TheStreet's London Bureau Chief, Martin Baccardax, reported that Johnson & Johnson posted stronger-than-expected fourth quarter earnings Tuesday and forecast a modest increase in full year sales for 2019 as the consumer healthcare group looks to rebound from last month's steep share price declines, triggered by a report that alleged it knew for decades that its iconic baby powder sometimes contained asbestos and failed to alert authorities.
Johnson & Johnson said earnings for the three months ending in December came in at $1.97 per share, topping the Street consensus of $1.95 and rising 13.2% from the same period last year. Group sales, Johnson & Johnson said, were pegged at $20.4 billion, again beating the consensus forecast. The group sees full year sales of as much as $81.4 billion, with adjusted earnings in the range of $8.50 to $8.65 per share.
"Looking ahead, the strength of our broad-based business and disciplined approach to portfolio management positions us to continue to fuel investments in innovation that enable us to capitalize on strategic opportunities and deliver strong performance over the long-term," said CEO Alex Gorsky.
Cramer said that he believes shares of Johnson & Johnson will be up at the end of the week.
Johnson & Johnson is a holding in Jim Cramer's Action Alerts Plus portfolio.