JNJ vs XOM: Which Is the Better Buy?
Side-by-side comparison of Johnson & Johnson and Exxon Mobil Corporation — 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
Exxon Mobil Corporation · Energy
$137.81
-45.0% upside to fair value
Grade C
QuantHub Verdict
JNJ has more upside to fair value
(-21.7%).
XOM trades at a lower forward P/E
(22.8x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
JNJ |
XOM |
| Current Price |
$253.85 |
$137.81 |
| Fair Value Estimate |
$198.76 |
$75.80 |
| Upside to Fair Value |
-21.7%
|
-45.0%
|
| Market Cap |
$611.1B |
$571.2B |
| Forward P/E |
29.3x
|
22.8x
|
| EV / EBITDA |
19.2x
|
10.1x
|
| Price / Sales |
6.3x
|
1.8x
|
| Price / FCF |
34.3x
|
30.4x
|
| Revenue Growth YoY |
+9.9%
|
+2.6%
|
| Gross Margin |
69.1%
|
25.5%
|
| Operating Margin |
26.9%
|
9.0%
|
| Return on Equity |
26.3%
|
9.8%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
2.91%
|
3.29%
|
| 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,…
Exxon Mobil Corporation is a leading integrated oil and gas company with a durable competitive moat based on its scale, integration, advantaged long-life resources, proprietary technology, and irreplaceable infrastructure. The company is led by a long-tenured management team with a strong capital allocation track record focused on dividends and buybacks. Despite these strengths, Exxon is currentl…
Accumulation Zones
| Metric |
JNJ |
XOM |
| Zone Low |
$149.07 |
$56.85 |
| Zone High |
$168.95 |
$64.43 |
| In Buy Zone? |
No
|
No
|