NEW YORK (TheStreet) -- Johnson & Johnson (JNJ) was falling 2.3% to $92.87 on Tuesday after the company announced that it expects full-year 2014 earnings to come in short of forecasts.
J&J said it expects 2014 earnings to be between $5.75 and $5.85 a share, compared to $5.52 in 2013. Analysts expected earnings to fall at the high end of that range.
The company reported a fourth-quarter profit of $3.52 billion, or $1.23 per share, up from $2.57 billion, or 91 cents per share, one year earlier. After excluding items related to acquisitions, an increase in litigation accrual and other items, Johnson & Johnson's adjusted earnings rise to $1.24 from $1.19. Revenue also increased 4.5% to $18.36 billion. Analysts anticipated a revenue of $17.95 billion and a per-share profit of $1.20.
The company's pharmaceutical department helped lead sales growth, and Johnson & Johnson noted fourth-quarter earnings rose 37%.
TheStreet Ratings team rates JOHNSON & JOHNSON as a Buy with a ratings score of A. TheStreet Ratings Team has this to say about their recommendation:
"We rate JOHNSON & JOHNSON (JNJ) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, solid stock price performance, reasonable valuation levels and good cash flow from operations. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results."