JNJ - STOCKS - 29. OCT. 2021Welcome to our Weekly V2-Trade Setup ( JNJ ) !
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STOCK SETUP
BUY JNJ
ENTRY LEVEL @ 161.48
SL @ 159.16
TP @ Open
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JNJ
Johnson & Johnson | Fundamental Analysis | MUST READ ⚡️The world's largest health care company is about to get a little smaller. Johnson & Johnson recently told investors that it intends to spin off its consumer health products business into a separate new company.
If you've been considering these dividend-paying stocks for one reason or another, there's nothing wrong with the impending split. In fact, it makes the stock much more attractive. Here's a closer look at the company's plans so you can see why.
Johnson & Johnson is a huge conglomerate with more than a hundred separate subsidiaries divided into three operating segments: pharmaceuticals, medical devices, and consumer health. Janssen, the company's pharmaceutical business, is the largest and fastest-growing of its subsidiaries. Pharmaceutical sales growth is outpacing the diverse medical devices segment, but the company wants to keep the two segments together. That's because convincing doctors to order knee replacement devices is not that much different than convincing doctors to prescribe a new cancer treatment.
Johnson & Johnson practically created the consumer health care business more than 130 years ago, so at first, its division will seem strange. However, when the dust settles, the separation will likely benefit investors.
The consumer healthcare segment is expected to generate about $15 billion in revenues in 2021, about 7 percent more than in 2020. The as-yet-unnamed new consumer health drug company will start with 20 different brands with annual sales of more than $150 million.
The 7% growth rate that J&J expects this year in terms of underlying revenue for the consumer health segment is pretty good. Unfortunately, the comparison to 2020, when people made significantly fewer purchases, is a bit misleading.
Not surprisingly, Johnson & Johnson wants to focus on pharmaceutical sales. Over the past five years, pharmaceutical sales have grown at an impressive rate of 9.2 percent a year. Over the same period, the company's other two segments have struggled to keep moving in the right direction.
Revenue from the high-margin pharmaceutical segment also had a much stronger impact on the bottom line. In the third quarter, adjusted pre-tax income from the pharmaceutical segment was $5.7 billion. Pre-tax earnings from medical devices and consumer healthcare were $1.7 billion and $0.9 billion, respectively.
If you're interested in buying Johnson & Johnson stock before it transforms into two companies, you have plenty of time to think it through. The company plans to complete the planned spin-off in 18 to 24 months.
Shares of both new companies will initially have smaller payouts, but don't let that worry you. Dividend payments on both new shares are expected to be the same amount that shareholders will receive before the split.
At recent prices, Johnson & Johnson stock offers an attractive yield of 3.1 percent, and investors can expect much higher returns on their initial investment in the future. The company is a dividend aristocrat that has not had a single year without a payout increase since the Kennedy administration.
Johnson & Johnson's dividend program stands on such a solid foundation that steady increases in the coming years should not be a problem. Over the past 12 months, the company has used just 42% of the free cash flow generated by operations to pay dividends.
It should be noted that these dividend-paying medical company stocks may not be suitable for every investor, especially those who are willing to take high risks in exchange for the chance to make huge profits. While it is unlikely that Johnson & Johnson will far outperform the broad market, investors can reasonably expect two steadily increasing dividend payments for years to come.
Johnson & Johnson | Fundamental Analysis | Must Read...Johnson & Johnson is a leader in several areas of pharmaceutical research, including oncology and immunologic diseases. The company's portfolio of drugs in these two areas brings in billions of dollars in revenue each quarter. The company is currently seeking to strengthen its market share in COVID-19 vaccines.
This year, Johnson & Johnson anticipates generating $2.5 billion from sales of its COVID-19 vaccine, well below the $33.5 billion and $20 billion, respectively, expected by Pfizer and Moderna. Fortuitously, some up-to-date developments favor Johnson & Johnson's ambitions in this profitable market.
