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Jan 31, 2017

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Johnson & Johnson's biggest moneymaker is its pharmaceuticals segment. Next is J&J's medical devices business, followed by its consumer segment. J&J's growth stems primarily from the pharmaceuticals business. The company has a long list of blockbuster drugs, including autoimmune disease drugs Remicade and Stelara. J&J's fastest-growing drug, though, is Imbruvica. The drug is already approved for treating marginal zone lymphoma and is in late-stage clinical studies targeting six other indications. It's tempting to dismiss Johnson & Johnson's lower-growth business segments. However, the company's medical devices and consumer businesses are on track to contribute around $7.8 billion in operating profit for 2016. Even though the two segments aren't producing impressive growth, that's a lot of money. Johnson & Johnson has also made some key acquisitions that could improve the outlook for these business segments.

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