Johnson & Johnson Earnings on Deck With Stock (NYSE: JNJ) Outperforming

Johnson & Johnson (NYSE: JNJ), the venerable healthcare conglomerate, will announce its upcoming first-quarter earnings report before today's opening bell, with plenty of eyes on guidance. JNJ's stock closed out the final session leading into the print at $154.36, for a gain of 1.73% on the day.

With JNJ having a strong history of earnings beats, markets will no doubt be looking for more of the same. Johnson & Johnson's stock price has held up much firmer than many during the choppy markets of 2025, with a gain of 7.18% YTD standing in stark contrast to the S&P 500's 7.88% decline.

Analysts are forecasting consensus earnings per share (EPS) of $2.58 on revenues of $21.57 billion. This report will be crucial for clarifying the full impact of the Intra-Cellular acquisition costs, ongoing talc litigation expenses, foreign exchange headwinds, and the initial effects of Stelara biosimilar competition.

Furthermore, J&J will present at the BofA Securities Healthcare Conference on May 13, 2025. This event may provide updates on key pipeline assets such as Varipulse (its pulsed field ablation device for atrial fibrillation) and TAR-200 (oncology drug candidate). 

For income-focused investors, J&J remains a stalwart. The company boasts an impressive 61-year history of consecutive dividend increases, cementing its status as a Dividend Aristocrat. The current yield stands at an attractive 3.27% ($4.96 annually).

Previous Quarter and Outlook

J&J reported its Q4 2024 results on January 22, 2025, showing:

• 4.3% revenue growth for the full year 2024 ($88.8 billion), driven by pharmaceuticals and medtech.
• Full-year Adjusted EPS of $9.98, up 0.6% year-over-year.

Looking ahead, J&J reaffirmed its long-term growth outlook earlier this year, guiding for 5-7% operational sales growth annually between 2025 and 2030. This guidance persists despite expected biosimilar competition for its blockbuster drug Stelara, which is anticipated to face a $3 billion sales decline in 2025. Analysts at Morningstar, while acknowledging the Stelara hit, maintain a $164 fair value estimate, citing the strength of J&J’s broader pipeline, particularly in oncology (like the promising TAR-200 bladder cancer therapy) and medical technology advancements, including its Varipulse platform for atrial fibrillation. 

The company finalized its acquisition of Intra-Cellular Therapies on April 2, 2025, a move designed to significantly bolster its neuroscience portfolio. The key prize is CAPLYTA®, an approved treatment for schizophrenia and bipolar depression, with promising potential for label expansion into major depressive disorder (MDD), pending FDA approval. 

The deal is expected to:

• Boost 2025 sales growth by 0.8% (an estimated $0.7 billion incremental revenue).
• Dilute 2025 adjusted EPS by $0.25, an improvement from the initial $0.30–$0.35 estimate.

This reflects the cost of integration but underscores J&J's commitment to investing in high-growth therapeutic areas to fuel future performance and strengthen its position in mental health.

Stock Forecasts and Analyst Sentiment

Analysts' price targets range from $150–$185, with a median of ~$170 (. Sentiment leading into the Q1 2025 earnings report (April 15) is mixed, with 24 upward EPS revisions countered by 14 downward adjustments over the last 90 days, according to Seeking Alpha data.

The upcoming Q1 earnings report will be intensely scrutinized for signs of resilience in its core businesses, the initial impact of the Intra-Cellular deal, and any updates on managing litigation expenses and the Stelara transition.