Most COVID vaccines currently available in the U.S. are given to patients in two doses about a month apart. J&J's vaccine is injected in only one dose. Based on real-world data and Phase 3 clinical trials, the company is sure that a single dose of its vaccine is 75% effective against severe cases of COVID for at least 28 days after vaccination.
This efficacy compares disadvantageously with the effectiveness of vaccines marketed by Pfizer and Moderna, as well as a vaccine developed by Novavax, which has not yet received emergency use authorization (EUA) in the United States. All three vaccines have proven at least 90% effective in preventing COVID in clinical trials.
Nevertheless, Johnson & Johnson recently revealed data showing that a booster dose (or second dose) of the vaccine, given two months after the first dose, improves its effectiveness to 94% against the onset of severe COVID. On Oct. 5, the company applied for EUA approval from the Food and Drug Administration (FDA) to administer a second dose of the vaccine.
Then, on Oct. 15, a panel convened by the FDA voted unanimously for the agency to issue the company an EUA approval. The last wek, the FDA granted the company this long-awaited approval.
In addition to getting the green light a little later than some of its competitors, Johnson & Johnson's COVID vaccine faced several obstacles. In mid-April, health authorities decided to suspend the distribution of the vaccine after it was suspected of causing blood clots in some patients (the original EUA approval was granted in late February).
Regulators canceled that suspension about a week and a half later, arguing that the known benefits outweighed the known risks and requiring a new warning on the vaccine label going forward. Indeed, six patients out of more than 6.8 million vaccinated were known to have been affected by this adverse event. This episode is now left behind, but since the pandemic is not yet over, mainly because of the more dangerous delta variant of the virus, the need for vaccines remains.
Since the second dose of the J&J vaccine seems to increase its effectiveness, this can only have a positive effect on its sales. This is especially true given that the FDA has not placed any health-related (or similar) restrictions on who can get a second dose of the vaccine from Johnson & Johnson. But here's the catch: the company has pledged not to profit from the product for the duration of the pandemic. In other words, boosted sales of vaccines will have no meaningful impact on the bottom line in the short term.
In the future, the company may profit from its vaccine when the pandemic fades and if COVID becomes a seasonal disease like the flu, as some predict. But even then, given how competitive this market is, the J&J vaccine will have only a very moderate influence on a company that typically makes more than $10 billion in profits a year.
In other words, investing in Johnson & Johnson because of its COVID vaccine is not a good idea. Luckily, there are plenty of other reasons for that. Consider the company's diversified operations. Its pharmaceutical business, the largest by revenue, includes quite a few blockbuster products whose sales continue to grow.
Here are a few of them: in the third quarter (ended Sept. 30), revenue from the immunosuppressant Stelara was $2.4 billion, up 22.2% from the previous quarter. Oncology drug Darzalex increased its sales 43.7% year over year to $1.6 billion. This is just the tip of the iceberg for the company, with several dozen late-stage programs in development.
Expanding its product line and approving new drugs is commonplace at Johnson & Johnson. Its consumer health products segment sells over-the-counter products with broad appeal, including Listerine, Neutrogena, Aveeno, and Tylenol. The company's medical device business adds to its revenue base.
Here's another reason to invest in this company: the company has increased its dividend every year for more than 50 consecutive years, making it the Dividend King.
The company currently has a yield of 2.53%, higher than the S&P 500 Index's 1.38%, and maintains a conservative cash payout ratio of 47%. That makes it engaging to income-seeking investors. In other words, Johnson & Johnson may not be the best stock to buy the COVID vaccine, but it remains a solid pharmaceutical company to invest in.
Johnson & Johnson|Fundamental Analysis|Price action| MUST READ!In a nutshell, Johnson & Johnson's third-quarter results were generally good. The company reported a 10.7% year-over-year increase in revenue to $23.3 billion. Adjusted earnings per share rose 18.2% to $2.60, well above the consensus estimate of $2.35.
