JNJ vs TSLA: Which Is the Better Buy?

Side-by-side comparison of Johnson & Johnson and Tesla, Inc. β€” fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-07-15.
Johnson & Johnson Β· Healthcare
$253.85
-21.7% upside to fair value
Grade D High Quality
VS
Tesla, Inc. Β· Consumer Cyclical
$400.49
-1.1% upside to fair value
Grade D
QuantHub Verdict
TSLA has more upside to fair value (-1.1%). JNJ trades at a lower forward P/E (29.3x). These are model outputs β€” not personalized investment advice. See all research β†’
Valuation & Fundamentals
Metric JNJ TSLA
Current Price $253.85 $400.49
Fair Value Estimate $198.76 $396.15
Upside to Fair Value -21.7% -1.1%
Market Cap $611.1B $1,504.1B
Forward P/E 29.3x 334.1x
EV / EBITDA 19.2x 124.0x
Price / Sales 6.3x 15.4x
Price / FCF 34.3x 214.9x
Revenue Growth YoY +9.9% +15.8%
Gross Margin 69.1% 19.1%
Operating Margin 26.9% 5.0%
Return on Equity 26.3% 4.8%
Dividend Yield 0% 0%
FCF Yield 2.91% 0.47%
Analyst Consensus Buy Buy
Investment Thesis
JNJ β€” 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,…
TSLA β€” Tesla, Inc.
Tesla, Inc. is a leading global electric vehicle manufacturer and energy solutions provider, led by CEO Elon Musk since 2008. The company maintains a strong position in the EV market with a unique fast-charging and software ecosystem, although its EV market share is declining amid intensifying competition. Tesla's business quality is medium due to its narrowing moat and modest profitability, with…
Accumulation Zones
Metric JNJ TSLA
Zone Low $149.07 $297.11
Zone High $168.95 $336.73
In Buy Zone? No No
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