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 2026-07-15.

JNJ

Johnson & Johnson · Healthcare

$253.85

-21.7% upside to fair value

Grade D High Quality

PFE

Pfizer Inc. · Healthcare

$25.22

+2.8% upside to fair value

Grade B

QuantHub Verdict

PFE has more upside to fair value (+2.8%). PFE trades at a lower forward P/E (19.2x). These are model outputs — not personalized investment advice. See all research →

Valuation & Fundamentals

Metric	JNJ	PFE
Current Price	$253.85	$25.22
Fair Value Estimate	$198.76	$25.92
Upside to Fair Value	-21.7%	+2.8%
Market Cap	$611.1B	$143.7B
Forward P/E	29.3x	19.2x
EV / EBITDA	19.2x	12.3x
Price / Sales	6.3x	2.3x
Price / FCF	34.3x	15.2x
Revenue Growth YoY	+9.9%	+5.4%
Gross Margin	69.1%	69.3%
Operating Margin	26.9%	23.4%
Return on Equity	26.3%	8.4%
Dividend Yield	0%	0%
FCF Yield	2.91%	6.6%
Analyst Consensus	Buy	Hold

Investment Thesis

JNJ — Johnson & Johnson

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,…

PFE — Pfizer Inc.

Pfizer Inc. is a leading global biopharmaceutical company with a diversified portfolio dominated by its Biopharma prescription segment, which accounts for over 90% of revenue. The company benefits from a substantial scale, a broad product portfolio including top-selling drugs like Eliquis, Prevnar, and Paxlovid, and a strong manufacturing footprint. However, Pfizer faces challenges from declining…

Accumulation Zones

Metric	JNJ	PFE
Zone Low	$149.07	$19.44
Zone High	$168.95	$22.03
In Buy Zone?	No	No

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