Key insights
- Guggenheim reiterated a Buy rating on JNJ after Q1 2026 results beat sales estimates. Other analysts also raised price targets, citing strong pharmaceutical performance and organic sales growth. While costs were higher, lower interest and taxes offset the impact. Overall, the news suggests a slightly positive outlook for JNJ and potentially the broader large-cap biopharmaceutical sector.
Investing.com - Guggenheim reiterated a Buy rating and $244.00 price target on Johnson & Johnson (NYSE:JNJ) following the company’s first-quarter 2026 results.
Johnson & Johnson reported sales of $24.06 billion for the first quarter of 2026, above the consensus estimate of $23.61 billion. The company posted earnings per share of $2.70, in line with the consensus estimate of $2.68.
The sales beat was driven by higher sales from the Innovative Medicine segment. MedTech sales came in slightly above consensus.
Higher cost of goods sold and higher selling, general and administrative expenses in the quarter were offset by lower interest expense and lower taxes. The company had previously guided to the higher costs.
Guggenheim continues to view Johnson & Johnson as one of its top picks in large-cap biopharmaceutical companies.
In other recent news, Johnson & Johnson reported its first-quarter 2026 earnings, surpassing Wall Street expectations with an adjusted earnings per share of $2.70, slightly above the forecasted $2.68. The company’s revenue reached $24.1 billion, exceeding the anticipated $23.61 billion. Barclays raised its price target on Johnson & Johnson shares to $255 from $234, citing strong pharmaceutical performance, with the company delivering a $356 million beat versus consensus in its pharma division. Bernstein SocGen Group also raised its price target to $251 from $225, highlighting a 5.3% organic sales growth in the first quarter, which beat expectations by 1.7 percentage points. RBC Capital increased its price target to $265 from $255, noting a first-quarter performance that beat expectations by approximately 2% on sales and 1% on earnings per share. Innovative Medicine grew 16.6% year-over-year, excluding Stelara, while MedTech saw mid-single-digit growth. These developments reflect Johnson & Johnson’s solid performance across various divisions, despite challenges.
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