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 2026-05-04.
Johnson & Johnson · Healthcare
$230.69
+14.0% upside to fair value
Grade C
High Quality
VS
The Procter & Gamble Company · Consumer Defensive
$143.45
+13.8% upside to fair value
Grade B
High Quality
QuantHub Verdict
JNJ has more upside to fair value
(+14.0%).
PG trades at a lower forward P/E
(20.8x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
JNJ |
PG |
| Current Price |
$230.69 |
$143.45 |
| Fair Value Estimate |
$263.05 |
$163.27 |
| Upside to Fair Value |
+14.0%
|
+13.8%
|
| Market Cap |
$555.9B |
$334.0B |
| Forward P/E |
26.8x
|
20.8x
|
| EV / EBITDA |
18.5x
|
15.4x
|
| Price / Sales |
5.8x
|
3.9x
|
| Price / FCF |
28.2x
|
22.2x
|
| Revenue Growth YoY |
+9.9%
|
+7.4%
|
| Gross Margin |
69.1%
|
50.3%
|
| Operating Margin |
26.9%
|
23.2%
|
| Return on Equity |
26.5%
|
31.3%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
3.54%
|
4.5%
|
| Analyst Consensus |
Buy
|
Buy
|
Investment Thesis
Johnson & Johnson is a leading healthcare company focused on pharmaceuticals and medical devices following its consumer health spin-off. The business quality is high due to its durable competitive moat, diversified portfolio, and strong management with deep institutional knowledge. Despite a 52.4% decline in earnings in the most recent quarter, revenue grew 9.9% year-over-year in the same period,…
The Procter & Gamble Company is a leading consumer defensive firm specializing in household and personal products with a diversified portfolio across fabric and home care, baby and family care, beauty, health care, and grooming segments. The business quality is high, supported by durable brands, strong margins with a 50.3% gross margin and 19.2% net margin, and consistent earnings growth evidence…
Accumulation Zones
| Metric |
JNJ |
PG |
| Zone Low |
$197.29 |
$122.45 |
| Zone High |
$223.59 |
$138.78 |
| In Buy Zone? |
No
|
No
|