Market Update: Johnson & Johnson (NYSE:JNJ) – U.S. justices reject Johnson & Johnson unit’s anti-psychotic drug appeal

[Reuters] – The U.S. Supreme Court on Monday declined to hear a Johnson & Johnson subsidiary’s appeal of a $124 million penalty imposed by South Carolina after a jury found the drugmaker had improperly marketed the anti-psychotic drug Risperdal and concealed its risks. The court’s decision not to hear the appeal filed by Johnson & Johnson’s Janssen Pharmaceuticals means a South Carolina Supreme Court ruling from June that reduced the penalty to $124 million from $327 million remains intact. Janssen’s lawyers said that, among others things, the award violated the prohibition on “excessive fines” under the U.S. Constitution’s Eighth Amendment. Read more on this. Johnson & Johnson (JNJ) , with a current market cap of $268.01B, opened at $98.24. Looking at today’s market, JNJ one day range is $96.08 to $98.63 and has traded between $81.79 and $106.33 over the past 12 months. JNJ shares are currently priced at 15.88x this year’s forecasted earnings, which makes them relatively expensive compared to the industry’s -3.59x earnings multiple. And for income investors, the company pays shareholders $3.00 per share annually in dividends, yielding 2.92%. According to a consensus of 19 analysts, the earnings estimate of $1.42 per share would be $0.05 better than the year-ago quarter and a $0.03 sequential decrease. The full-year EPS estimate is $6.18, which would be a $0.21 better than last year. The quarterly earnings estimate is predicated on a consensus revenue forecast of $17.90 Billion. If reported, that would be a 1.92% decrease over the year-ago quarter. In terms of ratings, Barclays downgraded JNJ from Overweight to Equal Weight (Jan 10, 2014). Previously, RBC Capital Mkts upgraded JNJ from Sector Perform to Outperform. When considering if the stock is under or overvalued, the average price target is $108.20, which is 10.14% above where the stock opened this morning. See more in (NYSE:JNJ) Similar Articles: Market Update: Johnson & Johnson (NYSE:JNJ) – J&J says its diabetes drug should have same survival edge as Lilly’s Market Update: Johnson & Johnson (NYSE:JNJ) – Johnson & Johnson to Participate in the 2015 Morgan Stanley Healthcare Conference Market Update: Johnson & Johnson (NYSE:JNJ) – Johnson & Johnson Announces Quarterly Dividend for Third Quarter 2015