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Strategies & Market Trends : Stock Attack II - A Complete Analysis -- Ignore unavailable to you. Want to Upgrade?


To: dennis michael patterson who wrote (29041)2/1/2002 11:09:04 AM
From: Paul Shread  Read Replies (2) | Respond to of 52237
 
I'm long PFE and MRK, but not JNJ. That's based mainly on valuation; drug stocks are trading at a 35-year low relative to the S&P. JNJ appears comparably valued to PFE using earnings growth and PE, but not as attractive based on ROE (43% PFE vs. 25% JNJ). A comparable ROE price for JNJ would be $45 or lower.