Wells Fargo analyst Larry Biegelsen has maintained their neutral stance on JNJ stock, giving a Hold rating on September 2.
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Larry Biegelsen’s rating is based on Johnson & Johnson’s strategic positioning within the MedTech sector, where the company is expected to grow at the higher end of the 5-7% range through 2027. The management’s confidence in their ability to maintain a stable growth trajectory, particularly in high-growth segments like Cardiovascular, supports this outlook. Additionally, JNJ’s MedTech business is anticipated to improve in the second half of 2025, with strong performance in areas such as biosurgery, wound closure, and contact lenses.
Despite these positive indicators, the Hold rating reflects a balanced view considering the competitive pressures in surgical robotics and instruments. While JNJ remains a leader in open and laparoscopic surgeries, the emergence of competitors in endocutters and energy devices poses challenges. The company’s ongoing efforts to innovate, such as the development of the Ottava surgical robotics platform, are promising, but the market dynamics necessitate a cautious approach, justifying the Hold rating.
In another report released on September 2, Barclays also maintained a Hold rating on the stock with a $176.00 price target.
JNJ’s price has also changed slightly for the past six months – from $165.420 to $178.760, which is a 8.06% increase.