Jim Cramer on Johnson & Johnson: "I Think It's a Terrific Entry Point"

By Syeda Seirut Javed | January 08, 2026, 7:45 AM

Johnson & Johnson (NYSE:JNJ) is one of the stocks Jim Cramer offered insights on. Cramer highlighted the company’s latest spin-off plans for one of its divisions, as he commented:

“The fastest grower, the best opportunity here would not be Eli Lilly, which has moved a great deal and I still like, but Johnson & Johnson. It’s spinning off its orthopaedics business, DePuy Synthes, something that will immediately raise its price-to-earnings multiple because that business has much slower growth than the core pharma franchise. Same thing happened when J&J spun off Kenvue, its over-the-counter drug business. Great move to raise the valuation. At one point, this stock was down more than $5 today. I think it’s a terrific entry point even down three.”

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Johnson & Johnson (NYSE:JNJ) develops and sells healthcare products, including pharmaceuticals and medical technologies, with treatments in immunology, oncology, neuroscience, cardiovascular care, and infectious diseases. In addition, the company provides surgical systems, orthopaedic solutions, cardiovascular devices, and vision care products. Cramer highlighted his fondness for the stock during the November 25, 2025, episode, as he said:

“You could own JNJ and Merck with their incredible franchises. You know what? I’m actually particularly fond of JNJ right now. They’re spinning off their commoditized artificial joint business.”

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READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.

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