What to expect from the pharmaceutical and medical device company
- Johnson & Johnson to report fourth-quarter earnings
- First full year without consumer health division
- Expects adjusted operational earnings of $10.55 to $10.75 for 2024
- Shares up 3.6% this year, down 3.5% over the past 12 months
- Litigation over talc products remains a concern
Johnson & Johnson is set to report its fourth-quarter earnings as it enters its first full year without a consumer health division. The company’s separation from its former consumer health business, now known as Kenvue, has led to a focus on branded prescription pharmaceuticals and medical devices. Analysts expect the company to report earnings of $2.28 per share and sales of $21 billion for the fourth quarter. Johnson & Johnson has already provided guidance for the 2024 fiscal year, with expected adjusted operational earnings of $10.55 to $10.75 and sales growth of 5% to 6%. Despite facing ongoing litigation over talc products, the company’s shares have seen a slight increase this year. The upcoming earnings report will provide insight into the company’s performance and future prospects.
Public Companies: Johnson & Johnson (JNJ), Humana (HUM), UnitedHealth Group (UNH)
Private Companies: Kenvue
Key People: Chris Schott (J.P. Morgan analyst)
Factuality Level: 7
Justification: The article provides information about Johnson & Johnson’s upcoming fourth-quarter earnings report and its separation from its consumer health division. It also mentions the potential impact of higher healthcare service usage on medical device makers. The article includes analyst expectations for earnings and sales, as well as the company’s preliminary guidance for the 2024 fiscal year. It briefly mentions the company’s stock performance and a note from a J.P. Morgan analyst. The article also mentions the ongoing litigation the company faces regarding its talc products. Overall, the article provides factual information about the company’s financial situation and market expectations, but it lacks in-depth analysis and context.
Noise Level: 3
Justification: The article is primarily focused on reporting the upcoming earnings report of Johnson & Johnson. It provides some background information on the company’s recent split-off and mentions potential factors that could impact its earnings. However, there is no in-depth analysis or exploration of long-term trends or antifragility. The article stays on topic and supports its claims with information from analysts. Overall, it is a straightforward news article without much noise or filler content.
Financial Relevance: Yes
Financial Markets Impacted: Johnson & Johnson’s earnings report may impact the stock market and investor sentiment towards the pharmaceutical and medical device industry.
Presence of Extreme Event: No
Nature of Extreme Event: No
Impact Rating of the Extreme Event: No
Justification: The article discusses Johnson & Johnson’s upcoming fourth-quarter earnings report and provides information on the company’s financial outlook. While there is no mention of an extreme event, the earnings report can have an impact on financial markets and investor sentiment.
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