JNJ vs. RPRX: Johnson & Johnson vs. Royalty Pharma Stock Comparison
How do Johnson & Johnson (JNJ) and Royalty Pharma (RPRX) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.
Company Profile
Johnson & Johnson (JNJ) and Royalty Pharma (RPRX) are both classified in the Pharmaceuticals sub-industry within the broader Pharmaceuticals industry, placing them in the closest GICS peer bucket.
Johnson & Johnson (JNJ) has more than two decades of public-market history since January 2, 1962, whereas Royalty Pharma (RPRX) listed on June 16, 2020 and has a much shorter record to draw on.
| Profile Item | JNJ | RPRX |
|---|---|---|
| Name | Johnson & Johnson | Royalty Pharma plc Class A Ordinary Shares |
| Country/Region | United States | United States |
| 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 | 664.95 billion USD | 38.70 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | Nasdaq |
| Listing Date | January 2, 1962 | June 16, 2020 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | JNJ | RPRX |
|---|---|---|
| Total Return (1Y) | 53.82% | 81.08% |
| Total Return (3Y, Annualized) | 27.51% | 39.21% |
| Total Return (5Y, Annualized) | 14.71% | 14.22% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | JNJ | RPRX |
|---|---|---|
| Volatility (1Y, Annualized) | 21.23% | 22.05% |
| Beta (5Y) | 0.21 | 0.36 |
| Max Drawdown (5Y) | -18.41% | -41.98% |
| Avg. Volume (3M) | 6.93M | 3.10M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | JNJ | RPRX |
|---|---|---|
| Sharpe Ratio (1Y) | 2.33 | 3.48 |
| Sortino Ratio (1Y) | 3.66 | 5.72 |
Profitability
ROE (TTM)
Both Johnson & Johnson (JNJ) at 20.02% and Royalty Pharma (RPRX) at 12.09% sit in the top peer quartile for ROE, suggesting each generates more profit from shareholders’ equity than typical industry peers.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
20.02%
- Max
- 109.18%
- JNJ
- 20.02%
- Q3
- 6.23%
- Median
- -26.66%
- Q1
- -64.05%
- Min
- -167.77%
RPRX
Pharmaceuticals, Biotechnology & Life Sciences industry group
12.09%
- Max
- 109.18%
- RPRX
- 12.09%
- Q3
- 6.23%
- Median
- -26.66%
- Q1
- -64.05%
- Min
- -167.77%
Net Margin (TTM)
Royalty Pharma (RPRX) at 25.70% keeps the most of each sales dollar — above its industry’s net margin range — and Johnson & Johnson (JNJ) at 16.20% also retains a top-quartile share.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
16.20%
- Max
- 18.05%
- JNJ
- 16.20%
- Q3
- 4.78%
- Median
- 0.00%
- Q1
- -4.14%
- Min
- -17.05%
RPRX
Pharmaceuticals, Biotechnology & Life Sciences industry group
25.70%
- RPRX
- 25.70%
- Max
- 18.05%
- Q3
- 4.78%
- Median
- 0.00%
- Q1
- -4.14%
- Min
- -17.05%
Operating Margin (TTM)
Both Johnson & Johnson (JNJ) at 25.74% and Royalty Pharma (RPRX) at 81.32% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
25.74%
- Max
- 83.12%
- JNJ
- 25.74%
- Q3
- 14.77%
- Median
- 0.00%
- Q1
- -78.82%
- Min
- -207.40%
RPRX
Pharmaceuticals, Biotechnology & Life Sciences industry group
81.32%
- Max
- 83.12%
- RPRX
- 81.32%
- Q3
- 14.77%
- Median
- 0.00%
- Q1
- -78.82%
- Min
- -207.40%
Profitability Metrics
| Metric | JNJ | RPRX |
|---|---|---|
| ROE (TTM) | 20.02% | 12.09% |
| ROA (TTM) | 8.46% | 5.43% |
| Net Margin (TTM) | 16.20% | 25.70% |
| Operating Margin (TTM) | 25.74% | 81.32% |
| Gross Margin (TTM) | 67.78% | 99.79% |
Growth
Revenue Growth
Both Johnson & Johnson (JNJ) at 6.05% and Royalty Pharma (RPRX) at 5.06% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.
EPS Growth
Johnson & Johnson (JNJ) at 90.50% sits in the top EPS growth quartile, while Royalty Pharma (RPRX) at 23.09% is closer to the peer norm — faster per-share earnings growth for JNJ.
