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Johnson & Johnson Tops Q1 Forecasts and Lifts 2026 Outlook

Strong oncology growth offset Stelara’s drop.

Overview

  • Johnson & Johnson, which reported Tuesday, posted $24.1 billion in revenue and adjusted EPS of $2.70, both above Wall Street estimates.
  • Innovative Medicine sales rose 11.2% to $15.4 billion led by cancer drug Darzalex at $4.0 billion and immunology medicine Tremfya at $1.6 billion, while MedTech reached $8.6 billion.
  • Stelara sales fell about 60% to $656 million after biosimilars entered, and the CFO said patients are switching to Tremfya as J&J readies its newly approved oral psoriasis pill, Icotyde.
  • The company raised its 2026 targets to $100.8 billion in sales and $11.55 in adjusted EPS at the midpoint and lifted its quarterly dividend by 3.1%, extending a 64‑year growth streak.
  • GAAP net income fell 52% year over year to $5.2 billion and free cash flow dropped about 56% to $1.5 billion, with roughly 74,360 talc lawsuits still pending after a Texas court rejected J&J’s bankruptcy plan.