Johnson & Johnson will report earnings on Tuesday, Oct. 19
Pharmaceutical giant Johnson & Johnson (NYSE:JNJ) is in the spotlight today, after the U.S. Food and Drug Administration (FDA) struck a more favorable tone regarding the company's Covid-19 vaccine booster shot, just a few days before an FDA advisory panel is set to vote on whether the data submitted by Johnson & Johnson supports the need for a booster. This also comes ahead of the firm's third-quarter earnings report, which is due out before the open on Tuesday, Oct. 19. Below we will take a look at how JNJ has been faring on the charts, and see what the options market is pricing in for its post-earnings moves.
Johnson & Johnson stock was last seen moving higher, up 1.1% at $159.48 at last check. This bodes well for the equity, as the 20-day moving average has pushed JNJ past its year-to-date breakeven level in recent sessions. The security now sports a roughly 1% lead in 2021, one day removed from its first close below the 320-day moving average since November 2020.
Moving onto JNJ's earnings history, the blue chip has closed higher the day after reporting in six of its past eight earnings, including next-day pops following its last three reports. Over the past two years, the shares have swung an average of 1.9% the day after earnings, regardless of direction. This time around, the options market is pricing in a slightly larger, 3.7% swing for tomorrow's trading.
Analyst sentiment surrounding Johnson & Johnson stock is overwhelmingly bullish. Of the 10 analysts in coverage, all but three consider it a “buy” or better. Plus, the 12-month consensus target price of $188.88 is an 18.4% premium to current levels.