Johnson & Johnson (NYSE:JNJ) now trades at its own ten-year valuation. Shares are down significantly since broader market corrections. Big capital gains are not likely here, but investors will get a 3.3% dividend yield with high-single digit dividend growth and a long runway of growth ahead.
Since 2009, J&J has raised its dividend by 7.7% each year. Since 2000, J&J has raised dividends by around 11% per year on average. J&J is a high-quality company that should fit in many dividend portfolios. Unfortunately for perspective buyers, over the last four years, J&J has been overvalued to its historical valuation. The recent pullback has changed that, and so dividend investors once again have the opportunity to get a stake in J&J for a reasonable price.
So, is J&J a screaming buy call options right here? Probably yes as per overall fundamental outlook.