This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

5 Stocks Fund Managers Love for 2013

Johnson & Johnson

Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player

You won't find a more prototypical blue-chip than health care giant Johnson & Johnson (JNJ - Get Report). The $227 billion firm has its hands in everything from everything from consumer products like Band-Aid brand bandages to pharmaceuticals and medical devices. Funds added onto their health care buying spree with an additional 7.5 million shares of JNJ in the first quarter.

>>5 Consumer Stocks Ready to Push Higher

Even though Johnson & Johnson's most consumer-facing business is found on pharmacy shelves, the bulk of the firm's net income is earned behind the pharmacy counter. JNJ offers a big benefit over pure-play pharma firms, however: the consumer and medical device segments offer investors diversification that few big pharma names can match -- especially as patent drop-offs (AbbVie's biggest detractor) plague valuations in the industry. A strong pipeline of new drug offerings should smooth out effects from patent expirations in the next few years.

Johnson & Johnson's balance sheet is in stellar shape right now. While the company only has around $5 billion in net cash after parting with considerable liquidity to acquire Synthes, the firm still has ample cash on hand to pay out its 2.9% dividend yield and to cover any other financial speed bumps in the road.

3 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
ABBV $57.65 0.66%
BRK.B $143.89 0.60%
GOOG $548.34 -1.23%
JNJ $100.34 0.20%
PG $82.31 0.19%


DOW 17,712.66 +34.43 0.19%
S&P 500 2,061.02 +4.87 0.24%
NASDAQ 4,891.2190 +27.8570 0.57%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs