Worldwide sales increased 10.7% this past quarter, led by their oncology drug sales which surged 33.2%. The company’s stock has risen over 21% so far this year, and Johnson & Johnson has a 5.2% FCF yield. This may not be cheap compared to Abbott’s 13% FCF or Eli Lilly & Co. (NYSE:LLY)’s 6.6% FCF yields, but its not overly expensive. Johnson & Johnson (NYSE:JNJ), Abbott Laboratories (NYSE:ABT), and Eli Lilly & Co. (NYSE:LLY) have P/E’s of 22.10, 10, and 15.90, respectively. Abbott edges out the others with the highest dividend yield of 3.5%, compared to 3.4% and 2.9% of Lilly and Johnson & Johnson, respectively.
The Foolish bottom line
The CDC states, “Pre-diabetes affects 35% of adults age 20 and older, and half of Americans age 65 and older.” As many as 1 in 3 U.S. adults could have diabetes by 2050, if current trends continue.” Diabetes already accounts for a large percentage of several companies’ revenue streams, but if it can continue to rise, imagine the effect it could have in the future.
Americans spend more than $200 billion annually to help control the disease or deal with its complications. These companies all provide good value and great opportunities for investors.
The article Diabetes Isn’t Good for Health, But It Can Be for Your Portfolio originally appeared on Fool.com.
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