Beacon Financial Advisory LLC has significantly reduced its investment in Johnson & Johnson (NYSE: JNJ), decreasing its holdings by 63.5% during the third quarter of 2023. According to a recent filing with the Securities and Exchange Commission, the firm now owns 3,180 shares of the healthcare giant, having sold 5,523 shares throughout the quarter. The value of Beacon’s remaining stake was approximately $590,000 at the close of the reporting period.
Several other institutional investors have also adjusted their positions in Johnson & Johnson recently. For example, Evolution Wealth Management Inc. acquired a new position valued at around $27,000 in the second quarter, while Clayton Financial Group LLC made a new purchase worth approximately $28,000 in the third quarter. Semmax Financial Advisors Inc. increased its stake by 55.0% in the same period, now owning 203 shares valued at $31,000, following the acquisition of an additional 72 shares.
Further, GFG Capital LLC also entered a new stake valued at $35,000, and Signature Resources Capital Management LLC raised its stake by an impressive 262.9% in the third quarter, now holding 254 shares worth $47,000. Overall, institutional investors currently hold approximately 69.55% of Johnson & Johnson’s stock.
Analyst Ratings and Market Sentiment
A number of brokerages have recently updated their ratings for Johnson & Johnson. Argus set a price target of $210.00 on the stock, while Scotiabank initiated coverage with a “sector outperform” rating and a target of $230.00. HSBC reiterated a “buy” rating, issuing a price target of $240.00 on December 10, 2023. Stifel Nicolaus raised its price objective from $165.00 to $190.00, also giving the stock a “hold” rating. Raymond James Financial increased its target from $174.00 to $209.00, assigning an “outperform” rating.
Currently, four analysts have rated Johnson & Johnson with a “Strong Buy,” fifteen have assigned a “Buy,” and nine have issued a “Hold” rating. According to data from MarketBeat.com, the company holds an average rating of “Moderate Buy” with an average target price of $213.33.
Recent Developments and Dividend Announcement
Recent news has positively impacted sentiment around Johnson & Johnson. The company reported positive Phase 3 results for CAPLYTA, a major psychiatric drug, which indicated stronger remission outcomes. This development has bolstered interest in the biotech and pharmaceutical sectors, enhancing Johnson & Johnson’s outlook.
Additionally, the company’s robotic surgery division and a recent regulatory submission have reinforced investor confidence regarding its dividend growth potential. Notably, financial commentator Jim Cramer has praised Johnson & Johnson’s performance, highlighting its strong cancer portfolio and positioning it as a core holding for retail investors.
On the trading floor, shares of Johnson & Johnson opened at $218.09. The company has a market capitalization of approximately $525.43 billion, with a price-to-earnings ratio of 21.05 and a PEG ratio of 2.25. The stock has fluctuated between a 12-month low of $141.50 and a high of $220.11.
In a recent announcement, Johnson & Johnson disclosed a quarterly dividend of $1.30 per share, scheduled for payment on March 10, 2024. Shareholders of record as of February 24, 2024 will be eligible for this dividend, which represents an annualized total of $5.20 and a yield of 2.4%. The company’s current dividend payout ratio stands at 50.19%.
Founded in 1886, Johnson & Johnson is a multinational healthcare company based in New Brunswick, New Jersey. It develops, manufactures, and markets a wide range of products in the pharmaceuticals, medical devices, and consumer health sectors. The company operates globally, with a robust pharmaceuticals business focusing on prescription medicines across various therapeutic areas, including immunology, infectious diseases, oncology, and neuroscience.
