Overview#
Freedom Broker has raised its price target for Johnson & Johnson stock (NYSE: JNJ) from $220 to $230 while keeping a Hold rating. This adjustment comes after the company reported strong quarterly results that exceeded expectations.
Strong Quarterly Performance#
Johnson & Johnson demonstrated solid growth across both of its business segments. The company achieved a revenue growth of 7.9% over the last twelve months as of the first quarter of 2026. Although revenue from STELARA, a key product, declined, this was balanced by strong performance from flagship products and newly launched therapies, which also surpassed forecasts.
Financial Guidance and Margins#
The company’s management has raised its guidance for both revenue and adjusted earnings per share. However, the operating margin faced some pressure due to increased marketing expenses. Notable products like TREMFYA, DARZALEX, and the RYBREVANT/LAZCLUZE combination have outperformed expectations, contributing to the positive outlook.
Analyst Reactions#
Following the earnings report, several analysts have adjusted their price targets for Johnson & Johnson. The company reported sales of $24.06 billion for Q1 2026, exceeding the consensus estimate of $23.6 billion. Adjusted earnings per share were $2.70, slightly above the expected $2.68. Stifel raised its price target to $250, while Guggenheim increased its target to $266, citing the approval of a new treatment for plaque psoriasis. Other firms, like Argus and Barclays, also raised their targets, reflecting a generally positive outlook on Johnson & Johnson’s financial performance and product pipeline.