |
$611.1B |
$106.5B |
| Forward P/E |
29.3x
|
61.1x
|
| EV / EBITDA |
19.2x
|
32.9x
|
| Price / Sales |
6.3x
|
7.6x
|
| Price / FCF |
34.3x
|
23.0x
|
| Revenue Growth YoY |
+9.9%
|
+22.1%
|
| Gross Margin |
69.1%
|
76.6%
|
| Operating Margin |
26.9%
|
13.4%
|
| Return on Equity |
26.3%
|
15.0%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
2.91%
|
4.35%
|
| 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,…
ServiceNow, Inc. operates in the technology sector specializing in software applications, delivering high-quality enterprise cloud solutions with a durable competitive moat evidenced by a 15% return on equity and strong gross margins of 76.6%. The company is currently in an investing growth phase with 22.1% revenue growth in the most recent quarter, although earnings growth is modest at 2.0%. Des…
Accumulation Zones
| Metric |
JNJ |
NOW |
| Zone Low |
$149.07 |
$112.27 |
| Zone High |
$168.95 |
$127.24 |
| In Buy Zone? |
No
|
Yes
|