Johnson & Johnson

JNJ: XNYS (USA)

Morningstar Rating for Stocks	Fair Value	Economic Moat	Capital Allocation
	$431.00	Qmlqg	Gnrbnlf

J&J: Shockwave Acquisition Adds Fast-Growing Medical Devices

Damien Conover

Apr 5, 2024

We are holding our $164 fair value estimate for J&J steady after its agreement to acquire Shockwave Medical for close to $13 billion. We believe the growth potential of Shockwave will help accelerate J&J’s medical devices segment by almost 50 basis points, largely in line with comments by high-level management. We expect close to $1 billion in sales from Shockwave products in 2025, followed by rapid growth in subsequent years.

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