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HRMY vs JNJ

HRMY
Harmony Biosciences Holdings, Inc.
NEUTRAL
Price
$28.89
Market Cap
$1.67B
Sector
Healthcare
AI Confidence
85%
JNJ
Johnson & Johnson
NEUTRAL
Price
$237.96
Market Cap
$573.46B
Sector
Healthcare
AI Confidence
85%

Valuation

P/E Ratio
HRMY
10.74
JNJ
21.55
Forward P/E
HRMY
4.99
JNJ
18.9
P/B Ratio
HRMY
1.92
JNJ
7.03
P/S Ratio
HRMY
1.93
JNJ
6.09
EV/EBITDA
HRMY
4.55
JNJ
17.81

Profitability

Gross Margin
HRMY
77.16%
JNJ
68.08%
Operating Margin
HRMY
15.82%
JNJ
23.97%
Profit Margin
HRMY
18.27%
JNJ
28.46%
ROE
HRMY
20.75%
JNJ
35.03%
ROA
HRMY
11.47%
JNJ
8.68%

Growth

Revenue Growth
HRMY
21.1%
JNJ
9.1%
Earnings Growth
HRMY
-55.0%
JNJ
48.6%

Financial Health

Debt/Equity
HRMY
0.19
JNJ
0.6
Current Ratio
HRMY
3.6
JNJ
1.03
Quick Ratio
HRMY
3.46
JNJ
0.69

Dividends

Dividend Yield
HRMY
--
JNJ
2.19%
Payout Ratio
HRMY
0.0%
JNJ
46.6%

AI Verdict

HRMY NEUTRAL

HRMY presents a dichotomy between a rock-solid balance sheet and deteriorating earnings performance. The Piotroski F-Score of 4/9 indicates stable financial health, supported by an exceptionally low Debt/Equity ratio (0.19) and strong liquidity (Current Ratio 3.60). However, these strengths are offset by a severe -55% YoY earnings contraction and a bearish insider sentiment characterized by C-suite selling. While the stock trades near its Graham Number ($30.21) and boasts an attractive Forward P/E of 4.99, the disconnect between analyst targets ($42.00) and current growth trends suggests significant volatility ahead.

Strengths
Very low leverage with a Debt/Equity ratio of 0.19
Strong liquidity position with a Current Ratio of 3.60
High gross profit margins at 77.16%
Risks
Severe earnings decline (-55% YoY and -64.8% Q/Q EPS growth)
Bearish insider activity with significant selling by the CEO and CFO
Poor recent earnings track record, beating only 1 of the last 4 estimates
JNJ NEUTRAL

JNJ presents a dichotomy between strong profitability and deteriorating fundamental health, evidenced by a weak Piotroski F-Score of 3/9. While the company maintains an impressive ROE of 35.03% and a consistent history of earnings beats, the current price of $237.96 trades at a significant premium to its Graham Number of $91.72. Growth remains robust on a YoY basis, but bearish insider sentiment and a very weak technical trend (10/100) suggest immediate headwinds. The stock is fundamentally sound in terms of earnings power but shows signs of operational inefficiency or declining quality in its deterministic health metrics.

Strengths
Exceptional Return on Equity (ROE) of 35.03%
Strong profit margins (28.46%) and gross margins (68.08%)
Consistent earnings beat track record over 25 quarters
Risks
Weak Piotroski F-Score (3/9) indicating declining fundamental health
Bearish insider activity with $58.35M in net sales and zero buys
Low liquidity indicated by a Quick Ratio of 0.69

Compare Another Pair

HRMY vs JNJ: Head-to-Head Comparison

This page compares Harmony Biosciences Holdings, Inc. (HRMY) and Johnson & Johnson (JNJ) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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