JNJ vs PFE: Which Is the Better Buy?
Side-by-side comparison of Johnson & Johnson and Pfizer Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-04-11.
Johnson & Johnson · Healthcare
$238.46
-11.8% upside to fair value
Med Conviction
Grade C+
VS
Pfizer Inc. · Healthcare
$26.91
+30.1% upside to fair value
Med Conviction
Grade B+
QuantHub Verdict
PFE has more upside to fair value
(+30.1%).
PFE trades at a lower forward P/E
(9.5x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
JNJ |
PFE |
| Current Price |
$238.46 |
$26.91 |
| Fair Value Estimate |
$210.28 |
$35.00 |
| Upside to Fair Value |
-11.8%
|
+30.1%
|
| Market Cap |
$574.7B |
$153.0B |
| Forward P/E |
20.2x
|
9.5x
|
| EV / EBITDA |
13.3x
|
13.8x
|
| Price / Sales |
6.2x
|
2.4x
|
| Price / FCF |
29.4x
|
16.8x
|
| Revenue Growth YoY |
+6.1%
|
-1.6%
|
| Gross Margin |
72.8%
|
70.3%
|
| Operating Margin |
27.2%
|
24.7%
|
| Return on Equity |
32.87%
|
9.0%
|
| Dividend Yield |
2.18% |
6.4% |
| FCF Yield |
3.4%
|
5.9%
|
| Analyst Consensus |
Moderate Buy
|
Hold
|
Investment Thesis
Johnson & Johnson is a high-quality healthcare conglomerate focused exclusively on Innovative Medicine and MedTech following the Kenvue spin-off. The company delivered $94.2B in FY2025 revenue with 6% operational growth, generated $19.7B in free cash flow, and guided for $99.5-100.5B in 2026 operational sales (above consensus). However, at $238 the stock trades at a P/S of 6.15x, well above the 5…
Pfizer remains the world's largest traditional pharmaceutical company by non-COVID revenue, generating $62.6B in 2025 sales across oncology, cardiovascular, immunology, and vaccines. The stock trades at a P/S of 2.44x, still well below the 5-year median of 3.10x, driven by post-COVID revenue normalization, a $17-18B patent cliff spanning 2026-2028, and $61.6B in acquisition-related debt from Seag…
Accumulation Zones
| Metric |
JNJ |
PFE |
| Zone Low |
$157.71 |
$25.00 |
| Zone High |
$178.74 |
$29.00 |
| In Buy Zone? |
No
|
Yes
|