Johnson & Johnson (
JNJ) engages in the research and development, manufacture, and sale of various products in the health care field worldwide. The company operates in three segments: Consumer, Pharmaceutical, and Medical Devices and Diagnostics. This
dividend aristocrat has paid uninterrupted dividends on its common stock since 1944 and increased payments to common shareholders every for 49 consecutive years. One of the largest shareholders is no other but Warren Buffett's Berkshire Hathaway (BRK.B).
The company's last dividend increase was in when the Board of Directors approved
a 5.60% increase to 57 cents/share. Johnson & Johnson's major competitors include
Abbott Laboratories (ABT), Bristol Myers Squibb (BMY) and Novartis (NVS).
Over the past decade this
dividend growth stock has delivered an annualized total return of 3.50% to its shareholders.
The company has managed to deliver an 11.20% annual increase in EPS since 2001. Analysts expect Johnson & Johnson to earn $4.97 per share in 2011 and $5.23 per share in 2012. In comparison Johnson & Johnson earned $4.78 /share in 2010. The company has managed to consistently repurchase 1.40% of its outstanding shares on average in each year over the past decade.
Johnson & Johnson has a diversified product line across medical devices, consumer products and drugs, which should serve it well in the future. In addition ot that Johnson & Johnson is expanding into new long term opportunities such as vaccines business of Crucell NV. Emerging market growth and opportunities for cost restructurings should further help the company in squeezing out extra profits in the long run.