While the valuations of a lot of S&P 500 businesses have run up in the aftermath of the election, the stalwart healthcare firm Johnson & Johnson (JNJ) has continued to trade within a zone of reasonableness at a price of $115 per share. It is by no means “on sale” at this price, but it does offer an opportunity to own one of the highest quality businesses in the world at a fair price.
The reason I get so excited about my coverage of Johnson & Johnson stock, compared to another business that also has blue-chip investment status such as Campbell Soup, is that it is more than just “earnings quality.” Yes, the $12.9 billion profits held up during the 2008-2009 recession, and yes, the dividend is well supported by current earnings and has a history of increasing every year.
But Johnson & Johnson has the likelihood of high future … Read the rest of this article!
The post Generational Cash Dividends from Johnson & Johnson Stock first appeared on The Conservative Income Investor.