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 2026-04-11.
Johnson & Johnson · Healthcare
$238.46
-11.8% upside to fair value
Med Conviction
Grade C+
VS
Exxon Mobil Corporation · Energy
$152.30
-33.0% upside to fair value
Med Conviction
Grade C+
QuantHub Verdict
JNJ has more upside to fair value
(-11.8%).
XOM trades at a lower forward P/E
(17.5x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
JNJ |
XOM |
| Current Price |
$238.46 |
$152.30 |
| Fair Value Estimate |
$210.28 |
$102.00 |
| Upside to Fair Value |
-11.8%
|
-33.0%
|
| Market Cap |
$574.7B |
$634.6B |
| Forward P/E |
20.2x
|
17.5x
|
| EV / EBITDA |
13.3x
|
9.8x
|
| Price / Sales |
6.2x
|
2.0x
|
| Price / FCF |
29.4x
|
26.9x
|
| Revenue Growth YoY |
+6.1%
|
-4.5%
|
| Gross Margin |
72.8%
|
21.7%
|
| Operating Margin |
27.2%
|
10.5%
|
| Return on Equity |
32.87%
|
11.1%
|
| Dividend Yield |
2.18% |
2.65% |
| FCF Yield |
3.4%
|
3.72%
|
| Analyst Consensus |
Moderate Buy
|
Buy
|
Investment Thesis
Johnson & Johnson is a high-quality healthcare conglomerate focused exclusively on Innovative Medicine and MedTech following the Kenvue spin-off. The company delivered $94.2B in FY2025 revenue with 6% operational growth, generated $19.7B in free cash flow, and guided for $99.5-100.5B in 2026 operational sales (above consensus). However, at $238 the stock trades at a P/S of 6.15x, well above the 5…
Exxon Mobil is a world-class integrated energy supermajor with unmatched Permian Basin scale following the Pioneer Natural Resources acquisition, a high-margin Guyana growth engine, and disciplined capital allocation. However, the stock remains significantly overvalued relative to its own 5-year history on every key metric. At $152, XOM trades at roughly 22x trailing earnings, 1.96x sales, and 27…
Accumulation Zones
| Metric |
JNJ |
XOM |
| Zone Low |
$157.71 |
$77.00 |
| Zone High |
$178.74 |
$92.00 |
| In Buy Zone? |
No
|
No
|