Johnson & Johnson (NYSE:JNJ) is one of the world's leading companies operating in the health care field. Throughout its history, the company has been consistently growing, offering attractive returns to investors. Despite weaker performance last year mainly due to adverse macroeconomic conditions, JNJ demonstrated solid results in the first 9 months of 2016, and is expected to capture new growth opportunities in the coming years. Below I will elaborate why you should buy shares of JNJ, and I will present a model to justify the share price potential movement beyond its all-time peak, that was reached in August this year (see Picture 1).
Picture 1.
Source: Yahoo Finance
Financial Position Analysis
Based on information from Picture 2, we can observe the following:
