Johnson & Johnson (JNJ) vs. Novartis (NVS)
This page compares Johnson & Johnson (JNJ) with Novartis (NVS) using performance and risk, profitability, financial strength, growth, dividends, and valuation metrics.
Company Profile
Johnson & Johnson (JNJ) and Novartis (NVS) are both classified in the Pharmaceuticals sub-industry within the broader Pharmaceuticals industry, placing them in the closest GICS peer bucket.
Johnson & Johnson (JNJ) trades as a standard ordinary-equity line, while Novartis (NVS) is an ADR tied to a foreign-share or depositary-receipt structure — compare with FX exposure, program fees, and dividend-withholding-tax differences in mind.
| Symbol | JNJ | NVS |
|---|---|---|
| Name | Johnson & Johnson | Novartis AG Sponsored ADR |
| Country/Region | United States | Switzerland |
| GICS Sector | Health Care | Health Care |
| GICS Industry Group | Pharmaceuticals, Biotechnology & Life Sciences | Pharmaceuticals, Biotechnology & Life Sciences |
| GICS Industry | Pharmaceuticals | Pharmaceuticals |
| GICS Sub-Industry | Pharmaceuticals | Pharmaceuticals |
| Market Capitalization | 570.51 billion USD | 284.53 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | NYSE |
| Listing Date | January 2, 1962 | November 7, 1996 |
| Security Type | Common Stock | ADR |
Valuation
Price-to-Earnings Ratio (TTM)
Both Johnson & Johnson (JNJ) at 27.46 and Novartis (NVS) at 20.97 post Price-to-Earnings Ratio (TTM) near the typical industry midpoint — neither company stands out strongly from peers on trailing earnings multiple.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
27.46
- Max
- 86.12
- Q3
- 44.09
- Median
- 25.14
- Q1
- 14.77
- Min
- 1.59
NVS
Pharmaceuticals, Biotechnology & Life Sciences industry group
20.97
- Max
- 86.12
- Q3
- 44.09
- Median
- 25.14
- Q1
- 14.77
- Min
- 1.59
Price-to-Sales Ratio (TTM)
On Price-to-Sales Ratio (TTM), both Johnson & Johnson (JNJ) at 5.92 and Novartis (NVS) at 5.03 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
5.92
- Max
- 41.86
- Q3
- 22.86
- Median
- 6.80
- Q1
- 3.35
- Min
- 0.01
NVS
Pharmaceuticals, Biotechnology & Life Sciences industry group
5.03
- Max
- 41.86
- Q3
- 22.86
- Median
- 6.80
- Q1
- 3.35
- Min
- 0.01
Price-to-Book Ratio (MRQ)
Both Johnson & Johnson (JNJ) at 7.03 and Novartis (NVS) at 7.39 carry a premium to book value versus peers, sitting in the upper Price-to-Book Ratio (MRQ) quartile of their industries.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
7.03
- Max
- 12.97
- Q3
- 6.18
- Median
- 3.45
- Q1
- 1.62
- Min
- -4.60
NVS
Pharmaceuticals, Biotechnology & Life Sciences industry group
7.39
- Max
- 12.97
- Q3
- 6.18
- Median
- 3.45
- Q1
- 1.62
- Min
- -4.60
Valuation at a Glance
| Symbol | JNJ | NVS |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 27.46 | 20.97 |
| Price-to-Sales Ratio (TTM) | 5.92 | 5.03 |
| Price-to-Book Ratio (MRQ) | 7.03 | 7.39 |
| Free Cash Flow Yield | 2.19% | 4.23% |
Profitability
Return on Equity (TTM)
Both Johnson & Johnson (JNJ) at 26.42% and Novartis (NVS) at 34.93% rank in the top quartile for Return on Equity (TTM) among industry peers, indicating strong returns on shareholders’ equity.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
26.42%
- Max
- 100.65%
- Q3
- 3.39%
- Median
- -31.16%
- Q1
- -61.60%
- Min
- -158.89%
NVS
Pharmaceuticals, Biotechnology & Life Sciences industry group
34.93%
- Max
- 100.65%
- Q3
- 3.39%
- Median
- -31.16%
- Q1
- -61.60%
- Min
- -158.89%
Net Profit Margin (TTM)
Both Johnson & Johnson (JNJ) at 21.83% and Novartis (NVS) at 23.92% keep an unusually large share of revenue as bottom-line profit — each Net Profit Margin (TTM) clears its industry’s benchmark range.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
21.83%
- Max
- 13.81%
- Q3
- 4.07%
- Median
- 0.00%
- Q1
- -3.07%
- Min
