Johnson & Johnson (NYSE:JNJ) announced mixed results for the first quarter. The company reported adjusted earnings of $2.71 per share in the first quarter, up by 12.4% year-over-year, which surpassed analysts’ estimates of $2.64 per share.
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The pharmaceutical and medical devices company generated sales of $21.4 billion in Q1, up by 2.3% year-over-year, which aligned with consensus estimates of $21.4 billion. Johnson & Johnson’s MedTech business, which provides devices for surgeries, saw its sales grow by 4.5% year-over-year to $7.8 billion.
Looking ahead, JNJ narrowed its guidance for FY24, expecting revenues in the range of $88 billion to $88.4 billion, with adjusted earnings estimated to be between $10.57 and $10.72 per diluted share.
In addition, the company’s Board of Directors raised its quarterly dividend by 4.2% to $1.24 per share. On an annualized basis, the dividend will be $4.96 per share. The quarterly dividend will be payable on June 4 to shareholders of record at the close of business on May 21, 2024.
Is JNJ a Good Buy Now?
Analysts are cautiously optimistic about JNJ stock, with a Moderate Buy consensus rating based on six Buys and Holds each. Over the past year, JNJ has declined by more than 8%, and the average JNJ price target of $179.17 implies an upside potential of 21.4% from current levels. However, these analyst ratings are likely to change following Johnson & Johnson’s Q1 earnings today.
