Johnson & Johnson (JNJ) is set to release its latest earnings report on Tuesday morning, with traders anticipating a stock movement of up to 4% in either direction by the end of the week. This potential swing could push shares above $270, nearing last month's record high, or pull them below $253.
The healthcare giant has seen a strong year, with shares up over 25% since the start of 2023, driven by positive trial results and sector-wide strength. Analysts expect third-quarter revenue to hit $25.43 billion, a 6% year-over-year increase, though profits are likely to have declined slightly.
Morgan Stanley analysts believe the stock has significant room to rise, citing optimism about new product cycles. Investors will likely focus on the success of Johnson & Johnson’s newest drug launches. Six of the seven analysts tracked by Visible Alpha rate the stock a “buy,” with a mean target just under $290, suggesting potential upside of about 11% from Friday’s close.
The earnings report could also provide insights into the performance of the broader pharmaceutical and medical devices sector.