- -13.58%
NVS
Pharmaceuticals, Biotechnology & Life Sciences industry group
23.92%
- Max
- 13.81%
- Q3
- 4.07%
- Median
- 0.00%
- Q1
- -3.07%
- Min
- -13.58%
Operating Profit Margin (TTM)
Both Johnson & Johnson (JNJ) at 27.41% and Novartis (NVS) at 30.48% squeeze more operating profit from each sales dollar than most peers, ranking in the top Operating Profit Margin (TTM) quartile of their industries.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
27.41%
- Max
- 100.30%
- Q3
- 4.94%
- Median
- 0.00%
- Q1
- -133.46%
- Min
- -337.81%
NVS
Pharmaceuticals, Biotechnology & Life Sciences industry group
30.48%
- Max
- 100.30%
- Q3
- 4.94%
- Median
- 0.00%
- Q1
- -133.46%
- Min
- -337.81%
Profitability at a Glance
| Symbol | JNJ | NVS |
|---|---|---|
| Return on Equity (TTM) | 26.42% | 34.93% |
| Return on Assets (TTM) | 8.42% | 10.54% |
| Net Profit Margin (TTM) | 21.83% | 23.92% |
| Operating Profit Margin (TTM) | 27.41% | 30.48% |
| Gross Profit Margin (TTM) | 68.04% | 75.55% |
Growth
Revenue Growth
Revenue Growth at a Glance
| Symbol | JNJ | NVS |
|---|---|---|
| 1-Year Revenue Growth | 6.05% | 9.57% |
| 3-Year Revenue CAGR | 5.60% | 9.25% |
EPS Growth
EPS Growth at a Glance
| Symbol | JNJ | NVS |
|---|---|---|
| 1-Year EPS Growth | 90.50% | 21.81% |
| 3-Year EPS CAGR | 17.90% | 31.14% |
Financial Strength
Current Ratio (MRQ)
Both Johnson & Johnson (JNJ) at 1.03 and Novartis (NVS) at 0.85 run Current Ratio (MRQ) in the tighter-liquidity quartile of industry peers, leaving thinner cushions against current liabilities than typical competitors.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
1.03
- Max
- 24.81
- Q3
- 11.75
- Median
- 5.47
- Q1
- 2.69
- Min
- 0.23
NVS
Pharmaceuticals, Biotechnology & Life Sciences industry group
0.85
- Max
- 24.81
- Q3
- 11.75
- Median
- 5.47
- Q1
- 2.69
- Min
- 0.23
Debt-to-Equity Ratio (MRQ)
Johnson & Johnson (JNJ) at 0.68 carries Debt-to-Equity Ratio (MRQ) around its industry mid-range, while Novartis (NVS) at 1.21 sits in the higher-leverage quartile.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
0.68
- Max
- 1.60
- Q3
- 0.69
- Median
- 0.16
- Q1
- 0.02
- Min
- 0.00
NVS
Pharmaceuticals, Biotechnology & Life Sciences industry group
1.21
- Max
- 1.60
- Q3
- 0.69
- Median
- 0.16
- Q1
- 0.02
- Min
- 0.00
Financial Strength at a Glance
| Symbol | JNJ | NVS |
|---|---|---|
| Current Ratio (MRQ) | 1.03 | 0.85 |
| Debt-to-Equity Ratio (MRQ) | 0.68 | 1.21 |
| Net Debt / EBITDA | 0.96 | 1.75 |
Dividends
Dividend Yield (TTM)
Both Johnson & Johnson (JNJ) at 2.26% and Novartis (NVS) at 3.18% report Dividend Yield (TTM) near their industry mid-ranges, so neither company stands out strongly from peers on cash yield relative to share price.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
2.26%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
NVS
Pharmaceuticals, Biotechnology & Life Sciences industry group
3.18%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Both Johnson & Johnson (JNJ) at 60.25% and Novartis (NVS) at 67.91% post Dividend Payout Ratio (TTM) outside their industries’ typical mid-range — either leaning toward more retention or more distribution than the industry median.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
60.25%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
NVS
Pharmaceuticals, Biotechnology & Life Sciences industry group
67.91%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividends at a Glance
| Symbol | JNJ | NVS |
|---|---|---|
| Dividend Yield (TTM) | 2.26% | 3.18% |
| Dividend Payout Ratio (TTM) | 60.25% | 67.91% |
Performance & Risk
Performance & Risk at a Glance
| Symbol | JNJ | NVS |
|---|---|---|
| 1-Year Return | 53.49% | 27.84% |
| 1-Year Volatility | 16.91% | 20.67% |
| Beta | 0.26 | 0.48 |
| 3-Month Avg. Volume | 7.66M | 1.67M |