5-Star Stocks Poised to Pop: Johnson & Johnson

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Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, health-care products giant Johnson & Johnson (NYS: JNJ) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at Johnson & Johnson's business and see what CAPS investors are saying about the stock right now.

Johnson & Johnson facts

Headquarters (Founded)New Brunswick, N.J. (1886)
Market Cap$179.5 billion
IndustryPharmaceuticals
Trailing-12-Month Revenue$65 billion
ManagementChairman/CEO William Weldon
CFO Dominic Caruso
Return on Equity (Average, Past 3 Years)22.6%
Cash/Debt$30.9 billion / $18.4 billion
Dividend Yield3.5%
CompetitorsAbbott Labs
Covidien
Novartis

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 97% of the 13,971 members who have rated Johnson & Johnson believe the stock will outperform the S&P 500 going forward.

Late last year, one of those Fools, tbonci, succinctly summed up the bull case for our community:

Everyone knows Johnson & Johnson. They are the big dog in pharma, and the household name gives them a large moat in their consumer segment. This company can withstand the test of time and market volatility. It has above average returns, and is priced cheaply. This is a great entry point into a great long term stock holding.

If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future. Of course, despite a strong five-star rating, Johnson & Johnson may not be your top choice.

We've found another stock we are incredibly excited about -- excited enough to dub it "The Motley Fool's Top Stock for 2012." We have compiled a special free report for investors to uncover this stock today. The report is 100% free, but it won't be here forever, so click here to access it now.

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At the time this article was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. The Motley Fool owns shares of Johnson & Johnson and Abbott Labs. Motley Fool newsletter services have recommended buying shares of Johnson & Johnson, Abbott, and Novartis, as well as creating a diagonal call position in Johnson & Johnson. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.

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