Given the large earnings outperformance, you'd probably think the health care company's stock should have rallied Tuesday after the quarterly report was released. And you'd be right. J&J stock opened up about 1% and gained even more momentum during the day. Perhaps the rise would have been greater had it not been for the company's third-quarter earnings, which came in below analysts' average forecast of $23.7 billion.
But there was more to this story for the health care giant than just the underlying numbers. Here are three things you might have missed about Johnson & Johnson's third-quarter results.
First and foremost, three products accounted for 63% of the growth.
Many investors love Johnson & Johnson largely because of its diversification. The company has three multi-billion dollar business segments targeting different areas of healthcare. Hundreds of products are sold in these segments. In 2020, J&J claimed 28 products or platforms with annual sales of more than $1 billion.
Although Johnson & Johnson's business is broadly diversified, the drivers of its growth in the third quarter were not. Just three products accounted for about 63% of the company's total revenue growth. These products accounted for nearly 90% of J&J's pharmaceutical sales growth.
Not surprisingly, the COVID-19 vaccine tops the list. It brought in $502 million in the third quarter, up from no revenue the previous year.
The multiple myeloma drug Darzalex took a respectable second place. Sales of the drug totaled $1.58 billion in the third quarter, up 43.7% from nearly $1.1 billion in the same quarter in 2020.
J&J's Stelara drug was the third-largest growth driver in the third quarter. Sales of the plaque psoriasis and psoriatic arthritis drug totaled $2.38 billion in the quarter. That's a 22.2% increase over sales of $1.95 billion in the previous quarter.
Second, it's important to keep in mind that the COVID-19 pandemic continues to have a major impact beyond just the vaccine.
Johnson & Johnson's COVID-19 vaccine certainly contributed significantly to the good third-quarter results. And it could make an even bigger furor in the future. J&J is likely to benefit significantly from booster sales (if, as expected, it gets approved for boosters). However, COVID-19 also continues to have a significant impact on J&J's fortunes beyond the vaccine.
Johnson & Johnson's consumer health business, for example, has been helped by increased sales of the drug Tylenol. The company noted that some of the increase in sales of the over-the-counter drug was due to its use to relieve vaccine-induced symptoms. J&J also reported that sales of ORSL HCP electrolyte drinks increased due to relief of COVID-19 symptoms.
It wasn't all good news, however. Sales bans in parts of the Asia-Pacific region had a negative impact on sales of baby care products. The company said growth in sales of its Imbruvica cancer drug was partially held back by COVID-19-related dynamics. In addition, sales of J&J's orthopedic medical products in the spine, sports, and other category fell mainly because of the impact of COVID-19 on the market.
Finally, the company is now on the cusp of an international tipping point.
Although based in the U.S., Johnson & Johnson has been a major competitor in global markets for most of its history. And now the health care giant is nearing a crucial international stage.
In the third quarter, J&J's U.S. sales rose 7.9 percent year over year to just under $12 billion. Its international sales jumped 13.8% to $11.4 billion. International markets now account for 48.7% of total revenue. At the current rate of growth, by next year more than half of Johnson & Johnson's revenue will come from outside the United States.
Investors should see this as a decidedly positive trend. Greater geographic diversification of revenues could make Johnson & Johnson even more stable than it is now.
JNJ Daily TimeframeSNIPER STRATEGY
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JNJ: BUY THE DIPJNJ: an amazing long opportunity
~Every time JNJ has gone overbought on the RSI like it is right now, it has gone up very strongly
~JNJ is trading in a parallel uptrend for the most part since October 2020 (white area) with a few minor outlying price action movements.
^^ Price is touching the long term support line. Confirming the RSI foreshadowing.
~I expect resistance at 171, 174-176, 180.
^^Breaking 180 will let it soar to 185-187 (the top of the parallel uptrend)
JNJ Ready to Continue Rising HigherThe share price of Johnson and Johnson looks ready to rebound from the major resistance-turned-support area, underpinned by the 23.6 per cent Fibonacci retracement level at 175.61, and resume climbing.
