Jnj stock forecast the current forward P/E ratio for JNJ

The current forward P/E ratio for JNJ sits below the industry median, giving value investors reason to consider long positions. Forecasts suggest this relative undervaluation could narrow if revenue momentum continues. This renewed interest comes after a challenging period for dividend stocks. Rising interest rates had made bonds more appealing to income-seeking investors, while excitement around artificial intelligence propelled growth stocks—especially the Magnificent Seven tech names—to new heights, leaving many established dividend-paying firms overlooked. Biegelsen also pointed to the recent discount arrangement between rival Pfizer (PFE) and President Donald Trump as an indication that U.S. government tariff pressure may soften. The move may also lead to a less aggressive drug pricing environment, which could be beneficial for Johnson & Johnson. Moreover, other pharmaceuticals are expected to be onboarded for a similar arrangement. Long‑term DCF models value JNJ slightly above its current market price, reflecting intrinsic strength and supporting the thesis for gradual appreciation over the next 18–24 months.