Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

Johnson & Johnson (NYSE:JNJ)

Market Value Added (MVA)

Advanced level

Market value added (MVA) is the difference between a firms’s fair value and its invested capital. MVA is a measure of the value a company has created in excess of the resources already committed to the enterprise.


MVA

Johnson & Johnson, MVA calculation

US$ in millions

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 29, 2019 Dec 30, 2018 Dec 31, 2017 Dec 31, 2016
Fair value of debt1 40,666  30,696  30,780  36,581  28,726 
Operating lease liability 1,100  985  814  766  747 
Market value of common equity 425,504  392,942  363,119  348,536  332,114 
Preferred stock, without par value, unissued —  —  —  —  — 
Less: Current marketable securities 11,200  1,982  1,580  472  22,935 
Market (fair) value of Johnson & Johnson 456,070  422,641  393,133  385,411  338,651 
Less: Invested capital2 98,488  96,969  101,168  106,608  84,298 
MVA 357,582  325,672  291,965  278,803  254,354 

Based on: 10-K (filing date: 2021-02-22), 10-K (filing date: 2020-02-18), 10-K (filing date: 2019-02-20), 10-K (filing date: 2018-02-21), 10-K (filing date: 2017-02-27).

1 Fair value of debt. See details »

2 Invested capital. See details »

Item Description The company
MVA Johnson & Johnson’s market (fair) value less invested capital. Johnson & Johnson’s MVA increased from 2018 to 2019 and from 2019 to 2020.

MVA Spread Ratio

Johnson & Johnson, MVA spread ratio calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 29, 2019 Dec 30, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Market value added (MVA)1 357,582  325,672  291,965  278,803  254,354 
Invested capital2 98,488  96,969  101,168  106,608  84,298 
Performance Ratio
MVA spread ratio3 363.07% 335.85% 288.60% 261.52% 301.73%
Benchmarks
MVA Spread Ratio, Competitors4
AbbVie Inc. 172.01% 236.26% 362.18% 398.43% 175.58%
Amgen Inc. 343.98% 341.92% 418.34% 430.42% 289.63%
Eli Lilly & Co. 778.02% 601.09% 443.71% 317.93% 313.14%
Gilead Sciences Inc. 125.57% 226.14% 178.10% 362.15% 394.70%
Illumina Inc. 1,382.87% 789.11% 998.68% 841.95% 777.45%
Merck & Co. Inc. 292.93% 328.56% 362.76% 219.59% 251.63%
Pfizer Inc. 116.68% 95.96% 163.95% 129.91% 85.80%
Regeneron Pharmaceuticals Inc. 510.95% 463.34% 580.61% 593.24% 958.29%
Thermo Fisher Scientific Inc. 231.75% 170.63% 137.09% 105.23% 80.43%
Zoetis Inc. 653.45% 667.66% 408.21% 480.52% 354.22%

Based on: 10-K (filing date: 2021-02-22), 10-K (filing date: 2020-02-18), 10-K (filing date: 2019-02-20), 10-K (filing date: 2018-02-21), 10-K (filing date: 2017-02-27).

1 MVA. See details »

2 Invested capital. See details »

3 2020 Calculation
MVA spread ratio = 100 × MVA ÷ Invested capital
= 100 × 357,582 ÷ 98,488 = 363.07%

4 Click competitor name to see calculations.

Performance ratio Description The company
MVA spread ratio The ratio of MVA to invested capital. It measures the efficiency with which investors’ capital investment has translated into a franchise value and into an aggregate net present value premium. Johnson & Johnson’s MVA spread ratio improved from 2018 to 2019 and from 2019 to 2020.

MVA Margin

Johnson & Johnson, MVA margin calculation, comparison to benchmarks

Microsoft Excel LibreOffice Calc
Dec 31, 2020 Dec 29, 2019 Dec 30, 2018 Dec 31, 2017 Dec 31, 2016
Selected Financial Data (US$ in millions)
Market value added (MVA)1 357,582  325,672  291,965  278,803  254,354 
Sales to customers 82,584  82,059  81,581  76,450  71,890 
Performance Ratio
MVA margin2 432.99% 396.88% 357.88% 364.69% 353.81%
Benchmarks
MVA Margin, Competitors3
AbbVie Inc. 390.51% 445.99% 369.91% 638.85% 330.39%
Amgen Inc. 550.26% 575.79% 468.33% 476.30% 427.69%
Eli Lilly & Co. 778.57% 578.77% 464.62% 310.56% 336.26%
Gilead Sciences Inc. 259.27% 321.38% 287.83% 340.55% 254.03%
Illumina Inc. 2,095.02% 1,112.96% 1,195.33% 1,100.24% 931.69%
Merck & Co. Inc. 349.01% 376.50% 420.85% 272.23% 334.87%
Pfizer Inc. 289.28% 224.34% 310.56% 254.28% 199.73%
Regeneron Pharmaceuticals Inc. 495.20% 382.11% 537.12% 496.04% 662.31%
Thermo Fisher Scientific Inc. 440.72% 352.26% 292.33% 260.23% 193.16%
Zoetis Inc. 1,131.37% 1,049.26% 654.82% 679.17% 489.40%

Based on: 10-K (filing date: 2021-02-22), 10-K (filing date: 2020-02-18), 10-K (filing date: 2019-02-20), 10-K (filing date: 2018-02-21), 10-K (filing date: 2017-02-27).

1 MVA. See details »

2 2020 Calculation
MVA margin = 100 × MVA ÷ Sales to customers
= 100 × 357,582 ÷ 82,584 = 432.99%

3 Click competitor name to see calculations.

Performance ratio Description The company
MVA margin The ratio of MVA to sales. It measures how efficiently and prodigiously sales translate into franchise value. Johnson & Johnson’s MVA margin ratio improved from 2018 to 2019 and from 2019 to 2020.