Stock Analysis on Net
Stock Analysis on Net

Johnson & Johnson (NYSE:JNJ)

Adjusted Financial Ratios

Microsoft Excel

Adjusted Financial Ratios (Summary)

Johnson & Johnson, adjusted financial ratios

Microsoft Excel
Dec 29, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Activity Ratio
Total Asset Turnover
Reported 0.49 0.51 0.51 0.52 0.47
Adjusted 0.52 0.54 0.53 0.55 0.50
Liquidity Ratio
Current Ratio
Reported 1.11 1.16 0.99 1.35 1.21
Adjusted 1.11 1.16 0.99 1.35 1.21
Solvency Ratios
Debt to Equity
Reported 0.51 0.43 0.52 0.46 0.56
Adjusted 0.59 0.48 0.55 0.49 0.58
Debt to Capital
Reported 0.34 0.30 0.34 0.31 0.36
Adjusted 0.37 0.33 0.36 0.33 0.37
Financial Leverage
Reported 2.52 2.44 2.44 2.46 2.76
Adjusted 2.67 2.52 2.40 2.41 2.68
Profitability Ratios
Net Profit Margin
Reported 15.84% 41.28% 18.90% 22.26% 17.82%
Adjusted 14.26% 5.31% 17.21% 22.31% 17.30%
Return on Equity (ROE)
Reported 19.68% 51.11% 23.36% 28.20% 23.25%
Adjusted 19.91% 7.20% 22.01% 29.25% 22.95%
Return on Assets (ROA)
Reported 7.81% 20.98% 9.57% 11.47% 8.41%
Adjusted 7.46% 2.85% 9.16% 12.16% 8.57%

Based on: 10-K (reporting date: 2024-12-29), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

Financial ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Johnson & Johnson adjusted total asset turnover ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.
Adjusted current ratio A liquidity ratio calculated as adjusted current assets divided by adjusted current liabilities. Johnson & Johnson adjusted current ratio improved from 2022 to 2023 but then slightly deteriorated from 2023 to 2024.
Adjusted debt-to-equity ratio A solvency ratio calculated as adjusted total debt divided by adjusted total equity. Johnson & Johnson adjusted debt-to-equity ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.
Adjusted debt-to-capital ratio A solvency ratio calculated as adjusted total debt divided by adjusted total debt plus adjusted total equity. Johnson & Johnson adjusted debt-to-capital ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.
Adjusted financial leverage A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity.
Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income.		 Johnson & Johnson adjusted financial leverage ratio increased from 2022 to 2023 and from 2023 to 2024.
Adjusted net profit margin An indicator of profitability, calculated as adjusted net income divided by total revenue. Johnson & Johnson adjusted net profit margin ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 not reaching 2022 level.
Adjusted ROE A profitability ratio calculated as adjusted net income divided by adjusted total equity. Johnson & Johnson adjusted ROE deteriorated from 2022 to 2023 but then improved from 2023 to 2024 not reaching 2022 level.
Adjusted ROA A profitability ratio calculated as adjusted net income divided by adjusted total assets. Johnson & Johnson adjusted ROA deteriorated from 2022 to 2023 but then improved from 2023 to 2024 not reaching 2022 level.

Johnson & Johnson, Financial Ratios: Reported vs. Adjusted

Adjusted Total Asset Turnover

Microsoft Excel
Dec 29, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Reported
Selected Financial Data (US$ in millions)
Sales to customers 88,821 85,159 94,943 93,775 82,584
Total assets 180,104 167,558 187,378 182,018 174,894
Activity Ratio
Total asset turnover1 0.49 0.51 0.51 0.52 0.47
Adjusted
Selected Financial Data (US$ in millions)
Sales to customers 88,821 85,159 94,943 93,775 82,584
Adjusted total assets2 169,810 158,445 178,458 172,025 166,653
Activity Ratio
Adjusted total asset turnover3 0.52 0.54 0.53 0.55 0.50

Based on: 10-K (reporting date: 2024-12-29), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

1 2024 Calculation
Total asset turnover = Sales to customers ÷ Total assets
= 88,821 ÷ 180,104 = 0.49

2 Adjusted total assets. See details »

3 2024 Calculation
Adjusted total asset turnover = Sales to customers ÷ Adjusted total assets
= 88,821 ÷ 169,810 = 0.52

Activity ratio Description The company
Adjusted total asset turnover An activity ratio calculated as total revenue divided by adjusted total assets. Johnson & Johnson adjusted total asset turnover ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.

