JNJ vs UPS: Which Is the Better Buy?
Side-by-side comparison of Johnson & Johnson and United Parcel Service, Inc. — 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
United Parcel Service, Inc. · Industrials
$105.00
+12.9% upside to fair value
Grade B
QuantHub Verdict
UPS has more upside to fair value
(+12.9%).
UPS trades at a lower forward P/E
(17.0x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
JNJ |
UPS |
| Current Price |
$253.85 |
$105.00 |
| Fair Value Estimate |
$198.76 |
$118.53 |
| Upside to Fair Value |
-21.7%
|
+12.9%
|
| Market Cap |
$611.1B |
$89.2B |
| Forward P/E |
29.3x
|
17.0x
|
| EV / EBITDA |
19.2x
|
9.6x
|
| Price / Sales |
6.3x
|
1.0x
|
| Price / FCF |
34.3x
|
19.8x
|
| Revenue Growth YoY |
+9.9%
|
-1.6%
|
| Gross Margin |
69.1%
|
17.8%
|
| Operating Margin |
26.9%
|
8.5%
|
| Return on Equity |
26.3%
|
33.0%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
2.91%
|
5.06%
|
| 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,…
United Parcel Service, Inc. operates as a global integrated freight and logistics company with a strong presence in U.S. domestic package delivery, international package services, and supply chain solutions. The company benefits from a durable competitive moat supported by its extensive network capabilities, premium service positioning, and strategic focus on higher-margin segments such as health…
Accumulation Zones
| Metric |
JNJ |
UPS |
| Zone Low |
$149.07 |
$88.90 |
| Zone High |
$168.95 |
$100.75 |
| In Buy Zone? |
No
|
No
|