20 Oct

Johnson & Johnson’s 3Q15 Changes in Growth Rate

WRITTEN BY Mike Benson

Johnson & Johnson’s growth rate

Johnson & Johnson (JNJ) reported a rise of ~0.8% in revenues in constant currencies for 3Q15 over 3Q14. The company’s 3Q15 revenues were $17.1 billion, lower than analysts’ estimates of $7.4 billion.

Johnson & Johnson’s 3Q15 Changes in Growth Rate

Impact of foreign exchange rates

The above graph shows that foreign exchange rates had a constant negative impact on the growth rate of Johnson & Johnson in each quarter. This is mainly because ~50% of total revenues of Johnson & Johnson are reported from sales outside the United States. The company operates ~134 manufacturing facilities and eight innovation and research centers worldwide.

Year-over-Year performance

Johnson & Johnson’s revenues have risen over past few year following the restructuring of its business segments and strong performance of few of its key products including Xarelto, Zytiga, Remicade, Stelara, and Olysio. The 2014 revenues rose by ~4.2% to $74.3 billion, compared to $71.3 billion for 2013.

We’ll discuss 3Q15’s segment-wise revenues and performance in coming articles.

Johnson and Johnson’s revenues fell by ~7.4% in 3Q15 as compared to 3Q14, while the results for other companies are still awaited as on date. VanEck Vectors Pharmaceutical ETF (PPH) invests 7.4% of its portfolio in Johnson & Johnson, 7.9% in Novartis AG (NVS), 5.6% in Pfizer (PFE), and 5.0% in Merck and Co. (MRK). Investors can refer to earnings of other companies on our pharmaceutical earnings overview page.

Latest articles

Tortoise Capital Advisors bought 9.5 million Kinder Morgan shares in Q3. That was the biggest addition among the company’s top 10 institutional investors.

Although near-term weakness exists in the cannabis stocks, we expect Cannabis 2.0 products or cannabis-derived products could act as a catalyst.

The US, Saudi Arabia, and Russia are the world’s top three crude oil producers. Let’s take a look at the world’s top oil players by production volumes.

Tesla’s Model Y is gearing up to enter the EV market next summer. Ford heated up this space with its announcement of the Mustang Mach-E launch in late 2020.

Yesterday, Comcast (CMCSA) rose 0.5% and closed at $44.81, with a market capitalization of $203.9 billion. But can you expect a further rise?

Advanced Micro Devices (AMD) is one of the best-performing semiconductor stocks of 2019, beating 100% year-to-date growth.