The underlying uptrend appears to be taking the form of a 1-5 impulse wave pattern, as postulated by the Elliott Wave Theory. Thus, the recent correction can be perceived as the second retracement leg (3-4). If the price action strengthens above the 23.6 per cent Fibonacci, this would allow for the subsequent emergence of the final impulse leg (4-5).
If, however, the correction breaks down below the lower limit of the support, underpinned by the 100-day MA (in blue), this would likely mean that it could then be extended lower towards the 38.2 per cent Fibonacci.
Johnson & Johnson Stock Daily AnalysisHello everyone, as we all know the market action discounts everything :)
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The Johnson & Johnson stock is having a great Bullish movement right now, In the last week, the stock price has risen from 173.05 and reached 179.47 today. That's more than 3.7% in 1 week.
Both the short-term and long-term trends are positive. This is a very positive sign.
We are looking at 2 different Scenarios for the next period of time :
Scenario 1 :
The price has gone up and reached the resistance zone at 178.51 to 179.17 and its currently above it but it hasn't closed above it yet, That means the market is still moving in a Bullish way but until we have our confirmation we cant say the price is gonna keep going, but all the signs are Bullish After today's candle closes we will have our confirmation and the price will most likely continue his journey up reaching the 180.45 level.
Scenario 2 :
The price has gone up and reached the resistance zone at 178.51 to 179.17, Here the Bears has a Chance to show some control over the market action, The bulls are testing the Bear right now, And if the Bulls were to fail then the bears will take some control and we will see the price dropping from the resistance zone and its gonna be headed near the support line at 176.57, where a Battle will happen between the Bears and the Bulls and the outcome will determine the movement of the stock for the next period of time.
Technical indicators showing this :
1) The Market price is currently trending above the 5 10 20 50 100 and 200 MA and EMA (Bullish sign)
2) The MACD is above the 0 Line showing that the market is in a Bullish state, With a positive crossover between the MACD line and Signal line.
3) The ADX is at 31.68 showing that the market is currently trending, With a positive crossover between DI+ (36.78) and DI- (10.24)
Support & Resistance points :
support Resistance
1) 176.57 1) 178.51
2) 175.29 2) 179.17
3) 174.63 3) 180.45
Fundamental point of view :
JNJ has a Return On Assets of 10.07%. This is amongst the best returns in the industry. The industry average is -32.26%. JNJ outperforms 94% of its industry peers.
The Earnings Per Share has grown by a nice 14.55% over the past year. JNJ has an Altman-Z score of 4.59. This indicates that JNJ is financially healthy and has little risk of bankruptcy at the moment.
Biden administration officials reportedly plan to recommend booster doses of Pfizer and Moderna’s Covid-19 vaccines to most Americans eight months after they received their second dose. This could Affect the Johnson & Johnson stock as other company's Vaccine such as Pfizer and Moderna is being used far more often and being recorded for giving better result than the JNJ Vaccine .
This is my personal opinion done with technical analysis of the market price and research online from fundamental news for The Fundamental point of view, not financial advice.
If you have any questions please ask and have a great day !!
Thank you for reading.
Teladoc Trade [TDOC]A staple of Cathie Wood's ARKK Invest fund, Teladoc looks to be winding up for a big move in the coming days after breaking the resistance of a supply line that has kept TDOC stagnant since the peak of its small rally in June.
Now we find it at a key support level just outside of the trendline and finding support on our 21 MA as well.
I am long on TDOC with a stop loss at $149.99. At this point, if the green horizontal line of support would be broken, the next level we want to look at for a long would be $146.84. However, a break and close of $146 would be a break into my no trade zone.
Bonus points for the asset if it can hold and maintain price action outside of our green, downward sloping line of resistance now hopefully flipped support.
Are Covid Stocks Coming Back?If there is any hope for the S&P right now it may very well come from the healthcare sector with mega blue chip Johnson & Johnson.
