Insightful Word
  • Investing
  • Stock
  • Economy
  • Politics
  • Investing
  • Stock
  • Economy
  • Politics
No Result
View All Result
Insightful Word
No Result
View All Result
Home Stock

Wells Fargo says there is a risk that Johnson & Johnson will guide lower

admin by admin
October 4, 2024
in Stock
0
Wells Fargo says there is a risk that Johnson & Johnson will guide lower
0
SHARES
8
VIEWS
Share on FacebookShare on Twitter

Investing.com — Wells Fargo analysts cautioned that Johnson & Johnson (NYSE:JNJ) may lower its earnings guidance for 2024 when the company reports third-quarter results, despite expectations of stable sales growth.

In a note to clients, Wells Fargo emphasized that while JNJ’s underlying sales growth target for 2024 is likely to remain intact, the company may revise its earnings per share (EPS) guidance downward due to recent acquisitions.

“JNJ expects EPS dilution of $0.24 from the V-Wave acquisition, which would lower 2024 reported EPS guidance from $9.97-$10.07 to $9.73-$9.83, all else equal,” noted Wells Fargo.

The analysts believe that if the V-Wave deal closes by the time JNJ reports Q3 earnings, the company will likely update its guidance accordingly.

However, they add that the potential reduction could be partially offset by a smaller foreign exchange (FX) headwind, which is now expected to have a neutral to slightly positive effect on EPS.

Wells Fargo is forecasting Q3 EPS of $2.09, below the consensus estimate of $2.18, and they note that the consensus may not fully reflect dilution from JNJ’s acquisition of Numab.

Their forecast includes an expected $1.25 billion impact from in-process research and development (IPR&D) related to the deal.

While sales growth guidance is expected to remain intact, the analysts warned that underperformance in JNJ’s Vision Surgical business and lingering impacts from anti-corruption policies in China could create headwinds for growth in the second half of 2024.

Finally, Wells Fargo highlighted that investors should watch for updates on the ongoing talc litigation, which JNJ is seeking to resolve through a voluntary prepackaged bankruptcy.

This post appeared first on investing.com

Previous Post

US jobs report could firm or upend Fed “base case” of quarter-point cuts

Next Post

US regulator opens probe into more than 360,000 Ford SUVs over loss of braking

admin

admin

Next Post
US regulator opens probe into more than 360,000 Ford SUVs over loss of braking

US regulator opens probe into more than 360,000 Ford SUVs over loss of braking

Trending News

GameStop token rebounds in 2025 following Bitcoin reserve reveal

GameStop token rebounds in 2025 following Bitcoin reserve reveal

March 26, 2025
What makes Remittix a more exciting investment than ETH, ADA, SOL and SHIB in 2025

What makes Remittix a more exciting investment than ETH, ADA, SOL and SHIB in 2025

March 11, 2025
Palo Alto shares jump 6% in premarket after Bank of America upgrade

Palo Alto shares jump 6% in premarket after Bank of America upgrade

August 19, 2025
Subscribe to Insightful Word


    Recent News

    Nvidia shares fall on China sales exclusion, weaker data center sales: analysts weigh in

    Nvidia shares fall on China sales exclusion, weaker data center sales: analysts weigh in

    August 28, 2025
    SentinelOne stock price forecast ahead of earnings: buy or sell?

    SentinelOne stock price forecast ahead of earnings: buy or sell?

    August 28, 2025
    Tesla wants millions of robotaxis by 2025, but will Waymo win the long game?

    Tesla wants millions of robotaxis by 2025, but will Waymo win the long game?

    August 28, 2025
    Urban Outfitters stock slides 4% despite strong quarter on cautious outlook

    Urban Outfitters stock slides 4% despite strong quarter on cautious outlook

    August 28, 2025

    Recent News

    Nvidia shares fall on China sales exclusion, weaker data center sales: analysts weigh in

    Nvidia shares fall on China sales exclusion, weaker data center sales: analysts weigh in

    August 28, 2025
    SentinelOne stock price forecast ahead of earnings: buy or sell?

    SentinelOne stock price forecast ahead of earnings: buy or sell?

    August 28, 2025

    Latest News

    • Nvidia shares fall on China sales exclusion, weaker data center sales: analysts weigh in
    • SentinelOne stock price forecast ahead of earnings: buy or sell?
    • Tesla wants millions of robotaxis by 2025, but will Waymo win the long game?

    About Insightful Word

    • Contacts
    • Cookie Notice
    • Privacy Policy
    • Terms of Service
    • Trading tools
    • Contacts
    • Cookie Notice
    • Privacy Policy
    • Terms of Service
    • Trading tools

    Copyright © 2025 Insightfulword.com. All Rights Reserved.

    No Result
    View All Result
    • Investing
    • Stock
    • Economy
    • Politics

    Copyright © 2025 Insightfulword.com. All Rights Reserved.