Buy JNJ for Stable Gains Amid Earnings Optimism Next Week

- Key Insights: Johnson & Johnson demonstrated robust earnings performance with
an EPS of $2.77, surpassing consensus estimates and reinforcing its
defensive stock status. Its diverse portfolio and consistent ability to
execute in volatile markets make it a strong candidate for growth-oriented
and stability-focused investors. With a positive sentiment surrounding
large-cap equities, JNJ is likely to continue attracting capital.

- Price Targets: Next week targets for LONG positions: T1=$166, T2=$170. Stop
levels: S1=$157, S2=$155.

- Recent Performance: JNJ outperformed expectations in its latest earnings
report, showcasing profitability and resilience in the face of broader
economic headwinds. The company delivered solid results while navigating
inflationary pressures, confirming its strength as a defensive player in the
healthcare marketplace.

- Expert Analysis: Analysts remain optimistic about JNJ’s execution
capabilities, citing its strategic investments in R&D and global footprint.
The earnings beat is seen as a validation of management’s effectiveness in
maximizing profitability through cost controls, alongside maintaining strong
demand across pharmaceuticals, medical devices, and consumer health
segments.

- News Impact: Broader market optimism surrounding strong earnings across top-
tier corporations (e.g., Abbott, Goldman Sachs) enhances JNJ’s prospects for
an earnings-season rally. Sector-wide attention on healthcare innovation
further bolsters JNJ’s defensive appeal amid global health concerns, while
its pricing power shields it from inflationary impacts.