JNJ has managed to put in consecutive higher highs and higher lows on the weekly, and now also is confirming support on the .618 fibonacci level at $165.40.
However, there appears to still be much selling pressure at just above $168, so don't be surprised if we continue to see consolidation for another a week or two before getting the confirmed breakout above our red resistance line at the aforementioned $168 price level.
If resistance at this level is broken, we will be seeing a possible retest of blue sky all time highs for the healthcare giant JNJ.
In the meantime, I am liking the idea of small longs along the .618 ($165.40) area as long as the upward sloping green trend is not violated.
JNJ Will the $200 stop a protracted and non-corrective rally?Johnson & Johnson is a major manufacturer of cosmetic and sanitary products, as well as medical equipment and medicines. The company was founded in 1886.
In general, the history of the company is mega-successful. The corporation expanded through the purchases of competitors and gained more and more market share in its areas.
The company's progress is confirmed by the capitalization, which exceeds $430bn , as well as the graph of the JNJ share price, which is growing parabolic.
For 10 years, from 2002 to 2012, smart and patient investors recruited long positions in JNJ shares. During this period, the price traded in a broad consolidation of $46-71, growing volumes talked all - patience and everything will be)
From 2012 to the present, the value of JNJ shares has grown practically without correction.
Even during the Covid market plunge in February-March 2020, JNJ shares fell by only -29%. For example, then the S&P500 fell by -35%, the DJI index -38%, and the shares of the hype TSLA by as much as -60%.
The investors in this company knew and believed and they did not lose, because during the COVID-19 pandemic, a subsidiary of Johnson & Johnson, Janssen Pharmaceutica, developed a vaccine against this virus, which is certified for use in the USA and the EU, and the value of JNJ shares has renewed its absolute maximum.
Since the beginning of the year, JNJ's share price has been pushed towards the important $171 level . After the price fixes above this level, another upward impulse will take place.
We assume that it may be final before the start of a prolonged downward correction.
In the region of $195-200, it is better to fix the longs and look around, because the correction can be deep enough, and enough people who want to buy JNJ shares again may be in the $ 84-96 zone.
JNJ - Ascending Triangle + Bad NewsI absolutely hate this company.
- Moving averages suggest bullish trend.
- 3rd attempt at major resistance.
- Doji Candle formed = change in trend/momentum.
- "Inside Day" pattern formed = Suggesting a continuation of the current trend. In this situation, it should continue the uptrend for a short period of time until a new pattern/confluence forms.
- However, JNJ can't catch a break regarding its vaccine. Issue after issue...
- Earnings Report - 7/21
This is a patience play. If you like to jump the gun, you could get burned...but with proper risk management, it may be worth the risk.
If you trade options:
Aggressive --> Play the Doji this week. 2 week expiration.
Moderate --> Wait for a few candles to form after today's doji. 1-2 month expiration.
Conservative --> Wait until after earnings. October expiration.
OCGN "variant stew"Alot going on in this chart but bear(or bull) with me.. 100MA being tested, broke above trend line and alot of confluence occuring all at once while the "Variant" is the big talk of the days.
Quite a bit of upside here if good PR comes out on OCGN. Otherwise we could see this get swatted right back down under the trend line and below the 100MA. My calls are in for a solid risk reward play here.
Trade safe and have fun! SMASH that like button and let me know your thoughts in the comments!
Johnson and Johnson Struggling Below a Historic Resistance The share price appears unable to break out above the historic resistance level at 170.00, which represents a very strong bearish signal.
Moreover, the price action has recently established a broad 1-5 impulse wave pattern, as postulated by the Elliott Wave Theory, as well as having developed an Ascending Wedge. Both of these developments confirm the bearish expectations.
Finally, yesterday's trading session resulted in the creation of a Shooting Star candle, which could be a precursor to an imminent reversal.
Overall, there seems to be a very strong confluence of bearish indications at present.
The 23.6 and 38.2 per cent Fibonacci retracement levels represent the most likely targets for such a dropdown.