JNJ vs PG: Which Is the Better Buy?
Side-by-side comparison of Johnson & Johnson and The Procter & Gamble Company — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-07-15.
Johnson & Johnson · Healthcare
$253.85
-21.7% upside to fair value
Grade D
High Quality
VS
The Procter & Gamble Company · Consumer Defensive
$150.38
+10.0% upside to fair value
Grade B
High Quality
QuantHub Verdict
PG has more upside to fair value
(+10.0%).
PG trades at a lower forward P/E
(21.5x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
JNJ |
PG |
| Current Price |
$253.85 |
$150.38 |
| Fair Value Estimate |
$198.76 |
$165.39 |
| Upside to Fair Value |
-21.7%
|
+10.0%
|
| Market Cap |
$611.1B |
$350.2B |
| Forward P/E |
29.3x
|
21.5x
|
| EV / EBITDA |
19.2x
|
15.1x
|
| Price / Sales |
6.3x
|
4.0x
|
| Price / FCF |
34.3x
|
23.3x
|
| Revenue Growth YoY |
+9.9%
|
+7.4%
|
| Gross Margin |
69.1%
|
50.3%
|
| Operating Margin |
26.9%
|
23.2%
|
| Return on Equity |
26.3%
|
31.3%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
2.91%
|
4.29%
|
| Analyst Consensus |
Buy
|
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,…
The Procter & Gamble Company is a leading global consumer defensive company specializing in household and personal products with a strong portfolio across fabric care, baby and family care, beauty, health care, and grooming. The business quality is high, supported by a durable competitive moat from strong brands, consistent earnings growth, and prudent capital allocation emphasizing dividends and…
Accumulation Zones
| Metric |
JNJ |
PG |
| Zone Low |
$149.07 |
$124.04 |
| Zone High |
$168.95 |
$140.58 |
| In Buy Zone? |
No
|
No
|