Adjusted Current Ratio

Microsoft Excel
Dec 29, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Reported
Selected Financial Data (US$ in millions)
Current assets 55,893 53,495 55,294 60,979 51,237
Current liabilities 50,321 46,282 55,802 45,226 42,493
Liquidity Ratio
Current ratio1 1.11 1.16 0.99 1.35 1.21
Adjusted
Selected Financial Data (US$ in millions)
Adjusted current assets2 56,060 53,661 55,497 61,209 51,530
Current liabilities 50,321 46,282 55,802 45,226 42,493
Liquidity Ratio
Adjusted current ratio3 1.11 1.16 0.99 1.35 1.21

Based on: 10-K (reporting date: 2024-12-29), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

1 2024 Calculation
Current ratio = Current assets ÷ Current liabilities
= 55,893 ÷ 50,321 = 1.11

2 Adjusted current assets. See details »

3 2024 Calculation
Adjusted current ratio = Adjusted current assets ÷ Current liabilities
= 56,060 ÷ 50,321 = 1.11

Liquidity ratio Description The company
Adjusted current ratio A liquidity ratio calculated as adjusted current assets divided by adjusted current liabilities. Johnson & Johnson adjusted current ratio improved from 2022 to 2023 but then slightly deteriorated from 2023 to 2024.

Adjusted Debt to Equity

Microsoft Excel
Dec 29, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Reported
Selected Financial Data (US$ in millions)
Total debt 36,634 29,332 39,659 33,751 35,266
Shareholders’ equity 71,490 68,774 76,804 74,023 63,278
Solvency Ratio
Debt to equity1 0.51 0.43 0.52 0.46 0.56
Adjusted
Selected Financial Data (US$ in millions)
Adjusted total debt2 37,834 30,432 40,959 34,751 36,366
Adjusted shareholders’ equity3 63,644 62,854 74,258 71,517 62,252
Solvency Ratio
Adjusted debt to equity4 0.59 0.48 0.55 0.49 0.58

Based on: 10-K (reporting date: 2024-12-29), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

1 2024 Calculation
Debt to equity = Total debt ÷ Shareholders’ equity
= 36,634 ÷ 71,490 = 0.51

2 Adjusted total debt. See details »

3 Adjusted shareholders’ equity. See details »

4 2024 Calculation
Adjusted debt to equity = Adjusted total debt ÷ Adjusted shareholders’ equity
= 37,834 ÷ 63,644 = 0.59

Solvency ratio Description The company
Adjusted debt-to-equity ratio A solvency ratio calculated as adjusted total debt divided by adjusted total equity. Johnson & Johnson adjusted debt-to-equity ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.

Adjusted Debt to Capital

Microsoft Excel
Dec 29, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Reported
Selected Financial Data (US$ in millions)
Total debt 36,634 29,332 39,659 33,751 35,266
Total capital 108,124 98,106 116,463 107,774 98,544
Solvency Ratio
Debt to capital1 0.34 0.30 0.34 0.31 0.36
Adjusted
Selected Financial Data (US$ in millions)
Adjusted total debt2 37,834 30,432 40,959 34,751 36,366
Adjusted total capital3 101,478 93,286 115,217 106,268 98,618
Solvency Ratio
Adjusted debt to capital4 0.37 0.33 0.36 0.33 0.37

Based on: 10-K (reporting date: 2024-12-29), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

1 2024 Calculation
Debt to capital = Total debt ÷ Total capital
= 36,634 ÷ 108,124 = 0.34

2 Adjusted total debt. See details »

3 Adjusted total capital. See details »

4 2024 Calculation
Adjusted debt to capital = Adjusted total debt ÷ Adjusted total capital
= 37,834 ÷ 101,478 = 0.37

Solvency ratio Description The company
Adjusted debt-to-capital ratio A solvency ratio calculated as adjusted total debt divided by adjusted total debt plus adjusted total equity. Johnson & Johnson adjusted debt-to-capital ratio improved from 2022 to 2023 but then deteriorated significantly from 2023 to 2024.

Adjusted Financial Leverage

Microsoft Excel
Dec 29, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Reported
Selected Financial Data (US$ in millions)
Total assets 180,104 167,558 187,378 182,018 174,894
Shareholders’ equity 71,490 68,774 76,804 74,023 63,278
Solvency Ratio
Financial leverage1 2.52 2.44 2.44 2.46 2.76
Adjusted
Selected Financial Data (US$ in millions)
Adjusted total assets2 169,810 158,445 178,458 172,025 166,653
Adjusted shareholders’ equity3 63,644 62,854 74,258 71,517 62,252
Solvency Ratio
Adjusted financial leverage4 2.67 2.52 2.40 2.41 2.68

Based on: 10-K (reporting date: 2024-12-29), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

1 2024 Calculation
Financial leverage = Total assets ÷ Shareholders’ equity
= 180,104 ÷ 71,490 = 2.52

2 Adjusted total assets. See details »

3 Adjusted shareholders’ equity. See details »

4 2024 Calculation
Adjusted financial leverage = Adjusted total assets ÷ Adjusted shareholders’ equity
= 169,810 ÷ 63,644 = 2.67

Solvency ratio Description The company
Adjusted financial leverage A measure of financial leverage calculated as adjusted total assets divided by adjusted total equity.
Financial leverage is the extent to which a company can effect, through the use of debt, a proportional change in the return on common equity that is greater than a given proportional change in operating income.		 Johnson & Johnson adjusted financial leverage ratio increased from 2022 to 2023 and from 2023 to 2024.

