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JNJ vs. LLY: A Head-to-Head Stock Comparison

Here’s a clear look at JNJ and LLY, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolJNJLLY
Company NameJohnson & JohnsonEli Lilly and Company
CountryUnited StatesUnited States
GICS SectorHealth CareHealth Care
GICS Industry GroupPharmaceuticals, Biotechnology & Life SciencesPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryPharmaceuticalsPharmaceuticals
GICS Sub-IndustryPharmaceuticalsPharmaceuticals
Market Capitalization535.63 billion USD869.41 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateJanuary 2, 1962June 1, 1972
Security TypeCommon StockCommon Stock

LLY’s market capitalization (869.41 billion USD) is significantly greater than JNJ’s (535.63 billion USD), highlighting its more substantial market valuation.

Historical Performance

This chart compares the performance of JNJ and LLY by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

JNJ
LLY
Loading price history…
JNJ vs. LLY: Growth of a $10,000 investment over the past five years.

Historical Performance at a Glance

SymbolJNJLLY
5-Day Price Return-2.06%1.21%
13-Week Price Return-5.10%-11.94%
26-Week Price Return17.70%15.45%
52-Week Price Return41.46%25.52%
Month-to-Date Return-3.19%4.32%
Year-to-Date Return7.52%-9.28%
10-Day Avg. Volume7.23M4.03M
3-Month Avg. Volume8.35M3.15M
3-Month Volatility16.13%44.71%
Beta0.270.48

LLY carries a higher beta at 0.48, indicating it’s more sensitive to market moves, while JNJ (beta: 0.27) exhibits greater stability.

Profitability

Return on Equity (TTM)

JNJ

33.78%

Pharmaceuticals Industry
Max
41.64%
Q3
22.23%
Median
12.66%
Q1
5.01%
Min
-20.02%

In the upper quartile for the Pharmaceuticals industry, JNJ’s Return on Equity of 33.78% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

LLY

101.31%

Pharmaceuticals Industry
Max
41.64%
Q3
22.23%
Median
12.66%
Q1
5.01%
Min
-20.02%

LLY’s Return on Equity of 101.31% is exceptionally high, placing it well beyond the typical range for the Pharmaceuticals industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

JNJ vs. LLY: A comparison of their Return on Equity (TTM) against the Pharmaceuticals industry benchmark.

Net Profit Margin (TTM)

JNJ

21.83%

Pharmaceuticals Industry
Max
35.02%
Q3
18.94%
Median
13.68%
Q1
7.41%
Min
-8.35%

A Net Profit Margin of 21.83% places JNJ in the upper quartile for the Pharmaceuticals industry, signifying strong profitability and more effective cost management than most of its peers.

LLY

34.99%

Pharmaceuticals Industry
Max
35.02%
Q3
18.94%
Median
13.68%
Q1
7.41%
Min
-8.35%

A Net Profit Margin of 34.99% places LLY in the upper quartile for the Pharmaceuticals industry, signifying strong profitability and more effective cost management than most of its peers.

JNJ vs. LLY: A comparison of their Net Profit Margin (TTM) against the Pharmaceuticals industry benchmark.

Operating Profit Margin (TTM)

JNJ

25.88%

Pharmaceuticals Industry
Max
43.63%
Q3
25.16%
Median
18.44%
Q1
10.95%
Min
-10.08%

An Operating Profit Margin of 25.88% places JNJ in the upper quartile for the Pharmaceuticals industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

LLY

43.63%

Pharmaceuticals Industry
Max
43.63%
Q3
25.16%
Median
18.44%
Q1
10.95%
Min
-10.08%

An Operating Profit Margin of 43.63% places LLY in the upper quartile for the Pharmaceuticals industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

JNJ vs. LLY: A comparison of their Operating Profit Margin (TTM) against the Pharmaceuticals industry benchmark.

Profitability at a Glance

SymbolJNJLLY
Return on Equity (TTM)33.78%101.31%
Return on Assets (TTM)13.76%22.73%
Net Profit Margin (TTM)21.83%34.99%
Operating Profit Margin (TTM)25.88%43.63%
Gross Profit Margin (TTM)67.95%82.83%

Financial Strength

Current Ratio (MRQ)

JNJ

1.03

Pharmaceuticals Industry
Max
6.79
Q3
3.56
Median
2.01
Q1
1.38
Min
0.71

JNJ’s Current Ratio of 1.03 falls into the lower quartile for the Pharmaceuticals industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

LLY

1.50

Pharmaceuticals Industry
Max
6.79
Q3
3.56
Median
2.01
Q1
1.38
Min
0.71

LLY’s Current Ratio of 1.50 aligns with the median group of the Pharmaceuticals industry, indicating that its short-term liquidity is in line with its sector peers.

JNJ vs. LLY: A comparison of their Current Ratio (MRQ) against the Pharmaceuticals industry benchmark.

Debt-to-Equity Ratio (MRQ)

JNJ

0.59

Pharmaceuticals Industry
Max
2.22
Q3
0.94
Median
0.29
Q1
0.06
Min
0.00

JNJ’s Debt-to-Equity Ratio of 0.59 is typical for the Pharmaceuticals industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

LLY

1.39

Pharmaceuticals Industry
Max
2.22
Q3
0.94
Median
0.29
Q1
0.06
Min
0.00

LLY’s leverage is in the upper quartile of the Pharmaceuticals industry, with a Debt-to-Equity Ratio of 1.39. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

JNJ vs. LLY: A comparison of their Debt-to-Equity Ratio (MRQ) against the Pharmaceuticals industry benchmark.

