Johnson & Johnson stock rose with the announcement of a $5 billion share buyback program and repeated profit targets.

Spread the love

NJ stock was up in Wednesday premarket trading.

Healthcare and pharmaceutical giant Johnson & Johnson (NYSE:JNJ) is the latest US company to announce a new financial program in the wake of a new tax targeting stock repurchases later in the year. JNJ stock rose on the announcement of a fresh $5 billion share buyback program and reiterated its full-year earnings targets on Wednesday.

The groups 2.63 billion in outstanding common shares will be the objective of the buyback plan, according to Johnson & Johnson, which will be supported by cash and has no time limit.

JNJ reported earnings

Additionally, the business reaffirmed its expectation for 2022 earnings per share of between $10.65 and $10.75, with adjusted operational sales growth of between 6.5% and 7.5%.

For the fiscal year, 2022, Johnson & Johnson (NYSE:JNJ) revised its prediction for adjusted earnings to between $10.00 and $10.10 per share, a decrease of 25 cents from the upper end of its previous forecast, with sales in the neighborhood of $93.3 to $94.3 billion. This is a decrease from its earlier prediction of $94.8 billion to $95.8 billion, even though that sum included vaccine sales.

The groups 2.63 billion in outstanding common shares will be the objective of the buyback plan, according to Johnson & Johnson, which will be supported by cash and have no time limit.

Johnson & Johnsons tenacity has been shown throughout the past few years. The Board of Directors and management team continue to have faith in our business and pipeline, and as a result, they think that purchasing company shares is a good financial decision, according to CEO Joaquin Duato.

Arrowhead Pharmaceuticals And Johnson & Johnson To Share Potentially Exciting News

JNJ stock outlook

Shares of Johnson & Johnson were marked 0.85% higher in pre-market trading, indicating a $162.70 opening bell price. Johnson & Johnson (NYSE:JNJ) announced better-than-anticipated second-quarter earnings in late July, but it cut its full-year sales and profit estimates due to the impact of a stronger U.S. currency.

Johnson & Johnson reported that sales of pharmaceuticals increased 6.7% to $13.332 billion while those of the Covid vaccination more than doubled to $544 million from the previous year. Last month, Johnson & Johnson also announced that starting in 2019, it would fully stop selling its renowned talc-based baby powder products.

Johnson & Johnson (NYSE:JNJ) discontinued selling Baby Powder in the United States and Canada in 2020 because of the approximately 38,000 lawsuits it is facing regarding its links to the cancer-causing asbestos present in the talc-based product. The company, which started selling baby powder using talc as the main ingredient in 1894, announced late on Thursday that it will switch to an all cornstarch-based baby powder portfolio as of 2023.

Johnson & Johnson reported late last year that defense expenses in cases involving claims that its Baby Powder and other talc-based products contained asbestos that causes cancer had reached about $1 billion. Previous judgments and settlements have been responsible for an additional $3.5 billion.

Featured Image – Megapixl (C) Mesteban100

Please See Disclaimer

Visit To Get More Articles Like This

Author: Jowi Kwasu
Market Jar Media Inc.
#170 – 422 Richards Street
Vancouver, BC, Canada
V6B 2Z4

comtex tracking


Disclaimer: The views, suggestions, and opinions expressed here are the sole responsibility of the experts. No Daily Digitals News journalist was involved in the writing and production of this article.

You may also like...