Johnson & Johnson Beats Analyst Estimates on EPS
Johnson & Johnson (NYS: JNJ) reported earnings on April 16. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), Johnson & Johnson met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded. Non-GAAP earnings per share grew. GAAP earnings per share shrank.
Margins dropped across the board.
Johnson & Johnson notched revenue of $17.51 billion. The 15 analysts polled by S&P Capital IQ foresaw a top line of $17.43 billion on the same basis. GAAP reported sales were 8.5% higher than the prior-year quarter's $16.14 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $1.44. The 20 earnings estimates compiled by S&P Capital IQ predicted $1.40 per share. Non-GAAP EPS of $1.44 for Q1 were 5.1% higher than the prior-year quarter's $1.37 per share. GAAP EPS of $1.22 for Q1 were 13% lower than the prior-year quarter's $1.41 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 68.3%, 120 basis points worse than the prior-year quarter. Operating margin was 28.2%, 10 basis points worse than the prior-year quarter. Net margin was 20.0%, 420 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $17.80 billion. On the bottom line, the average EPS estimate is $1.39.
Next year's average estimate for revenue is $71.11 billion. The average EPS estimate is $5.40.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 13,522 members out of 14,016 rating the stock outperform, and 494 members rating it underperform. Among 3,385 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 3,317 give Johnson & Johnson a green thumbs-up, and 68 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Johnson & Johnson is outperform, with an average price target of $79.17.
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The article Johnson & Johnson Beats Analyst Estimates on EPS originally appeared on Fool.com.Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool recommends Johnson & Johnson and recommends the following options:Long Jan 2014 $50 Calls on Johnson & Johnson. The Motley Fool owns shares of 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 Motley Fool has a disclosure policy.
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