Adjusted Net Profit Margin

Microsoft Excel
Dec 29, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Reported
Selected Financial Data (US$ in millions)
Net earnings 14,066 35,153 17,941 20,878 14,714
Sales to customers 88,821 85,159 94,943 93,775 82,584
Profitability Ratio
Net profit margin1 15.84% 41.28% 18.90% 22.26% 17.82%
Adjusted
Selected Financial Data (US$ in millions)
Adjusted net earnings2 12,670 4,523 16,342 20,920 14,289
Sales to customers 88,821 85,159 94,943 93,775 82,584
Profitability Ratio
Adjusted net profit margin3 14.26% 5.31% 17.21% 22.31% 17.30%

Based on: 10-K (reporting date: 2024-12-29), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

1 2024 Calculation
Net profit margin = 100 × Net earnings ÷ Sales to customers
= 100 × 14,066 ÷ 88,821 = 15.84%

2 Adjusted net earnings. See details »

3 2024 Calculation
Adjusted net profit margin = 100 × Adjusted net earnings ÷ Sales to customers
= 100 × 12,670 ÷ 88,821 = 14.26%

Profitability ratio Description The company
Adjusted net profit margin An indicator of profitability, calculated as adjusted net income divided by total revenue. Johnson & Johnson adjusted net profit margin ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 not reaching 2022 level.

Adjusted Return on Equity (ROE)

Microsoft Excel
Dec 29, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Reported
Selected Financial Data (US$ in millions)
Net earnings 14,066 35,153 17,941 20,878 14,714
Shareholders’ equity 71,490 68,774 76,804 74,023 63,278
Profitability Ratio
ROE1 19.68% 51.11% 23.36% 28.20% 23.25%
Adjusted
Selected Financial Data (US$ in millions)
Adjusted net earnings2 12,670 4,523 16,342 20,920 14,289
Adjusted shareholders’ equity3 63,644 62,854 74,258 71,517 62,252
Profitability Ratio
Adjusted ROE4 19.91% 7.20% 22.01% 29.25% 22.95%

Based on: 10-K (reporting date: 2024-12-29), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

1 2024 Calculation
ROE = 100 × Net earnings ÷ Shareholders’ equity
= 100 × 14,066 ÷ 71,490 = 19.68%

2 Adjusted net earnings. See details »

3 Adjusted shareholders’ equity. See details »

4 2024 Calculation
Adjusted ROE = 100 × Adjusted net earnings ÷ Adjusted shareholders’ equity
= 100 × 12,670 ÷ 63,644 = 19.91%

Profitability ratio Description The company
Adjusted ROE A profitability ratio calculated as adjusted net income divided by adjusted total equity. Johnson & Johnson adjusted ROE deteriorated from 2022 to 2023 but then improved from 2023 to 2024 not reaching 2022 level.

Adjusted Return on Assets (ROA)

Microsoft Excel
Dec 29, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Reported
Selected Financial Data (US$ in millions)
Net earnings 14,066 35,153 17,941 20,878 14,714
Total assets 180,104 167,558 187,378 182,018 174,894
Profitability Ratio
ROA1 7.81% 20.98% 9.57% 11.47% 8.41%
Adjusted
Selected Financial Data (US$ in millions)
Adjusted net earnings2 12,670 4,523 16,342 20,920 14,289
Adjusted total assets3 169,810 158,445 178,458 172,025 166,653
Profitability Ratio
Adjusted ROA4 7.46% 2.85% 9.16% 12.16% 8.57%

Based on: 10-K (reporting date: 2024-12-29), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

1 2024 Calculation
ROA = 100 × Net earnings ÷ Total assets
= 100 × 14,066 ÷ 180,104 = 7.81%

2 Adjusted net earnings. See details »

3 Adjusted total assets. See details »

4 2024 Calculation
Adjusted ROA = 100 × Adjusted net earnings ÷ Adjusted total assets
= 100 × 12,670 ÷ 169,810 = 7.46%

Profitability ratio Description The company
Adjusted ROA A profitability ratio calculated as adjusted net income divided by adjusted total assets. Johnson & Johnson adjusted ROA deteriorated from 2022 to 2023 but then improved from 2023 to 2024 not reaching 2022 level.