Johnson & Johnson (NYSE:JNJ) is one of the 10 Best Dip Stocks to Buy According to Billionaires. On June 26, J.P. Morgan analyst Chris Schott maintained their Hold Rating on Johnson & Johnson (NYSE:JNJ) with a price target of $185.
Schott acknowledged that the company’s underlying business is well-positioned for over 5% sustained top-line growth, driven by the company’s innovative medicine and meditech portfolio. However, he also noted some key challenges that temper his optimism. Schott highlighted the erosion of Stelara sales due to biosimilar competition, which he believes is expected to negatively impact growth.
A smiling baby with an array of baby care products in the foreground.
Moreover, the ongoing talc litigation remains a significant overhang. And lastly, the pharmaceutical portfolio is forecasted to remain flat year-over-year, with notable declines in drugs like Stelara. As a result of these challenges, Schott remains cautiously optimistic about Johnson & Johnson (NYSE:JNJ).
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