Johnson & Johnson's ( JNJ) shares sank 1.2% to $66.40 despite better-than-expected fourth-quarter earnings. Excluding certain charges, the company earned 81 cents a share, 2 cents higher than analysts' estimates. Revenue reached $13.68 billion, up from $12.61 billion last year and in line with analysts' estimates. However, the company said its acquisition of Pfizer's ( PFE) consumer health care group won't add to its earnings until 2009. Earnings per share in 2007 are expected to take a 12-cent hit, and 2008 earnings should be reduced by 3 cents, excluding certain items. Shares of Novavax ( NVAX) gained 4.4% to $4.27 after the company reported additional data on its pandemic flu vaccine after the close of trading Monday. Valeant Pharmaceuticals' ( VRX) shares gained 3.2% to $17.66 after the company restated its third-quarter earnings to reflect stock option expense. Valeant and said it recorded a profit of $13.7 million, or 14 cents a share. The company lost $2.7 million, or 3 cents a share, in the third quarter a year ago. NitroMed ( NTMD) gained 10.5% to $2.94 after the drugmaker said it named a new chief executive officer and chief financial officer. Former Millennium Pharmaceuticals ( MLNM) executive vice president Kenneth Bate will serve as the company's CEO, and business consultant James Ham will be CFO. Among other health stock winners Tuesday were Bayer ( BAY), up 1.9% to $57.20; Caraco Pharmaceutical ( CPD), gaining 2.1% to $13.18; Noven Pharmaceuticals ( NOVN), rising 2.7% to $26.33; and Neurocrine Biosciences ( NBIX), jumping 6.7% to $13.82. Among the losers were Pfizer, whose shares fell 2.5% to $26.27; Genentech ( DNA), off 1.1% to $87.91; Amgen ( AMGN), down 1.4% to $74.80; Biogen Idec ( BIIB), 1.9% lower to $49.24; and ImClone Systems ( IMCL), sinking 3.7% to $28.07.