J&J’s stock rallies after profit and sales rise above expectations, full-year outlook increased

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Shares of Johnson & Johnson
JNJ,
-0.91%
rallied 0.8% in premarket trading Tuesday, after the drug maker and medical technology company reported third-quarter profit and sales that rose above expectations, amid strength in its MedTech business. Net earnings from continuing operations were $4.31 billion, or $1.69 a share, after $4.31 billion, or $1.62 a share, in the year-ago period. Excluding nonrecurring items, adjusted earnings per share increased 19.3% to $2.66 to beat the FactSet consensus of $2.52. Sales grew 6.8% to $21.35 billion, above the FactSet consensus of $21.04 billion, as Innovative Medicine sales rose 5.1% to $13.89 billion and MedTech sales jumped 10.0% to $7.46 billion. For 2023, the company raised its guidance ranges for adjusted EPS to $10.07 to $10.13 from $10.00 to $10.10 and for sales to $83.6 billion to $84.0 billion from $83.2 billion to $84.0 billion. The stock has slipped 1.0% over the past three months through Monday while the Dow Jones Industrial Average
DJIA,
+0.04%
has eased 1.7%.

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