Johnson & Johnson P/B Ratio
Data as of June 01, 2026
P/B Ratio
6.68
Stock Price
$225.33
Book Value/Share
$33.73
Sector
Healthcare
How It's Calculated
6.68 = $225.33 ÷ $33.73
What This Means
Johnson & Johnson's P/B ratio of 6.68 is significantly elevated, often seen in asset-light businesses like tech or services where intangible assets drive most of the value.
About Johnson & Johnson
Johnson & Johnson (JNJ) operates in the Healthcare sector, specifically in Drug Manufacturers - General. With a market capitalization of about $542.42B, it ranks as a mega-cap stock — one of the largest publicly traded companies.
Shares recently traded near $225.33, within a 52-week range of $149.04 to $251.71 (-10.5% from the high, +51.2% from the low). Beta of 0.26 indicates relatively lower volatility versus the market.
Trailing profit margin is about 21.8%, signaling a solid profit margin for its industry.
Understanding This Metric
The price-to-book ratio compares market price to net asset value per share. For Johnson & Johnson, P/B is especially useful when earnings are volatile or temporarily depressed. In Healthcare, asset-heavy business models often anchor closer to book value, while asset-light models may trade far above book.
Sector Comparison
Among Healthcare names on our S&P 100 coverage, Johnson & Johnson's P/B ratio of 6.68 can be compared with peers such as LLY (31.65), UNH (3.53), MRK (6.39). Sector context helps interpretation, but each company's growth profile and balance sheet differ — use multiple metrics before drawing conclusions. View all Healthcare stocks.
Key Takeaways
- JNJ is grouped in the Healthcare sector for peer comparisons.
- Recent beta of 0.26 suggests lower-than-market price sensitivity.
- Trailing profit margin of 21.8% provides context for how much earnings support the headline multiple.
Related Tools & Guides
Explore calculators and guides connected to this metric, or view all metrics for JNJ.
Other JNJ Metrics
Frequently Asked Questions
What does JNJ's price-to-book ratio indicate?
P/B compares share price to book value per share. Johnson & Johnson's P/B of 6.68 reflects how the market prices net assets — especially relevant for asset-heavy Healthcare business models.
Is 6.68 above or below book value?
A P/B above 1.0 (6.68) means the market values JNJ above accounting book value — often due to brands, growth, or intangible assets.
How does P/B compare within Healthcare?
Peer P/B levels in Healthcare (e.g. LLY (31.65), AMGN (19.78), GILD (7.10)) provide context; asset-light vs asset-heavy models differ materially.
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