Johnson & Johnson Sees Unusually Large Options Volume (NYSE:JNJ)

Johnson & Johnson (NYSE:JNJ) was the recipient of unusually large options trading activity on Friday. Stock investors acquired 41,649 call options on the company. This represents an increase of 45% compared to the average daily volume of 28,780 call options.

Wall Street Analyst Weigh In

A number of brokerages have recently commented on JNJ. The Goldman Sachs Group reissued a “buy” rating and set a $250.00 price objective on shares of Johnson & Johnson in a report on Thursday, January 22nd. Scotiabank reissued an “outperform” rating on shares of Johnson & Johnson in a research report on Thursday, January 22nd. BMO Capital Markets reaffirmed an “outperform” rating on shares of Johnson & Johnson in a report on Thursday, December 11th. Wolfe Research raised their target price on Johnson & Johnson from $225.00 to $240.00 and gave the company an “outperform” rating in a report on Monday, January 5th. Finally, Wall Street Zen downgraded shares of Johnson & Johnson from a “buy” rating to a “hold” rating in a report on Saturday, February 14th. One investment analyst has rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating and nine have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $232.70.

Johnson & Johnson Price Performance

Shares of JNJ traded down $2.82 during mid-day trading on Friday, reaching $244.09. The company had a trading volume of 8,823,451 shares, compared to its average volume of 9,392,634. The company has a debt-to-equity ratio of 0.48, a current ratio of 1.03 and a quick ratio of 0.77. The company has a market capitalization of $588.23 billion, a P/E ratio of 22.10, a P/E/G ratio of 2.38 and a beta of 0.35. Johnson & Johnson has a twelve month low of $141.50 and a twelve month high of $246.96. The company’s 50-day moving average is $220.45 and its 200-day moving average is $198.55.

Johnson & Johnson (NYSE:JNJ) last announced its earnings results on Saturday, January 31st. The company reported $2.46 earnings per share (EPS) for the quarter. The business had revenue of $24.28 billion during the quarter. Johnson & Johnson had a net margin of 28.46% and a return on equity of 33.04%. On average, equities analysts anticipate that Johnson & Johnson will post 10.58 EPS for the current year.

Johnson & Johnson Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 10th. Shareholders of record on Tuesday, February 24th will be given a $1.30 dividend. This represents a $5.20 dividend on an annualized basis and a yield of 2.1%. The ex-dividend date is Tuesday, February 24th. Johnson & Johnson’s dividend payout ratio (DPR) is presently 47.06%.

Key Headlines Impacting Johnson & Johnson

Here are the key news stories impacting Johnson & Johnson this week:

• Positive Sentiment: Bloomberg/Reuters report that J&J is preparing a potential sale of its orthopedics unit for about $20B — a divestiture that could unlock value, simplify the company post‑split and attract buyout interest. Read More.
• Positive Sentiment: New Phase 1b/2 data for RYBREVANT FASPRO show a 56% overall response rate in first‑line recurrent/metastatic head & neck cancer — strengthens oncology franchise and supports regulatory/commercial upside. Read More.
• Positive Sentiment: Johnson & Johnson announced a ~$1B investment in a Pennsylvania cell‑therapy manufacturing facility, boosting capacity for biologics/cell therapy programs and creating jobs — a tangible capital deployment supporting growth. Read More.
• Positive Sentiment: Dividend and income story remains a tailwind (quarterly payout raised to $1.30), which supports demand from dividend‑focused investors. Read More.
• Neutral Sentiment: Market/coverage pieces (Zacks) and increased options activity are amplifying attention and volatility around JNJ but don’t change fundamentals by themselves. Read More. · Read More.
• Negative Sentiment: Rothschild & Co Redburn raised its PT to $210 but kept a “neutral” rating — the PT implies downside from recent levels and may have encouraged profit‑taking or reduced upside expectations. Read More.
• Negative Sentiment: Insider selling disclosed this week (senior executives sold sizeable blocks) can feed short‑term selling pressure or signal rebalancing by insiders. Read More.
• Negative Sentiment: Ongoing talc litigation and related headlines remain a material legal overhang that can constrain valuation multiple expansion despite operational gains. Read More.

Insider Buying and Selling at Johnson & Johnson

In related news, EVP Vanessa Broadhurst sold 6,197 shares of the firm’s stock in a transaction that occurred on Tuesday, February 17th. The shares were sold at an average price of $243.39, for a total value of $1,508,287.83. Following the completion of the transaction, the executive vice president owned 23,003 shares of the company’s stock, valued at approximately $5,598,700.17. This trade represents a 21.22% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, EVP Timothy Schmid sold 22,623 shares of the business’s stock in a transaction on Wednesday, February 18th. The shares were sold at an average price of $244.33, for a total transaction of $5,527,477.59. Following the sale, the executive vice president directly owned 26,769 shares in the company, valued at approximately $6,540,469.77. This trade represents a 45.80% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 0.16% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of JNJ. Blueline Advisors LLC acquired a new stake in shares of Johnson & Johnson during the fourth quarter worth about $25,000. Cresta Advisors Ltd. acquired a new stake in Johnson & Johnson in the 4th quarter valued at approximately $26,000. Abich Financial Wealth Management LLC acquired a new position in Johnson & Johnson during the third quarter worth $26,000. DecisionPoint Financial LLC boosted its stake in shares of Johnson & Johnson by 104.2% during the 4th quarter. DecisionPoint Financial LLC now owns 147 shares of the company’s stock worth $30,000 after buying an additional 75 shares during the last quarter. Finally, Bay Harbor Wealth Management LLC boosted its position in Johnson & Johnson by 49.0% during the fourth quarter. Bay Harbor Wealth Management LLC now owns 149 shares of the company’s stock valued at $31,000 after purchasing an additional 49 shares during the last quarter. Institutional investors own 69.55% of the company’s stock.

Johnson & Johnson Company Profile

Johnson & Johnson is a multinational healthcare company headquartered in New Brunswick, New Jersey, that develops, manufactures and markets a broad range of products across pharmaceuticals, medical devices and previously consumer health. Founded in 1886 by the Johnson family, the company has grown into a global healthcare organization with operations and sales in many countries around the world.

The company’s pharmaceuticals business, organized largely under its Janssen research and development organization, focuses on prescription medicines across therapeutic areas such as immunology, infectious disease, oncology and neuroscience.