5-Star Stocks Poised to Pop: Johnson & Johnson

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
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

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.

Want to see how well (or not so well) the stocks in this series are performing? Follow the newTrackPoisedToCAPS account.

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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