Growth Metrics
| Metric | JNJ | RPRX |
|---|---|---|
| Revenue Growth (YoY) | 6.05% | 5.06% |
| Revenue Growth (3Y CAGR) | 5.60% | 2.06% |
| EPS Growth (YoY) | 90.50% | 23.09% |
| EPS Growth (3Y CAGR) | 17.90% | 161.10% |
Financial Strength
Current Ratio (MRQ)
Both Johnson & Johnson (JNJ) at 1.02 and Royalty Pharma (RPRX) at 1.29 run current ratio in the tighter-liquidity quartile of industry peers, leaving thinner cushions against current liabilities than typical competitors.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
1.02
- Max
- 25.13
- Q3
- 12.13
- Median
- 5.52
- Q1
- 2.47
- JNJ
- 1.02
- Min
- 0.10
RPRX
Pharmaceuticals, Biotechnology & Life Sciences industry group
1.29
- Max
- 25.13
- Q3
- 12.13
- Median
- 5.52
- Q1
- 2.47
- RPRX
- 1.29
- Min
- 0.10
Debt / Equity (MRQ)
Johnson & Johnson (JNJ) at 0.55 carries an industry-typical debt-to-equity mix, while Royalty Pharma (RPRX) at 0.88 uses more debt funding than most peers.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
0.55
- Max
- 1.42
- Q3
- 0.65
- JNJ
- 0.55
- Median
- 0.15
- Q1
- 0.02
- Min
- 0.00
RPRX
Pharmaceuticals, Biotechnology & Life Sciences industry group
0.88
- Max
- 1.42
- RPRX
- 0.88
- Q3
- 0.65
- Median
- 0.15
- Q1
- 0.02
- Min
- 0.00
Financial Strength Metrics
| Metric | JNJ | RPRX |
|---|---|---|
| Current Ratio (MRQ) | 1.02 | 1.29 |
| Debt / Equity (MRQ) | 0.55 | 0.88 |
| Net Debt / EBITDA | 0.79 | 4.76 |
Dividends
Dividend Yield (TTM)
Both Johnson & Johnson (JNJ) at 1.94% and Royalty Pharma (RPRX) at 1.37% yield above their industries’ entire benchmark ranges — high enough that dividend safety, not income, becomes the first question.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
1.94%
- JNJ
- 1.94%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
RPRX
Pharmaceuticals, Biotechnology & Life Sciences industry group
1.37%
- RPRX
- 1.37%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Both Johnson & Johnson (JNJ) at 80.12% and Royalty Pharma (RPRX) at 60.46% pay out more of their earnings than any of their industry peers — the thinnest cover in their groups, so dividend headroom deserves attention.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
80.12%
- JNJ
- 80.12%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
RPRX
Pharmaceuticals, Biotechnology & Life Sciences industry group
60.46%
- RPRX
- 60.46%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | JNJ | RPRX |
|---|---|---|
| Dividend Yield (TTM) | 1.94% | 1.37% |
| Dividend Payout Ratio (TTM) | 80.12% | 60.46% |
Valuation
P/E Ratio (TTM)
Johnson & Johnson (JNJ) at 41.92 is near its industry’s usual P/E ratio, while Royalty Pharma (RPRX) at 43.99 sits in the richer quartile — RPRX needs stronger growth or earnings quality to justify the premium.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
41.92
- Max
- 85.34
- Q3
- 43.46
- JNJ
- 41.92
- Median
- 26.69
- Q1
- 13.30
- Min
- 0.07
RPRX
Pharmaceuticals, Biotechnology & Life Sciences industry group
43.99
- Max
- 85.34
- RPRX
- 43.99
- Q3
- 43.46
- Median
- 26.69
- Q1
- 13.30
- Min
- 0.07
P/S Ratio (TTM)
On P/S ratio, both Johnson & Johnson (JNJ) at 6.69 and Royalty Pharma (RPRX) at 14.79 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
6.69
- Max
- 58.18
- Q3
- 25.77
- Median
- 7.30
- JNJ
- 6.69
- Q1
- 3.01
- Min
- 0.01
RPRX
Pharmaceuticals, Biotechnology & Life Sciences industry group
14.79
- Max
- 58.18
- Q3
- 25.77
- RPRX
- 14.79
- Median
- 7.30
- Q1
- 3.01
- Min
- 0.01
P/B Ratio (MRQ)
Royalty Pharma (RPRX) at 4.39 is valued about in line with its industry on P/B ratio, while Johnson & Johnson (JNJ) at 8.16 carries an above-peer premium to book — JNJ is pricier on assets.
JNJ
Pharmaceuticals, Biotechnology & Life Sciences industry group
8.16
- Max
- 13.53
- JNJ
- 8.16
- Q3
- 6.54
- Median
- 3.25
- Q1
- 1.69
- Min
- -5.59
RPRX
Pharmaceuticals, Biotechnology & Life Sciences industry group
4.39
- Max
- 13.53
- Q3
- 6.54
- RPRX
- 4.39
- Median
- 3.25
- Q1
- 1.69
- Min
- -5.59
Valuation Metrics
| Metric | JNJ | RPRX |
|---|---|---|
| P/E Ratio (TTM) | 41.92 | 43.99 |
| P/S Ratio (TTM) | 6.69 | 14.79 |
| P/B Ratio (MRQ) | 8.16 | 4.39 |
| Free Cash Flow Yield (TTM) | 2.78% | -1.16% |