JNJ vs TMO: Which Is the Better Buy?
Side-by-side comparison of Johnson & Johnson and Thermo Fisher Scientific Inc. — 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
Thermo Fisher Scientific Inc. · Healthcare
$462.60
+10.1% upside to fair value
Grade B
QuantHub Verdict
JNJ has more upside to fair value
(+14.0%).
TMO trades at a lower forward P/E
(25.1x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
JNJ |
TMO |
| Current Price |
$230.69 |
$462.60 |
| Fair Value Estimate |
$263.05 |
$509.20 |
| Upside to Fair Value |
+14.0%
|
+10.1%
|
| Market Cap |
$555.9B |
$171.9B |
| Forward P/E |
26.8x
|
25.1x
|
| EV / EBITDA |
18.5x
|
19.0x
|
| Price / Sales |
5.8x
|
3.8x
|
| Price / FCF |
28.2x
|
25.5x
|
| Revenue Growth YoY |
+9.9%
|
+6.2%
|
| Gross Margin |
69.1%
|
39.4%
|
| Operating Margin |
26.9%
|
17.8%
|
| Return on Equity |
26.5%
|
13.3%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
3.54%
|
3.92%
|
| Analyst Consensus |
Buy
|
Strong 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,…
Thermo Fisher Scientific Inc. operates in the healthcare sector, specializing in medical diagnostics and research tools across four main segments: Laboratory Products and Biopharma Services, Life Sciences Solutions, Analytical Instruments, and Specialty Diagnostics. The company demonstrates medium business quality with steady revenue growth of 6.2% and earnings growth of 9.6% in the most recent q…
Accumulation Zones
| Metric |
JNJ |
TMO |
| Zone Low |
$197.29 |
$381.90 |
| Zone High |
$223.59 |
$432.82 |
| In Buy Zone? |
No
|
No
|