Interest Coverage Ratio (TTM)

JNJ

34.01

Pharmaceuticals Industry
Max
149.64
Q3
63.15
Median
13.00
Q1
2.46
Min
-27.02

JNJ’s Interest Coverage Ratio of 34.01 is positioned comfortably within the norm for the Pharmaceuticals industry, indicating a standard and healthy capacity to cover its interest payments.

LLY

20.36

Pharmaceuticals Industry
Max
149.64
Q3
63.15
Median
13.00
Q1
2.46
Min
-27.02

LLY’s Interest Coverage Ratio of 20.36 is positioned comfortably within the norm for the Pharmaceuticals industry, indicating a standard and healthy capacity to cover its interest payments.

JNJ vs. LLY: A comparison of their Interest Coverage Ratio (TTM) against the Pharmaceuticals industry benchmark.

Financial Strength at a Glance

SymbolJNJLLY
Current Ratio (MRQ)1.031.50
Quick Ratio (MRQ)0.690.73
Debt-to-Equity Ratio (MRQ)0.591.39
Interest Coverage Ratio (TTM)34.0120.36

Growth

Revenue Growth

JNJ vs. LLY: A comparison of their Revenue Growth across different time periods.

Revenue Growth at a Glance

SymbolJNJLLY
Revenue Growth (MRQ vs Prior YoY)9.91%55.55%
Revenue Growth (TTM vs Prior YoY)7.87%47.44%
3-Year Revenue CAGR5.60%31.69%
5-Year Revenue CAGR2.67%21.58%

EPS Growth

JNJ vs. LLY: A comparison of their EPS Growth across different time periods.

EPS Growth at a Glance

SymbolJNJLLY
EPS Growth (MRQ vs Prior YoY)-52.82%169.45%
EPS Growth (TTM vs Prior YoY)-3.89%128.83%
3-Year EPS CAGR17.88%49.25%
5-Year EPS CAGR14.90%27.59%

Dividend

Dividend Yield (TTM)

JNJ

2.32%

Pharmaceuticals Industry
Max
6.57%
Q3
3.20%
Median
2.07%
Q1
0.00%
Min
0.00%

JNJ’s Dividend Yield of 2.32% is consistent with its peers in the Pharmaceuticals industry, providing a dividend return that is standard for its sector.

LLY

0.61%

Pharmaceuticals Industry
Max
6.57%
Q3
3.20%
Median
2.07%
Q1
0.00%
Min
0.00%

LLY’s Dividend Yield of 0.61% is consistent with its peers in the Pharmaceuticals industry, providing a dividend return that is standard for its sector.

JNJ vs. LLY: A comparison of their Dividend Yield (TTM) against the Pharmaceuticals industry benchmark.

Dividend Payout Ratio (TTM)

JNJ

46.19%

Pharmaceuticals Industry
Max
165.20%
Q3
80.25%
Median
44.79%
Q1
0.00%
Min
0.00%

JNJ’s Dividend Payout Ratio of 46.19% is within the typical range for the Pharmaceuticals industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

LLY

22.10%

Pharmaceuticals Industry
Max
165.20%
Q3
80.25%
Median
44.79%
Q1
0.00%
Min
0.00%

LLY’s Dividend Payout Ratio of 22.10% is within the typical range for the Pharmaceuticals industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

JNJ vs. LLY: A comparison of their Dividend Payout Ratio (TTM) against the Pharmaceuticals industry benchmark.

Dividend at a Glance

SymbolJNJLLY
Dividend Yield (TTM)2.32%0.61%
Dividend Payout Ratio (TTM)46.19%22.10%

Valuation

Price-to-Earnings Ratio (TTM)

JNJ

25.42

Pharmaceuticals Industry
Max
47.94
Q3
27.38
Median
18.84
Q1
13.54
Min
3.85

JNJ’s P/E Ratio of 25.42 is within the middle range for the Pharmaceuticals industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

LLY

36.18

Pharmaceuticals Industry
Max
47.94
Q3
27.38
Median
18.84
Q1
13.54
Min
3.85

A P/E Ratio of 36.18 places LLY in the upper quartile for the Pharmaceuticals industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

JNJ vs. LLY: A comparison of their Price-to-Earnings Ratio (TTM) against the Pharmaceuticals industry benchmark.

Price-to-Sales Ratio (TTM)

JNJ

5.55

Pharmaceuticals Industry
Max
9.09
Q3
4.81
Median
2.43
Q1
1.84
Min
0.20

JNJ’s P/S Ratio of 5.55 is in the upper echelon for the Pharmaceuticals industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

LLY

12.66

Pharmaceuticals Industry
Max
9.09
Q3
4.81
Median
2.43
Q1
1.84
Min
0.20

With a P/S Ratio of 12.66, LLY trades at a valuation that eclipses even the highest in the Pharmaceuticals industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

JNJ vs. LLY: A comparison of their Price-to-Sales Ratio (TTM) against the Pharmaceuticals industry benchmark.

Price-to-Book Ratio (MRQ)

JNJ

6.13

Pharmaceuticals Industry
Max
10.12
Q3
5.17
Median
2.63
Q1
1.56
Min
0.63

JNJ’s P/B Ratio of 6.13 is in the upper tier for the Pharmaceuticals industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

LLY

27.85

Pharmaceuticals Industry
Max
10.12
Q3
5.17
Median
2.63
Q1
1.56
Min
0.63

At 27.85, LLY’s P/B Ratio is at an extreme premium to the Pharmaceuticals industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

JNJ vs. LLY: A comparison of their Price-to-Book Ratio (MRQ) against the Pharmaceuticals industry benchmark.

Valuation at a Glance

SymbolJNJLLY
Price-to-Earnings Ratio (TTM)25.4236.18
Price-to-Sales Ratio (TTM)5.5512.66
Price-to-Book Ratio (MRQ)6.1327.85
Price-to-Free Cash Flow Ratio (TTM)27.1588.20