Published on 3 May 2024 on Simply Wall St. via Yahoo Finance
Shareholders in Johnson & Johnson (NYSE:JNJ) are in the red if they invested three years ago
For many investors, the main point of stock picking is to generate higher returns than the overall market. But the risk of stock picking is that you will likely buy under-performing companies. Unfortunately, that's been the case for longer term Johnson & Johnson (NYSE:JNJ) shareholders, since the share price is down 11% in the last three years, falling well short of the market return of around 16%.
It's worthwhile assessing if the company's economics have been moving in lockstep with these underwhelming shareholder returns, or if there is some disparity between the two. So let's do just that.