GuruFocus DCF Analysis: JNJ Overvalued by -116%
GuruFocus performed a discounted cash flow (DCF) analysis on Johnson & Johnson (JNJ), finding that the stock is significantly overvalued.
The DCF earnings-based model estimated JNJ's intrinsic value at $123.97, while the current price stands at $268.04, indicating a margin of safety of -116.2%.
A second opinion from the free cash flow (FCF)-based DCF model corroborated this conclusion, with an intrinsic value of $105.26 and a margin of safety of -154.7%.
The GF ValueTM for JNJ stands at $192.83, providing a third perspective on valuation that also suggests the stock is overvalued.
GuruFocus' GF ScoreTM evaluates a company's financial strength, profitability, growth potential, valuation, and momentum, with JNJ scoring 83/100 overall and 0/5 stars in predictability.